Answer:
1. You have $20 in your wallet. You are out shopping at a video store with a friend, and see a DVD you want, but it costs $32. 
A. Your friend loans you enough money to help you pay for it. What are your available funds after you buy the DVD? 
Has: $20 
DVD costs: $32 
Friend's Loan: $12 
Finding the available funds after buying the DVD= ? 
Solution: 
Adding current funds with the money loaned by friend: 
$20 + $12 = $32 
Next, subtract the total amount of the DVD cost to the total amount of money you have right now: 
$32 (DVD cost) - $32 (your total funds) = $0 
Therefore, available funds after buying the DVD are $0. However, to take into consideration the amount that was loaned from by the friend, subtracting it to the remaining funds, then you'll have $0 - $12 = $-12, which is the debt. 
B. After going to the video store, you stop by a bookstore. You see three magazines you want, and each cost $3. Once again, your friend loans you money to buy them. Including your DVD purchase, what are your available funds after buying the magazines? 
Debt already has: $-12 
Three magazines: $3 each 
Friend's loan: $9 (since three magazines times $3 for each equals 9) 
$9 (Magazine costs) - $9 (your total funds) = $0 
Therefore, available funds after buying the magazines are $0. 
Current debt: -$12 (last debt) + -$9 (new debt) = -$21 (current debt)
Good luck! :)