Please answer and explain the following three questions.

Questions 4, 5, and 6 refer to the following balance sheet and transactions: web> X Company is a merchandiser and prepares monthly financial statements. The following is its balance sheet at the beginning of July: Balance Sheet July 1 Assets Equities Cash $50,449 Accounts Payable $57,942 Accounts Receivable 31,081 Notes Payable 30,147 Inventory 77,884 Prepaid Rent 5,185 Paid-In Capital 217,063 Equipment 202,827 Retained Earnings 62,274 Total Assets $367,426 Total Equities $367,426 The following summary transactions occurred during July: 1. Sold stock to investors for $46,000. 2. Borrowed $20,000 from a bank and paid off a $11,000 bank loan. 3. B Bought $8,371 of merchandise from suppliers, paying $3,263 and promising to pay the rest in August. 4. Bought equipment for $41,800 from a manufacturer, paying $5,000 and promising to pay the rest in September. 5. Paid $3,334 to suppliers that it bought merchandise from in June. 6. Sold merchandise, receiving $15,589 cash and promises from customers to pay $4,731; the merchandise that was sold cost $10,160 and was purchased earlier in July. 7. Paid $594 for rent in advance. 8. Received $3,587 from customers who purchased merchandise last month. 9. Paid wages and other miscellaneous expenses totaling $5,280. Note: Ignore adjusting entries. 4. What was the cash balance on July 31? OA: $57,183 OB: $66,904 C: $78,277|OD: $91,585|OE: $107,154|OF: $125,370|OG: $146,683|OH: $171,619 Submit Answer Tries 0/3 5. What were total equities on July 317 OA: $290,882 OB: $340,332|OC: $398,188|OD: $465,880 OE: $545,080|OF: $637,743|OG: $746,159|OH: $873,007 Submit Answer Tries 0/3 6. What was Net Income in July? OA: $3,565|OB: $4,171|OC: $4,880|OD: $5,710|OE: $6,680|OF: $7,816|OG: $9,145|OH: $10,699 Submit Answer Tries 0/3