Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Inc.) on January 1, 2016. The annual reporting period ends

Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Inc.) on January 1, 2016. The annual reporting period ends December 31. The trial balance on January 1, 2018, follows (the amounts are rounded to thousands of dollars to simplify): Account Titles Debit Credit Cash $ 3 Accounts Receivable 5 Supplies 12 Land 0 Equipment 63 Accumulated Depreciation $ 6 Software 18 Accumulated Amortization 8 Accounts Payable 5 Notes Payable (short-term) 0 Salaries and Wages Payable 0 Interest Payable 0 Income Tax Payable 0 Common Stock 74 Retained Earnings 8 Service Revenue 0 Salaries and Wages Expense 0 Depreciation Expense 0 Amortization Expense 0 Income Tax Expense 0 Interest Expense 0 Supplies Expense 0 Totals $ 101 $ 101 Transactions and events during 2018 (summarized in thousands of dollars) follow: Borrowed $12 cash on March 1 using a short-term note. Purchased land on March 2 for future building site; paid cash, $9. Issued additional shares of common stock on April 3 for $26. Purchased software on July 4, $10 cash. Purchased supplies on account on October 5 for future use, $18. Paid accounts payable on November 6, $13. Signed a $25 service contract on November 7 to start February 1, 2019. Recorded revenues of $166 on December 8, including $43 on credit and $123 collected in cash. Recognized salaries and wages expense on December 9, $88 paid in cash. Collected accounts receivable on December 10, $27. Data for adjusting journal entries as of December 31: Unrecorded amortization for the year on software, $8. Supplies counted on December 31, 2018, $10. Depreciation for the year on the equipment, $6. Interest of $1 to accrue on notes payable. Salaries and wages earned but not yet paid or recorded, $12. Income tax for the year was $8. It will be paid in 2019. Prepare an unadjusted trial balance. (Enter your answers in thousands of dollars.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Future Of Auditing

Authors: David Hay

1st Edition

1138477087, 9781138477087

More Books

Students also viewed these Accounting questions

Question

=+b) Explain the meaning of the slope of the line.

Answered: 1 week ago