Michelle Walker opened a law office on July 1, 2020. On July 31, the balance sheet showed Cash $5,300, Accounts Receivable $2,000, Supplies $500, Equipment $6,100, Accounts Payable $3,500, and Owner's Capital $10,400. During August, the following transactions occurred. Collected $1,700 of accounts receivable. L 2 Paid $2,400 cash on accounts payable. 3. Recognized revenue of $7,300, of which $2,900s collected in cash and the balance is due in September. 4 Purchased additional equipment for $2,100, paying $300 in cash and the balance on account. 5. Paid salaries $2,300, rent for August $1,200, and advertising expenses $450. 6. 7 8. withdrew $800 in cash for personal use. Incurred utility expenses for month on account $230. Received $1,900 from Standard Federal Bank-money borrowed on a note payable.