how to make a journal entries

1. Prepare journal entries to record the transactions and appropriate adjustments. 2. Post the entries from requirement 1 to T-accounts. calculate ending balances, and prepare an adjusted trial balance. 3. Prepare a classified balance sheet and income statenent for January 3i. C4-2 From Recording Transactions (Including Adjusting Jlourmal Entries) to Preparing Financial LO23,33,41,42,43,44. Statements and Closing Journal Entries (Chaptars 2, 3, and 4.) Brothers Harry and Herman Hausyerday began gperation of their maching shop (H&H Tool. Inc.) on January 1, 2020. The annual reporting period tond December 3i the trial balance on January 1, 2021. follows (the amounts are rounded to thmusonds of dolltam to simplify): Transactions and events during 2021 (summarized in thousinds of dollans tollows a. Borrowed \$12 cash on March 1 using a short-term note. b. Purchased land on March 2 for future building site; paid cash. 59. c. Issued additional shares of common stock on April 3 for $23. d. Purchased software on July 4. S10 cash. e. Purchased supplies on account on October 5 tor future use. sts. f. Paid accounts payable on November 6.516. 8. Signed a 825 service contract on November 7 wo start February 1.2026. h. Recorded revenues of s.160 on December S. meluding \$40 bo credir and siza collected in cash. 2. Recognized salaries and wages expense on 1becember 9 ss 5 paid in cash. j. Collected accounts receivable on becember io. \$2.4. Data for adjusting journal entries as of December 3 ts k. Unrecorded amortization for the year on software, $5. 1. Supplies counted on December 31.2021. \$10. m. Depreciation for the year on the equipment. s6. n. Interest of $1 to acerue on notes payable. o. Salaries and wages earned but not yet paid or recorded, site p. Income tax for the year was $8. It will be paid in 2022 . Required: 1. Set up T-accounts for the accounts on the wial balance and enter beginning balances. If you are completing this problem in Connect using the general ledger tool, this requirement will be completed for you. 2. Record journal entries for transactions (d) through (j) 3. Post the journal entries from requinement 2 to T-accounts and prepare an unadjusted trial balance. If you are completing this problem in Connect using the general ledger tool, this requirement will be completed for you using youm answers to requirement 2 . 4. Record the adjusting journal entries (k) through (p) 5. Post the adjusting entries from requirement 4 and prepare an adjusted trial balance. If you are completing this problem in Connect using the general ledger tool. this requirement will be completed for you using your previous answer. 6. Prepare an income statement, statement of retained earnings, and balance sheet. 7. Prepare the closing journal entry. 8. Post the closing entry from requirement 7 and prepare a post-closing trial balance. If you are completing this problem in Connect using the general ledger tool, this requirement will be completed for you using your previous answers. 9. How much net income did H&H Tool, Inc. generate during 2021 ? What was its net profit margin? Is the company financed primarily by liabilities or stockholders' equity? What is its current ratio (rounded to two decimal places)? C4-3 Recording Transactions (Including Adjusting Journal Entries), Preparing Financial Statements and Closing Journal Entries, and Computing Net Profit Margin and Current Ratio (Chapters 2, 3, and 4 ) 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 dollans to simplify)