Required

Write the company's accounting equation and label each element as a debit amount or a

credit amount. If you use $$28,500$ for the owner's equity, why is the accounting equation out

of balance?

Write the equation to compute Wawa Cottage Management Service's net income or net loss

for March $2022.$ Indicate which element is a debit amount and which element is a credit

amount. Does net income represent a net debit or a net credit? Does net loss represent a net

debit or a net credit?

How much did the owner, Lenni Champlain, withdraw during March $2022?$ Did the

withdrawal represent a debit amount or a credit amount?

Considering both the net income $($or net loss$)$ and withdrawal for March $2022,$ by how much

did the company's owner's equity increase or decrease? Was the change in owner's equity a

debit amount or a credit amount?

The unadjusted trial balance of Wawa Cottage Management Services on March $1,2022,$

lists the company's assets, liabilities, and owner's equity on that date.$|$

During March the business engaged in the following transactions:

Mar. $3$ Borrowed $$45,000$ from the bank and signed a note payable in the name of the

business.

$5$ Paid cash of $$40,000$ to a real estate company to acquire land worth $$10,000$

and a building worth $$30,000$ just north of the town of Wawa. Use a compound

journal entry to record this transaction.

$11$Performed services for a customer and received cash of $$5,000.$

$12$

Purchased supplies on account, $$300.$

$14$

Performed services for a customer and earned revenue on account, $$2,600.$

$17$

Paid $$1,200$ of the Accounts Payable balance shown on the March $1,2022,$ unadjusted trial balance.

$19$

Paid the following cash expenses: salaries, $$3,000$; rent, $$1,500$; and interest, $$400.$

$20$

Received $$3,100$ of the Accounts Receivable balance shown on the March $1,2022,$ trial balance.

$24$

Received a $$200$ utility bill that will be paid next week.

$28$

Lenni Champlain withdrew $$1,800$ for personal use.

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|\}$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$c$|\}\{\backslash$begin$\{$tabular$\}\{$l$\}$

WAWA COTTAGE MANAGEMENT SERVICES $\backslash \backslash$

Unadjusted Trial Balance March $31,2022$

$\backslash$end$\{$tabular$\}\}\backslash \backslash$

$\backslash$hline $\backslash$begin$\{$tabular$\}\{$l$\}$

Account $\backslash \backslash$

Number$*$

$\backslash$end$\{$tabular$\}$ & Account Title & Debit & Credit $\backslash \backslash$

$\backslash$hline $1100$ & Cash & $\backslash$$$31,200$ & $\backslash \backslash$

$\backslash$hline $1200$ & Accounts receivable & $4,000$ & $\backslash \backslash$

$\backslash$hline $1400$ & Supplies & $300$ & $\backslash \backslash$

$\backslash$hline $1900$ & Land & $10,000$ & $\backslash \backslash$

$\backslash$hline $1905$ & Building & $30,000$ & $\backslash \backslash$

$\backslash$hline $2100$ & Accounts payable & & $\backslash$$ $1,300\backslash \backslash$

$\backslash$hline $2300$ & Note payable & & $45,000\backslash \backslash$

$\backslash$hline $3000$ & Lenni Champlain, capital & & $28,500\backslash \backslash$

$\backslash$hline $3100$ & Lenni Champlain, withdrawals & $1,800$ & $\backslash \backslash$

$\backslash$hline $4000$ & Service revenue & & $7,600\backslash \backslash$

$\backslash$hline $5100$ & Interest expense & $400$ & $\backslash \backslash$

$\backslash$hline $5200$ & Rent expense & $1,500$ & $\backslash \backslash$

$\backslash$hline $5300$ & Salaries expense & $3,000$ & $\backslash \backslash$

$\backslash$hline $5400$ & Utilities expense & $200$ & $\backslash \backslash$

$\backslash$hline & Total & $\backslash$$$82,400$ & $\backslash$$$82,400\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$

$*$Note: Listing the account numbers is optional.