X Company, a merchandiser, had the following transactions in August: 1. Borrowed $20,000 from a bank. 2. Bought equipment costing $9, 200, paying the manufacturer $5, 200 in cash and promising to pay the remaining $4,000 next month. 3. Paid a utility bill for $5, 865. 4. Purchased a $5,000, five-year insurance policy, paying for three years in advance. 5. Received $2, 268 from customers for merchandise that had to be ordered and would be delivered next month. 6. Paid back a previous loan for $3, 290