أنشئ حسابًا أو سجّل الدخول للانضمام إلى مجتمعك المهني.
Option3 is the right answer.
3................ Should be the right answer
My answer is3. No Effect.
When the company repays its debt to the bank, there is no effect with the owner’s equity. The entry in making the payment is debit to Loans and credit to Cash. However, most loans have interest in which could decrease owner’s equity.