Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, Called Northland Physical Therapy, on January 1, 2020. The annual reporting period ends December 31 The trial balance on January 1, 2021 was as follows the amounts are rounded to thousands of dollars to simplity Account Title Debat Credit Cash $ Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable notes Payable (short-term) salaries and wages Payable Interest Payable Income Taxes Payable Deferred Revenue Comon stock detained Earnings Service Revenue Depreciation Expense Amortization Expense Salaries and wages Expense Supplies Expense Interest Expense 0 Income Tax Expense Totals 3.27 $ 27 Transactions during 2021 (summarized in thousands of dollars) follow a Borrowed 515 cash on July 1, 2021. signing a six-month note payable b. Purchased equipment for $18 cash on July 2. 2021 c Issued additional shares of common stock for $4 on July 3 d. Purchased software on July 4 $4 cash e Purchased supplies on July 5 on account for future use. $6 Recorded revenues on December 6 of $50, including $10 on credit and $40 received in cash g Recognized salaries and wages expense on December 7 of $23. paid in cash n Collected accounts receivable on December 8. $7 Paid accounts payable on December 9. $8. Received a $4 cash deposit on December 10 from a hospital for a contract to start January 5, 2022 Data for adjusting journal entries on December 31 k Amortization for 2021. $1 Supplies of $4 were counted on December 31, 2021 m Depreciation for 2021. $2 n Accrued interest of $1 on notes payable o Salaries and wages incurred but not yet paid or recorded. 55 p. Income tax expense for 2021 was 55 and will be paid in 2022 1 Borrowed $15 cash on July 1, 2021, signing a six-month note payable. Record the transaction. 2 Purchased equipment for $18 cash on July 2, 2021. Record the transaction. Issued additional shares of common stock for $4 on July 3. Record the transaction. 4 Purchased software on July 4, $4 cash. Record the transaction. 5 Purchased supplies on July 5 on account for future use, $6. Record the transaction. 6 Recorded revenues on December 6 of $50, including $10 on credit and $40 received in cash. Record the transaction. Recognized salaries and wages expense on December 7 of $23; paid in cash. Record the transaction. 8 Collected accounts receivable on December 8, $7. Record the transaction. 9 Paid accounts payable on December 9, $8. Record the transaction. 10 Received a $4 cash deposit on December 10 from a hospital for a contract to start January 5, 2022. Record the transaction 11 Amortization for 2021, $1. Record the adjusting entry. 12 Supplies of $4 were counted on December 31, 2021. Record the adjusting entry. 13 Depreciation for 2021, $2. Record the adjusting entry, 14 Accrued interest of $1 on notes payable. Record the adjusting entry. 15 Salaries and wages incurred but not yet paid or recorded, $5. Record the adjusting entry. 16 Income tax expense for 2021 was $5 and will be paid in 2022. Record the adjusting entry. 13 Depreciation for 2021, $2. Record the adjusting entry. 14 Accrued interest of $1 on notes payable. Record the adjusting entry. 15 Salaries and wages incurred but not yet paid or recorded, $5. Record the adjusting entry. 16 Income tax expense for 2021 was $5 and will be paid in 2022. Record the adjusting entry. 17 Record entry to close revenue and expense accounts to retained earnings. Combine the closing of revenue and expenses into one entry. General Ledger Account Cash Accounts Receivable Debit Credit Balance No. Debit Credit Balance 15 23 Date January 01 2021 December 06 2021 December 08 2021 6 10 14 18 5 8 4 9 7 7 No. Date January 01 2021 1 July 01, 2021 2 July 02, 2021 3 July 03, 2021 4 July 04, 2021 December 06 6 2021 7 December 07 2021 December 08 2 2021 December 10 10 2021 4 5 40 45 m 23 22 29 . 33 Supplies Debit Equipment Debit Credit Credit Balance 7 No. Date January 01 2021 5 July 05, 2021 12 December 31 2021 Balance No. Date January 01 2021 102 July 02, 2021 6 6 18 25 Accumulated Depreciation Debit Credit Software No. Date Balance Debit Credit Balance 1 No. Date January 01 2021 4 July 04, 2021 4 December 31, 2021 13 8 Accumulated Amortization No. Notes Receivable (long-term) Debit Credit Debit Credit Balance No. Date Date January 01 2021 December 31 2021 Balance 0 (15) 1 July 01, 2021 11 15 Accounts Payable Debit Credit Balance Interest Payable Debit Credit No. Balance 4 No. Date January 01 2021 5 July 05, 2021 9 December 09 2021 Date January 01 2021 December 31 0 6 10 14 2021 8 2 Salaries and Wages Payable Debit Credit No. Date Balance Income Tax Payable Debit Credit No. Date Balance Deferred Revenue Common Stock Debit Credit Balance No. Debit Credit No. Balance 14 0 Date January 01 2021 December 10 2021 Date January 01 2021 3 July 03, 2021 18 4 10 Service Revenue Retained Earnings Debit Credit Credit Balance Balance No. Debit No. 0 Date January 01 2021 7 Date January 01 2021 December 06 2021 December 31 2021 6 50 50 27 23 17 Amortization Expense Depreciation Expense Debit Credit No. Balance Debit Credit Balance No. 0 0 Date January 01 2021 December 31 2021 Date January 01 2021 December 31 2021 2 2 2 13 11 Interest Expense Debit Credit No. Balance No. Balance 0 0 Date January 01 2021 December 31 2021 Salaries and Wages Expense Date Debit Credit January 01 2021 December 07 23 2021 December 31 5 2021 1 14 1 1 7 23 15 28 Supplies Expense Debit Credit Income Tax Expense Debit Credit No. Date Balance No. Date Balance 0 0 December 31 12 2021 16 December 31 2021 5 NORTHLAND PHYSICAL THERAPY Trial Balance December 31, 2021 Account Title Debit Credit 5 33 7 6 25 2 8 15 2 5 Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Notes Receivable (long-term) Accounts Payable Interest Payable Salaries and Wages Payable Income Tax Payable Deferred Revenue Common Stock Relained Earnings Service Revenue Amortization Expense Depreciation Expense Interest Expense Salaries and Wages Expense Supplies Expense Income Tax Expense Total 5 18 17 23 1 2 1 28 4 . 5 120 S $ 85 Post-closing NORTHLAND PHYSICAL THERAPY Income Statement For the Year Ended December 31, 2021 (in thousands) Revenues S 0 0 0 0 0 0 0 0 0 0 49 0 NORTHLAND PHYSICAL THERAPY Statement of Retained Earnings For the Year Ended December 31, 2021 (in thousands) Balance, January 1, 2021 33 Balance, December 31, 2021 33 3 Unadjusted NORTHLAND PHYSICAL THERAPY Balance Sheet At December 31, 2021 (in thousands) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Equipment 25 Software 25 0 a 0 $ S 0 33 0 33 33 8 33 5 s How much net income did Northland Physical Therapy, generale during 2021? What was its net profit margin? (Round "Net Profit Margin" to 1 decimal place) Net Income Net Profit Margin % Is the business financed primarily by liabilities or stockholders' equily? What is the current ratio? (Round your answer to 2 decimal places.) Current Ratio