X Company, a merchandiser, had the following transactions in August:

Borrowed $30,000 from a bank.

Bought equipment costing $10,300, paying the manufacturer $5,600 in cash and promising to pay the remaining $4,700 next month.

Paid utility expenses of $5,005.

Purchased a $6,000, five-year insurance policy, paying for two years in advance.

Paid back a previous loan for $3,670.

7. If the balance in the cash account on August 1 was $37,894, what was the cash balance on August 31?

A: $51,219

B: $74,268

C: $107,688

D: $156,148

E: $226,414

F: $328,300

Tries 0/99

8. If total equities on August 1 were $72,261, what were total equities on August 31?

A: $98,286

B: $114,995

C: $134,544

D: $157,416

E: $184,177

F: $215,487