Question: How do you balance the accounting equation for a $ 2 0 0 tool purchased on credit? Decrease liabilities and increase equity by the same

How do you balance the accounting equation for a $200 tool purchasedon credit?
Decrease liabilities and increase equity by the same amount, with no change to assets
Increase assets and increase equity by the same amount, with no change to liabilities
Increase liabilities and decrease equity by the same amount, with no change to assets

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