A Business Purchases Equipment by Paying $9023 in Cash and Issuing

Multiple Choice

A business purchases equipment by paying $9023 in cash and issuing a loan payable of $16,446.Which of the following occurs?

A) Cash is debited for $9023,equipment is credited for $16,446 and loan payable is debited for $7423.
B) Cash is debited for $9023,equipment is debited for $16,446 and loan payable is credited for $25,469.
C) Cash is credited for $9023,equipment is debited for $25,469 and loan payable is credited for $16,446.
D) Cash is credited for $9023,equipment is credited for $25,469 and loan payable is debited for $16,446.