Margie Van Epps established Health Services, P.C., a professional corporation, in March of the current year. Health Services offers healthy living advice to its clients. The effect of each transaction on the balance sheet and the balances after each transaction for March are as follows. Each increase or decrease in stockholders' equity, except transaction (h), affects net income.

a. Describe each transaction.
b. What is the amount of the net income for March?

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Financial Statement Effects BALANCE SHEET LiabilitiesStockholders' Equity Accounts Common Assets Retained Cash ReceivableSupplies Payable Stock Earnings Accounts 35,000 35,000 1,800 1,800 (800) 1,000 1,800 1,800 b. Bal. 35,000 (800) 34,200 31,300 65,500 (25,000) 40,500 35,000 Bal. d. Bal. 1,800 35,000 31,300 31,300 (25,000) 6,300 1,250) 5,050 8,900 13,950 (6,000) 7,950 1,800 1,000 35,000 Bal. 1,800 (1,250) 550 1,000 35,000 Bal g. Bal. h. Bal. 40,500 1,000 35,000 8,900 40,500 (6,000) 34,500 8,900 550 1,000 35,000 8,900 550 1,000 35,000 STATEMENT OF CASH FLOWs 35,000 INCOME STATEMENT s. Financing c. Operating d. Operating e. Operating h. Financing d. Fees earned e. Expenses f. Expenses g. Fees earned 31,300 25,000) 1,250) (800) 31,300 (25,000 13,950 34,50