Required information [The following information applies to the questions displayed below.] Alison and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Furniture, Incorporated) on January 1, 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, follows (amounts are rounded to thousands of dollars to simplify). Credit Debit $ 5 4 2 6 $ 0 12 Account Titles Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expense Interest Expense Income Tax Expense Totals 3 7 0 0 0 0 0 15 4 0 0 0 0 0 0 $ 29 $ 29 Transactions during 2021 (summarized in thousands of dollars) follow: Transactions during 2021 (summarized in thousands of dollars) follow: a. Borrowed $21 cash on July 1, 2021, signing a six-month note payable. b. Purchased equipment for $18 cash on July 2. c. Issued additional shares of common stock on July 3 for $5. d. Purchased additional equipment on August 4, $3 cash. e Purchased, on account, supplies on September 5 for future use, $10. f. On December 6, recorded revenues in the amount of $65, including $9 on credit and $56 received in cash. g. Paid salaries and wages expenses on December 7, $35. h. Collected accounts receivable on December 8, $8. i. Paid accounts payable on December 9, $11. j. Received a $3 deposit on December 10 for work to start January 15, 2022. Data for adjusting journal entries on December 31: k. Amortization for 2021, $3. 1. Supplies of $4 were counted on December 31, 2021. m. Depreciation for 2021, $2. n. Accrued interest on notes payable of $1. o. Salaries and wages earned but not yet paid, $3. p. Income tax for 2021 was $4 and will be paid in 2022. Credit O 4 6 0 Unadjusted Trial Balance At December 31, 2021 (in thousands) Account Titles Debit Cash $ 27 Accounts Receivable 5 Supplies 12 Equipment 24 Accumulated Depreciation Software 12 Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expenses Salaries and Wages Expense 0 Depreciation Expense 27 Amortization Expense 0 Interest Expense 0 Income Tax Expense 5 Totals $ 112 13 0 0 5 4 20 3 57 $ 112