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6 Brothers Harry and Herman Hausyerday began operations of their machine shop (H&H Tool, Incorporated on January 1 2020. The annual reporting period ends December

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6 Brothers Harry and Herman Hausyerday began operations of their machine shop (H&H Tool, Incorporated on January 1 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, follows the amounts are rounded to thousands of dollars to simplify: Account Titles Debit Credit Cash $3 Accounts Receivable 5 Supplies 12 Land Equipment 66 Accumulated Depreciation Software 21 Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Common Stock 82 Retained Earnings 8 Service Revenue Salaries and Wages Expense Depreciation Expense Amortization Expense Income Tax Expense 8 Interest Expense Supplies Expense Totals $ 107 $ 107 @ Transactions and events during 2021 (summarized in thousands of dollars) follow: a. Borrowed $12 cash on March 1 using a short-term note. b. Purchased land on March 2 for future building site; paid cash, $9. c Issued additional shares of common stock on April 3 for $29. d. Purchased software on July 4, $10 cash. e. Purchased supplies on account on October 5 for future use, $18. f Paid accounts payable on November 6, $13. g. Signed a $25 service contract on November 7 to start February 1, 2022. h. Recorded revenues of $172 on December 8, including $46 on credit and $126 collected in cash. 1. Recognized salaries and wages expense on December 9, $91 paid in cash. j. Collected accounts receivable on December 10, $30. Data for adjusting journal entries as of December 31: k Unrecorded amortization for the year on software, $6. 1. Supplies counted on December 31, 2021, $10. m. Depreciation for the year on the equipment, $6. n. Interest of $1 to accrue on notes payable. o. Salaries and wages earned but not yet paid or recorded, $12. p. Income tax for the year was $8. It will be paid in 2022. Cash Accounts Receivable 3 Credit 9 85 Debit Beginning Balance (c) Credit 24 40 Debit Beginning Balance (a) (b) (c) (d) 12 120 10 13 3 24 Ending Balance Ending Balance 45 Supplies Land Credit Debit Beginning Balance (a) Credit 20 12 Debit Beginning Balance (a) 0 18 Ending Balance 10 Ending Balance Equipment Credit Accumulated Depreciation Debit Beginning Balanc Debit Beginning Balance Credit 60 Ending Balance 60 Ending Balance Software Credit Accumulated Amortization Debit Beginning Balance Debit Beginning Balance (6) Credit 15 10 Ending Balance 25 Ending Balance Accounts Payable Credit Credit Notes Payable (short-term) Debit Beginning Balance of 12 13 Debit Beginning Balance (c) 5 18 9 12 Ending Balance 17 Finding Dalane Required information Interest Payable Salaries and Wages Payable Debit Credit Beginning Balance 0 12 Credit Dibit Beginning Balance 0 Ending Balance 12 Ending Balance Income Tax Payable Common Stock Credit Credit Debit Beginning Balance Debit Beginning Balance 0 14 13 Ending Balance Ending Balance Retained Earnings Service Revenue Credit Credit Debit Beginning Balance (a) 8 Debit Beginning Balance (c) 0 23 160 160 31 Ending Balance 0 Ending Balance Salaries and Wages Expense Debit Credit Beginning Balance Credit + Depreciation Expense Debit Beginning Balance 0 6 6 Ending Balance 0 Ending Balance Income Tax Expense Credit Credit Amortization Expense Debit Beginning Balance 0 5 Debit Beginning Balance 0 5 8 8 0 Ending Balance Ending Balance Interest Expense Supplies Expense Credit Credit Debit Beginning Balance Debit Beginning Balance 0 0 1 20 20 Ending Balance Ending Balance 0 Required: T accounts. Enter beginning balances and post journal entries from Part 2, the adjusting journal entries from Part 4, and the closing entry from Part 7 (Enter your answers in thousands of dollars.)

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