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

Borrowed $21,000 from a bank.

Bought equipment costing $10,100, paying the manufacturer $5,300 in cash and promising to pay the remaining $4,800 next month.

Paid utility expenses of $5,397.

Purchased a $5,000, five-year insurance policy, paying for two years in advance.

Paid back a previous loan for $3,480.

7. If total liabilities on August 1 were $32,706, what were total liabilities on August 31?

A: $25,098

B: $29,365

C: $34,357

D: $40,197

E: $47,031

F: $55,026

Tries 0/99

8. If total assets on August 1 were $72,951, what were total assets on August 31?

A: $56,115

B: $65,654

C: $76,815

D: $89,874

E: $105,153

F: $123,029