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please help in determining net income, net profit margin, current ratio and whether the company is primarily financed by liabilities or stockholders equity thank you
please help in determining net income, net profit margin, current ratio and whether the company is primarily financed by liabilities or stockholders equity thank you
Required information C4-2 (Algo) From Recording Transactions (Including Adjusting Journal Entries) to Preparir Financial Statements and Closing Journal Entries (Chapters 2, 3, and 4) (LO 2-3, LO 3-3, L 4-2, LO 4-3, LO 4-4, LO 4-5, LO 4-6] [The following information applies to the questions displayed below) Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Incorporate January 1, 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, foll amounts are rounded to thousands of dollars to simplify): Credit Debit $ 4 4 Account Titles Cash Accounts Receivable Supplies Land Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) colonior and womoc Dourshto 56 $ 7 G Credit Debit $ 4 44A 56 17 Account Titles Cash Accounts Receivable Supplies Land Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Common Stock Retained Earnings Service Revenue Salaries and Wages Expense Depreciation Expense Amortization Expense Income Tax Expense Interest Expense Supplies Expense Totals N 0 0 0 0 0 0 68 @ $ 92 $ 92 Transactions and events during 2021 (summarized in thousands of dollars) follow: Transactions and events during 2021 (summarized in thousands of dollars) follow: a. Borrowed $13 cash on March 1 using a short-term note. b. Purchased land on March 2 for future building site; paid cash, $7. c. Issued additional shares of common stock on April 3 for $28. d. Purchased software on July 4, $12 cash. e. Purchased supplies on account on October 5 for future use, $17. f. Paid accounts payable on November 6, $14. g. Signed a $30 service contract on November 7 to start February 1, 2022. h. Recorded revenues of $152 on December 8, including $36 on credit and $116 collected in cas i. Recognized salaries and wages expense on December 9, $81 paid in cash. j. Collected accounts receivable on December 10, $20. Data for adjusting journal entries as of December 31: ES k. Unrecorded amortization for the year on software, $4. 1. Supplies counted on December 31, 2021, $11. m. Depreciation for the year on the equipment, $7. n. Interest of $2 to accrue on notes payable. o. Salaries and wages earned but not yet paid or recorded, $13. p. Income tax for the year was $9. It will be paid in 2022. Required: 9-a. How much net income did H & H Tool, Incorporated, generate during 2021? What was its net profit margin? 9-b. Is the company financed primarily by liabilities or stockholders' equity? 9-c. What is its current ratioStep by Step Solution
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