ABC begins its business on January 1, 2022. The owner invests $5,000 in cash and $5,000 of equipment into the business. ABC borrows $5,000 from the bank. ABC purchases $6,000 of equipment, paying cash for it. ABC provides consulting services to its customers, receiving $4,000 in cash and being owed another $8,000. ABC purchases $1,000 in various supplies from a vendor, promising to pay for those supplies in the future. ABC paid $3,000 cash for the current month rent and another $2,000 for utilities.