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C4-4 (Algo) From Recording Transactions (Including Adjusting Journal Entries) to Preparing Financial Statements and Closing Journal Entries (Chapters 2, 3, and 4) [LO 2-3, LO

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C4-4 (Algo) 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 44, LO 4-5, LO 4-6] [The following infomation applies to the questions displayed below]. Allson and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Fumiture, 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) Prepare a balance sheet. (Amounts to be deducted should be indicated by a minus sign. Enter your answers in thousands of dollars.) LAZY SOFA FURNITURE, INCORPORATED Balance Sheet Kequired: 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. Prepare an income statement. (Enter your answers in thousands of dollars.) Complete this question by entering your answers in the tabs below. Prepare statement of retained earnings. (Enter your answers in thousands of dollars.) Transactions during 2021 (summarized in thousands of dollars) follow: a. Borrowed $14 cash on July 1, 2021, signing a six-month note payable. b. Purchased equipment for $16 cash on July 2. cissued additionat shares of common stock on July 3 for $6. d. Purchased additional equipment on August 4,52 cash. e. Recelved supplies on account on supplies on September 5 for future use, $8. f. On December 6 , recorded revenues in the amount of $56, including $7 on credit and $49 received in cash. 9. Paid salarles and wages expenses on December 7,$26. h. Collected accounts recelvable on December 8,$9. 1. Paid accounts payable on December 9,$12 J. Received a $5 deposit on December 10 for work to start January 15, 2022. Data for adjusting journal entries on December 31 : k. Amortization for 2021, \$5. 1 Supplies of $6 were counted on December 31, 2021. m. Depreciation for 2021, \$3. n. Accrued interest on notes payable of $1. o. Salaries and wages earned but not yet paid, $4. p. Income tax for 2021 was $6 and will be paid in 2022

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