The accounting equation for Ying Company shows a decrease in its assets and a decrease in its equity. Which of the following transactions could have caused that effect?
A. Equipment was purchased for cash.
B. Cash was received from providing services to a customer.
C. Advertising expense for the month was paid in cash.
D. The company paid an amount due on credit.
E. A utility bill was received for the current month, to be paid in the following month.
Answer: C
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