Required information C4-2 (Algo) 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.] Brothers Harry and Herman Hausyerday began operations of their machine shop ( H&H Tool, Incorporated) on January 1. 2020. The annual reporting period ends December 31 . The trial balance on January 1,2021 , follows (the amounts are rounded to thousands of dollars to simplify): Required information \begin{tabular}{|c|c|c|c|} \hline Account Titles & Debi & & Credit \\ \hline Cash & $ & 97 & \\ \hline Accounts Receivable & & & \\ \hline Supplies & & 11 & \\ \hline Land & & 70 & \\ \hline Equipment & & 50 & \\ \hline Accumulated Depreciation & & & 14 \\ \hline Software & & & \\ \hline Accumulated Amortization & & & 10 \\ \hline Accounts Payable & & & 9 \\ \hline Notes Payable (short-term) & & & 13 \\ \hline Salaries and Wages Payable & & & 13 \\ \hline Interest Payable & & & 2 \\ \hline Income Taxes Payable & & & 9 \\ \hline Common Stock & & & 101 \\ \hline Retained Earnings & & & 70 \\ \hline Service Revenue & & & 165 \\ \hline Salaries and Wages Expense & & 88 & \\ \hline Supplies Expense & & 17 & \\ \hline Depreciation Expense & & 7 & \\ \hline Interest Expense & & 2 & \\ \hline Income Tax Expense & & 9 & \\ \hline Totals & $ & 343 & 343 \\ \hline \end{tabular} 1 Required information 3. Prepare an unadjusted trial balance. (Enter your answers in thousands of dollars.) 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 $34. 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 $140 on December 8 , including $30 on credit and $110 collected in cash. i. Recognized salaries and wages expense on December 9,$75 paid in cash. 1. Collected accounts receivable on December 10, $14. Data for adjusting journal entries as of December 31: k. Unrecorded amortization for the year on softwque, \$5. I. 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. C4-2 (Algo) Part 3 Required: 3. Prepare on unadjusted trial balance. (Enter your answers in thousands of dollars.)
