Brothers Herry and Herman Housyerdsy began operations of their machine shop $($H & H Tool, lincorporated$)$ on January $1,$

The snnusl reporting period end: December $31.$ The trial bolance on January $1,2021,$ follows the amounts are

rounded to thousands of dolers to aimplifyls

Tranactions and events during $2021($aummarized in thousands of dollars$)$ follow:

a$.$ Borrowed $$13$ cash on March $1$ uaing a shortterm note.

b$.$ Purchased land on March $2$ for future bullding site; poid cash, $$7.$

c$.$ lssued sditiongl shares of common stock on Aprli $3$ for $$34.$

d$.$ Purchssed software on July $4,$$$12$csah.

e$.$ Recelved supplies on account on October $5$ for future use, $$17.$

$f$ Pald sccounts posyble on November $6,$ $$14.$

g$.$ Signed o $$30$ semice contract on November $7$ to start Februery $1,2022$

h$.$ Recorded revenue: of $$140$ on December $8,$ inclualing $$30$ on credit end $$110$ collected in cssh$.$

L$.$ Recognized salaries and wsges expense on December $9,$ $$75$ pald in cash.

f$.$ Collected sccounta recelvable on December $10,$ $$14.$

Dats for abjuating joumel entries as of December $31$:

k$.$ Unrecorded amortization for the year on sothware, $$5.$

L$.$ Supples counted on December $31,2021,$ $$11.$

m$.$ Deprecistion for the year on the equipment, $$7.$

$n.$ Interest of $$2$ to sccrue on notes poybble.

a$.$ Solaries ond weges esrned but not yet poid or recorded, $$13.$

p$.$ Income tax for the year ws: $$9.$ It will be pold in $2022$

$4-2($Algo$)$ Part $6$

quired:

a$.$ Prepare in income statement.

b$.$ Prepsre the statement of retsined esrnings.

c$.$ Prepore the bolance sheet.

Complete this question by entering your answers in the tabs below.

$68$

Prepare an income statement. $($Enter your answers in thoukands of dollars.$)$