If a Farm receives $$12,900$ from its owner to establish a farming business, the effect on the accounting equation would be:

Assets increase $$12,900$ and liabilities increase $$12,900$

Assets decrease $$12,900$ and equity decreases $$12,900$

Assets increase $$12,900$ and liabilities decrease $$12,900$

Assets increase $$12,900$ and equity increases $$12,900$

L$$abilities increase $$12,900$ and equity decreases $$12,900$