Question on: JAMB Accounting - 2007

If Mr. Ajasin paid his creditors N5000 out of N20 000 owed, what would be the effect of this transaction on the accounting equation?

A
A decraese in the total asssets by N5000
B
An incraese in the total liabilities and owners' equity by by N15 000
C
An increase in the total assets by N15 000
D
A decrease in owners' equuity by N5000
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Correct Option: A

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