Question

Bonnie's baskets purchases $4,000 worth of office equipment on account. This causes

A). Cash and capital to decrease
B). Office equipment and accounts payable to increase
C). Office equipment to decrease and account payable to increase
D). Accounts payable to increase and capital to decrease

Answer 1

The answer to you questions is letter B. Office Equipment AND Accounts Payable to increase. 

Answer 2

The entry of this transaction is
Debt to office equipment 4000
Credit to accounts payable 4000

The causes in the balance sheet
Office equipment increases in the side of assets and accounts payable increases in the side of liabilities.

So the answer is B

Hope it helps!