C4-4 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, Inc.) on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, follows (amounts are rounded to thousands of dollars to simplify). Account Titlon Debit Credit Cash $4 Recounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (long-term) salaries and Wages Payable Interest Payable Income Tax Payable Deterred Revenge Common Stock Retained Earnings Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expanse Interest Expense Income Tax Expense Totals $32 5.32 $0 13 8 OOOO 0 0 0 0 Transactions during 2018 (summarized in thousands of dollars) follow: 2 12 of 9 a. Borrowed $12 cash on July 1, 2018, signing a six-month note payable. b. Purchased equipment for $14 cash on July 2 c.Issued additional shares of common stock on July 3 for $4. d. Purchased additional equipment on August 4, $4 cash. e. Purchased, on account, supplies on September 5 for future use. $9 f. On December 6, recorded revenues in the amount of $55, including $8 on credit and $47 received in cash. g. Paid salaries and wages expenses on December 7. $28. h. Collected accounts receivable on December 8, 57 1. Paid accounts payable on December 9, $10. Received a $4 deposit on December 10 for work to start January 15, 2019. sloped Data for adjusting journal entries on December 31 . Print nonces k Amortization for 2018, $4. Supplies of $5 were counted on December 31, 2018 m. Depreciation for 2018, $1. n Accrued interest on notes payable of $2 a Wages earned but not yet paid, $2 p. Income tax for 2018 was $7 and will be paid in 2019 C4.4 Part 1,3,5, and 8 1,3,5 and 8. Set up T-accounts for the accounts on the trial balonce. Enter beginning balances and post the transactions a, adjusting entries, and closing entry (Enter your answers in thousands of dollars) Accurnulated Amortization Accounts Payablo 2 of 9 Beg. Bal Beg. Bal. End. Bal. End. Bal. ipped Notes Payable (short-term) Salaries and Wages Payable Beg. Bal. Beg. Bal Book Print Forences End. Bal. 0 End. Bal. Interest Payable Income Tax Payable Beg Ball Beg. Bat. End. Bal End, Bal. Doferred Revenue Common Stock Beg Bal Beg Bal End, Bal End. Bal Service Revenue Retained Earnings of 9 Beg. Bal. Beg. Bal. End. Bal. End. Bal. pod Income Tax Expense Interest Expense Beg. Bal. Beg. Bal. Book Print orences End. Bal. End. Bal. Depreciation Expense Supplies Expenses Beg. Bal. Beg. Bal. End. Bal. End. Bal. Salaries and Wages Expense Amortization Expense Beg Bal Beg. Bal LAZY SOFA FURNITURE, INC. Unadjusted Trial Balance At December 31, 2018 (in thousands) Debit Credit Account Titles Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expenses Salaries and Wages Expense Depreciation Expense 14 Required information Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expenses Salaries and Wages Expense Depreciation Expense Amortization Expense Interest Expense Income Tax Expense Totals $ 0 $ $ View transaction list X: 1 Record the adjusting entry for amortization. ed 2 Record the adjusting entry for supplies counted on December 31, 2018. ok 3 Record the adjusting entry for depreciation for 2018. nt 4 Record the adjusting entry for accrued interest on notes payable. nces Credit 5 Record the adjusting entry for salaries and wages earned but not yet paid. f 6 Record the adjusting entry for income tax expense for 2018 for that will be paid in 2019. Note : = journal entry has been entered Record entry Clear entry View general je LAZY SOFA FURNITURE, INC. Adjusted Trial Balance (in thousands) Account Titles Debit Credit Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expenses Salaries and Wages Expenses Depreciation Expense Amortization Expense Depreciati Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expenses Salaries and Wages Expenses Depreciation Expense Amortization Expense Interest Expense Income Tax Expense Totals $ 0 $ 0 Required information Req 6A Req 6B Req 6C of 9 Prepare an income statement. LAZY SOFA FURNITURE, INC. Income Statement ped (in thousands) Book Print + erences 0 0 Required information (For all requirements, enter your answers in thousanas or bf9 Complete this question by entering your answers in the Req 6A Req 6B Reg 6C oped Prepare statement of retained earnings. Book LAZY SOFA FURNITURE, INC. Statement of Retained Earnings Print erences (in thousands) Balance, January 1, 2018 Balance, December 31, 2018 $ 0