The basic accounting equation is Assets+Liabilities=Capital

The owner invests personal cash in the business. This will decrease capital

The company receives cash from a bank loan.  This will credit liability

The company repays the bank that hade lent money to the company.  This will debit assets.

The company purchases equipment with its cash.  This will debit liability.

The company purchase significant amount of supplies on credit. This will debit assets.

The company purchases Machinery in cash.  This will have no effect in Total Assets.

The company paid salaries in cash.  This will decrease liability.

Which of the following will cause owner's equity to increase?

If the company debits the asset, the asset will