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[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):

Account Titles	Debit	Credit
Cash	$ 2
Accounts Receivable	6
Supplies	13
Land	0
Equipment	70
Accumulated Depreciation		$ 5
Software	15
Accumulated Amortization		5
Accounts Payable		4
Notes Payable (short-term)		0
Salaries and Wages Payable		0
Interest Payable		0
Income Tax Payable		0
Common Stock		83
Retained Earnings		9
Service Revenue	0
Salaries and Wages Expense	0
Depreciation Expense	0
Amortization Expense	0
Income Tax Expense	0
Interest Expense	0
Supplies Expense	0
Totals	$ 106	$ 106

Transactions and events during 2021 (summarized in thousands of dollars) follow:

Borrowed $11 cash on March 1 using a short-term note.

Purchased land on March 2 for future building site; paid cash, $8.

Issued additional shares of common stock on April 3 for $24.

Purchased software on July 4, $11 cash.

Purchased supplies on account on October 5 for future use, $19.

Paid accounts payable on November 6, $12.

Signed a $20 service contract on November 7 to start February 1, 2022.

Recorded revenues of $180 on December 8, including $50 on credit and $130 collected in cash.

Recognized salaries and wages expense on December 9, $95 paid in cash.

Collected accounts receivable on December 10, $34.

Data for adjusting journal entries as of December 31:

Unrecorded amortization for the year on software, $5.

Supplies counted on December 31, 2021, $12.

Depreciation for the year on the equipment, $5.

Interest of $1 to accrue on notes payable.

Salaries and wages earned but not yet paid or recorded, $13.

Income tax for the year was $7. It will be paid in 2022.

Required:

T accounts. Enter beginning balances and post journal entries from Part 2, the adjusting journal entries from Part 4, and the closing entry from Part 7. (Enter your answers in thousands of dollars.)

\begin{tabular}{|c|c|c|c|} \hline \multicolumn{2}{|c|}{ Equipment } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Debit } & & Credit \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ Accumulated Depreciation } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Accumulated Amortization } \\ \hline Debit & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ Notes Payable (short-term) } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Interest Payable } \\ \hline Debit & & \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Common Stock } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Service Revenue } \\ \hline \multicolumn{2}{|c|}{ Debit } & \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Depreciation Expense } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \multicolumn{3}{|c|}{ Income Tax Expense } \\ \hline Debit & & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{3}{|c|}{ Interest Expense } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & 0 & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{3}{|c|}{ Supplies Expense } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{2}{|c|}{ Equipment } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Debit } & & Credit \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ Accumulated Depreciation } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Accumulated Amortization } \\ \hline Debit & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ Notes Payable (short-term) } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Interest Payable } \\ \hline Debit & & \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Common Stock } \\ \hline \multicolumn{1}{|c|}{ Debit } & \multicolumn{2}{c|}{ Credit } \\ \hline Beginning Balance & & \\ \hline & & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \multicolumn{2}{|c|}{ Service Revenue } \\ \hline \multicolumn{2}{|c|}{ Debit } & \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Ending Balance & & \\ \hline \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Depreciation Expense } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \multicolumn{3}{|c|}{ Income Tax Expense } \\ \hline Debit & & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{3}{|c|}{ Interest Expense } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{|c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & 0 & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{3}{|c|}{ Supplies Expense } \\ \hline \multicolumn{2}{|c|}{ Debit } & \multicolumn{2}{c|}{ Credit } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline Ending Balance & & & \\ \hline \end{tabular}