Mailin Moon is a freelance writer who submits articles to various magazines and newspapers. She operates out of a small office where she employs one administrative assistant. The following activities occurred during March 2020, her first month of business: a. Moon invested $2,500 worth of equipment into her business along with $3,000 cash. b. Submitted a series of articles to The Globe and Mail and received $6,500 cash. c. Purchased supplies on credit; $600. d. Paid the part-time administrative assistant's salary of $1,450. e. Moon ordered $3,000 of office equipment from the IKEA catalogue. It is scheduled to arrive in April or May. f. Paid the rent for the first month; $1,400. g. Submitted an article to Report on Business, will receive $4,500 next month. 1. Prepare an income statement. Mailin Moon-Freelance Writing Income Statement For Month Ended March 31, 2020 Revenues: Freelance writing revenue Operating expenses: Salaries expense Rent expense Total operating expenses Profit 0 2. Prepare a statement of changes in equity. Mailin Moon-Freelance Writing Statement of Changes in Equity For Month Ended March 31, 2020 Mailin Moon, capital, March 1 Investments by owner Profit Mailin Moon, capital, March 31 0 3. Prepare a balance sheet. Mailin Moon-Freelance Writing Balance Sheet March 31, 2020 Liabilities Accounts payable Assets Cash Accounts receivable Supplies Equipment Total assets Equity Mailin Moon, capital Total liabilities and equity HA 0 $ 0 Analysis Component: Based on the ending balances of assets in the month end balance sheet Identify which assets were financed by a. Liabilities, b. Owner investment and c. Profit/Owners' equity. Also identify the amount(s) for each. Asset Amount a. Liabilities b. Owner investment Profit/Owners' equity C. Profit/Owners' equity