Analyze transactions and prepare income statement, owner's equity statement, and balance sheet Sharon Lee opened a law office on July 1, 2022. On July 31, the balance sheet showed Cash $5,500, Accounts Receivable $1,800, Supplies $500, Equipment $6,200, Accounts Payable $4,200, and Owner's Capital $9,800. During August, the following transactions occurred. 1. Paid $2,500 cash on accounts payable. 2. Collected $1,500 of accounts receivable. 3. Recognized revenue of $7,400 of which $1,700 is collected in cash and the balance is due in September. 4. Incurred utility expenses for the month on account of $330. 5. Purchased additional equipment for $2,000, paying $300 in cash and the balance on account. 6. Received $1,700 from Standard Federal Bank - money borrowe