1 012213 George Littlechild started a new kitchen and bath design business called Littlechild Enterprises. The following activities occurred during its first month of operations, March 2020: a. Littlechild invested $235,000 cash and office equipment valued at $35,000 in the business. b. Purchased a small building for $750,000 to be used as an office. Paid $175,000 in cash and signed a note payable promising to pay the balance over several years. c. Purchased $4,500 of office supplies for cash d. Purchased $87,000 of office equipment on credit. e. Littlechild made reservations at a hotel hosting a kitchen and bath design conference in August 2020. He will send a $2,500 deposit on July 1, 2020. f. Completed a project on credit and billed the client $6,700 for the work. g. Paid a local online newspaper $5,000 for an announcement that the office had opened. h. Completed a project for a client and collected $5,500 cash i. Made a $5,500 payment on the equipment purchased in (d). j. Received $3,250 from the client described in (f). k. Paid $10,000 cash for the office secretary's wages L Littlechild withdrew $5.100 cash from the company bank account to pay personal living expenses. Required: 1. & 2. Complete the following table. Use additions and subtractions to show the transactions' effects on the elements of the equation. For each change in equity, select whether the change was caused by an investment, a revenue, an expense, or a withdrawal. Determine the final total for each item and verify that the equation is in balance (Enter ell amounts as positive values. If the transaction/event does not affect equity or do not require a journal entry, select "No Affect on Equity" in the "Explenetion of equity transaction' field.) 1 Required: 1. & 2. Complete the following table Use additions and subtractions to show the transactions' effects on the elements of the equation For each change in equity, select whether the change was caused by an investment, a revenue, an expense, or a withdrawal. Determine the final total for each item and verify that the equation is in balance. (Enter all amounts as positive values. If the transaction/event does not affect equity or do not require a journal entry, select "No Affect on Equity" in the 'Explanation of equity transaction' field.) 012203 Assets Liabilities Accounts Cash Receivable Office- Supplies Offe Equipment Accounts Notes Building Payable Payable Equity Littlechild Capital Ex Conit (a) $235,000 5 35,000 (b) (c) (d) (e) (g) (h) (X (K) (5) Bal 012250 Assets Accounts Receivale Office Sapplies 5,000 Office Campomut $ 35.000 Libilites Accounts Umesh Building Paysli Capila Connect Test #1 i con=con&external_browser=0 1 01:09:42 3-a. Prepare an income statement. Revenues: Littlechild Enterprises Income Statement For Month Ended March 31, 2020 Service revenue Operating expenses: Wages expense Advertising expense Total operating expenses 8 01:09:39 3-b. Prepare a statement of changes in equity. Littlechild Enterprises Statement of Changes in Equity For Month Ended March 31, 2020 George Littlechild, capital, March 1 Add: Investments by owner Total Less: Withdrawals by owner Loss George Littlechild, capital, March 31 3-c. Prepare a balance sheet. Littlechild Enterprises Balance Sheet March 31, 2020 Cash Accounts receivable Office supplies Office equipment Building Total assets Assets Accounts payable Notes payable Total liabilities Liabilities Equity George Littlechild, capital Total liabilities and equity