Jennifer Davis opened a law office on July 1, 2022. On July 31, the balance sheet showed Cash $5,100, Accounts Receivable $1,700, Supplies $400, Equipment $5,800, Accounts Payable $4,100, and Owner's Capital $8,900. During August, the following transactions occurred. 1. Collected $1,400 of accounts receivable. 2. Paid $2,700 cash on accounts payable. 3. Recognized revenue of $7,900 of which $3,100 is collected in cash and the balance is due in September. 4. Purchased additional equipment for $2,300, paying $400 in cash and the balance on account. 5. Paid salaries $1,800, rent for August $1,200, and advertising expenses $450. 6. Withdrew $900 in cash for personal use. 7. Received $1,100 from Standard Federal Bank-money borrowed on a note payable. 8. Incurred utility expenses for month on account $270. JENNIFER DAVIS, ATTORNEY AT LAW Income Statement A A $