Inventory with a Value of $300 000 Was Written Down

Multiple Choice

Inventory with a value of $300 000 was written down to $250 000 in June 2012 because of falling prices in the industry.This transaction will:

A) decrease assets,profit and shareholders' equity
B) decrease assets and profit,but not shareholders' equity
C) decrease assets and shareholders' equity but not profit
D) decrease assets and decrease shareholders' equity.