Hi! each question below has answer (Bold). Could you please explain me why those are the answers and why the others (each) are wrong? I am preparing for my final and just want to make sure I really understand why and why not of each of them. Thanks.

2) Rico Inc. issues a 90day, 4%, 53,000 note on account. This transaction a] increases net assets and earnings per share of the company b] decreases net assets and increases earnings per share of the company *c] has no effect on net assets and earnings per share of the company d] decreases net assets and earnings per share of the company 3) As interest is recorded on an interestbearing note, the Interest Expense account is a] decreased; the Interest Payable account is increased. *b} increased; the Interest Payable account is increased. c] increased; the Notes Payable account is decreased. d] increased; the Notes Payable account is increased