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4 2 6 Required information C4-4 (Static) From Recording Transactions (Including Adjusting Journal Entries) to Preparing Financial Statements and Closing Journal Entries (Chapters 2, 3,

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4 2 6 Required information C4-4 (Static) From Recording Transactions (Including Adjusting Journal Entries) to Preparing Financial Statements and Closing Journal Entries (Chapters 2, 3, and 4) (LO 2-3, LO 3-3, LO 4-1, LO 4-2, LO 4-3, LO 4-4, LO 4-5, LO 4-6] [The following information applies to the questions displayed below) Alison and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Furniture, Incorporated) on January 1, 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, follows (amounts are rounded to thousands of dollars to simplify). Account Titles Debit Credit Cash $ 5 Accounts Receivable Supplies Equipment Accumulated Depreciation Software 12 Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock 15 Retained Earnings Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expense Interest Expense Income Tax Expense @ Totals $ 29 $ 29 $ @ 0 Transactions during 2021 (summarized in thousands of dollars) follow: a. Borrowed $21 cash on July 1, 2021, signing a six-month note payable. b. Purchased equipment for $18 cash on July 2. c. Issued additional shares of common stock on July 3 for $5. d. Purchased additional equipment on August 4, $3 cash. e. Purchased, on account, supplies on September 5 for future use, $10. 1. On December 6, recorded revenues in the amount of $65, including $9 on credit and $56 received in cash. 9. Paid salaries and wages expenses on December 7. $35. h. Collected accounts receivable on December 8, $8. 2. Paid accounts payable on December 9, $11. . Received a $3 deposit on December 10 for work to start January 15, 2022. Data for adjusting Journal entries on December 31: k Amortization for 2021, $3. Supplies of $4 were counted on December 31, 2021. m. Depreciation for 2021, $2. n. Accrued interest on notes payable of $1. o. Salaries and wages earned but not yet paid $3. p. Income tax for 2021 was $4 and will be paid in 2022. C4-4 (Static) Part 6 6-a. Prepare an income statement 6-b. Prepare statement of retained earnings. 6-c. Prepare a balance sheet. Complete this question by entering your answers in the tabs below. View transaction list Journal entry worksheet

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