Question $1(1$ point$)$

What is the effect of the following business activity on the element indicated? Make a payment of $\backslash (\backslash$$ $25\backslash )$ for interest on a loan that was appropriately accrued at the end of last month. $---$ Equity

$1)$ no effect

$2)$ increase

$3)$ decrease

$4)$ increase to one and decrease to another