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Questions 4, 5, and 6 refer to the following information X Company is a merchandiser and prepares monthly financial statements. The following is its balance sheet at the beginning of January:

Balance Sheet January 1

ASSETS		EQUITIES
Cash	54,772	Account Payable	56,673
Accounts Receivable	34,642	Wages Payable	1,235
Inventory	84,302	Notes Payable	31,178
Prepaid Rent	5,462	Paid-In Capital	251,220
Equipment	227,521	Retained Earnings	66,393
Total Assets	406,699	Total Equitues	406,699

The following summary transactions occurred during January:

Sold stock to investors for $46,000.

Borrowed $28,000 from a bank.

Bought merchandise from suppliers, paying $3,042 and promising to pay $5,409 next month.

Bought equipment from a manufacturer, paying $30,500 and promising to pay $4,600 in three months.

Paid $4,287 to merchandise suppliers that it had promised to pay.

Sold merchandise, receiving $16,110 cash and promises to pay of $4,280; the merchandise that was sold previously cost $10,195.

Paid a total of $594 for rent and insurance in advance.

Received $2,800 from customers who had promised to pay. Paid $5,830 for wages, utilties, and other miscellaneous expenses.

Note: Ignore adjusting entries.

4. What was the cash balance on January 31?

5. What were total equities on January 31?

6. What was net income in January?

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