ect of Transactions on Accounting Equation Describe how the following business transactions affect the three elements of the accounting equation. a.  Invested cash in business.   b.  Paid for utilities used in the business.   c.  Purchased supplies for cash.   d.  Purchased supplies on account.

A business provider services to a customer on credit.Which of the following is correct: A.Assets increase and liabilities decrease at the time the cash is collected B.Assets increase and liabilities increase at the time of the sale C.Assets increase and the owner's equity increases at the time the cash is collected D.Assets increase and the owner's equity increases at the time of the sale