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 Titles Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Debit Credit 12 es Payable (long-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earninga Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expense Interest Expense Income Tax Expense 15 Totale $29 29 Transactions during 2018 (summarized in thousands of dollars) follow: a. Borrowed $21 cash on July 1, 2018, signing a six-month note payable. b. Purchased equipment for $18 cash on July 2 c. Issued additional shares of common stock on July 3 for $5 d. Purchased additional equipment on August 4, $3 cash. e. Purchased, on account, supplies on September 5 for future use, $10. f On December 6, recorded revenues in the amount of $65, including $9 on credit and $56 received in cash. g. Paid salaries and wages expenses on December 7, $35 h. Collected accounts recelvable on December 8, $8. i Paid accounts payable on December 9, $11 J. Received a $3 deposit on December 10 for work to start January 15, 2019