Instructions:

1) Prepare journal entries (including explanations) for each transaction.

2) Post each transaction to the appropriate ledger accounts (use the T account format).

3) Prepare a trial balance dated March 31, 2022.

4) Using figures from the trial balance prepared in part 3, compute total assets, total liabilities, and owners equity.

5) Explain why the Retained Earnings account has a zero balance in the trial balance.

6) The accounting system of most businesses, whether manual or computer-based, is some form of a double-entry system of accounting. What is meant by the term "double-entry accounting"? Explain.

7) What is the purpose of a journal and its relationship to the ledger? Explain.

8) Explain how revenue and expense transactions are recorded in an accounting system.

In March 2022, Maribel Fernandez organized a corporation to provide package delivery services. The company, called Maribel Deliveries S.L., began operations immediately. Transactions during the month of March were as follows. Mar. 2 The corporation issued 40,000 shares of capital stock to Maribel Fernandez in exchange for 80,000 cash. Mar. 4 Purchased a truck for 45,000. Made a 15,000 cash down payment and issued a note payable for the remaining balance. Mar. 5 Paid Sloan Properties 2,500 to rent office space for the month. Mar. 9 Billed customers 11,300 on account for services for the first half of March. Mar. 15 Paid 7,100 in salaries earned by employees during the first half of March. Mar. 19 Paid Bill's Auto 900 for maintenance and repair services on the company truck. Mar. 20 Collected 3,800 of the amounts billed to customers on March 9. Mar. 28 Billed customers 14,400 on account for services performed during the second half of the month. Mar. 30 Paid 7,500 in salaries earned by employees during the second half of the month. Mar. 30 Received an 830 bill from SY Petroleum for fuel purchased in March. The entire amount is due by April 15. Mar. 30 Declared a 1,200 dividend payable on April 30. The account titles used by Maribel Deliveries S.L. are as follows. In March 2022, Maribel Fernandez organized a corporation to provide package delivery services. The company, called Maribel Deliveries S.L., began operations immediately. Transactions during the month of March were as follows. Mar. 2 The corporation issued 40,000 shares of capital stock to Maribel Fernandez in exchange for 80,000 cash. Mar. 4 Purchased a truck for 45,000. Made a 15,000 cash down payment and issued a note payable for the remaining balance. Mar. 5 Paid Sloan Properties 2,500 to rent office space for the month. Mar. 9 Billed customers 11,300 on account for services for the first half of March. Mar. 15 Paid 7,100 in salaries earned by employees during the first half of March. Mar. 19 Paid Bill's Auto 900 for maintenance and repair services on the company truck. Mar. 20 Collected 3,800 of the amounts billed to customers on March 9. Mar. 28 Billed customers 14,400 on account for services performed during the second half of the month. Mar. 30 Paid 7,500 in salaries earned by employees during the second half of the month. Mar. 30 Received an 830 bill from SY Petroleum for fuel purchased in March. The entire amount is due by April 15. Mar. 30 Declared a 1,200 dividend payable on April 30. The account titles used by Maribel Deliveries S.L. are as follows