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and yeah, just the necessities being a well pump and fridge/lights shouldn't be an issue.
I do my house with an MEP-802A, so just under twice the output that you've got, and in all reality I could get by with a lot less if I planned to never use the hot water heater, oven, or dryer. Lights, a...
Yes, when you add the jumper then L0 becomes your neutral, and would have to be connected to the house neutral in order to do 120V loads.
Once you add the jumper just make sure you don't turn the selector knob to any other voltages as you could fry the generator by doing so. If it's possible...
I changed my post to different information as what I found out completely changed everything that's needed to be known. Looks like you responded before I fixed it..
It also explains why your well pump being 240V is the only thing working right.
It took me a little while to find, but near the very end of TM 5-6115-271-14 it shows switch position "C" which is the 240V 1 phase uses L1 and L2 to give 240V. To have it as 120/240 would require a third terminal being used, so this is a 240V ONLY in this position, not 120/240...