Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information [The following information applies to the questions displayed below.) Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H

image text in transcribed
image text in transcribed
image text in transcribed
Required information [The following information applies to the questions displayed below.) Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Inc.) on January 1, 2016. The annual reporting period ends December 31. The trial balance on January 1, 2018, follows (the amounts are rounded to thousands of dollars to simplify): Debit Credit $ 2 6 13 0 54 $ 5 21 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 Totala NOOOOO o QOOOOO 0 0 $96 $96 Transactions and events during 2018 (summarized in thousands of dollars) follow: a. Borrowed $11 cash on March 1 using a short-term note. b. Purchased land on March 2 for future building site; paid cash, $8. c. Issued additional shares of common stock on April 3 for $30. d. Purchased software on July 4, $11 cash. e. Purchased supplies on account on October 5 for future use, $19. f. Paid accounts payable on November 6, $12. 9. Signed a $20 service contract on November 7 to start February 1, 2019. h. Recorded revenues of $148 on December 8, including $34 on credit and $114 collected in cash. 1. Recognized salaries and wages expense on December 9, $79 paid in cash. J. Collected accounts receivable on December 10, $18. Data for adjusting journal entries as of December 31: k Unrecorded amortization for the year on software, $6. 1. Supplies counted on December 31, 2018. $12. m. Depreciation for the year on the equipment, $5. n. Interest of $1 to accrue on notes payable. o. Salaries and wages earned but not yet pald or recorded, $11. p. Income tax for the year was $7. It will be paid in 2019. 6-a. Prepare an Income statement. 6-b. Prepare the statement of retained earnings. 6-c. Prepare the balance sheet. Complete this question by entering your answers in the tabs below. Reg 6A Req 6B Reg 6C Prepare an income statement. (Enter your answers in thousands of dollars.) H&H TOOL, INC. Income Statement (in thousanda)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contemporary Auditing

Authors: Michael C. Knapp

9th Edition

1133731244, 9781133731245

More Books

Students also viewed these Accounting questions

Question

Define IP spoofing.

Answered: 1 week ago

Question

Describe the linkages between HRM and strategy formulation. page 80

Answered: 1 week ago