Software Required Information The following information applies to the questions displayed below.) Brothers Harry and Herman Housyerdey 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 5 12 52 66 22 Account Titles Accounts Receivable Supplies Band Equipment Acculated Amortization Accounts Payabia Notes Payable (ahort-team) Salaries and Wages Payable Income Tax Payable Common Stock Retained Earninga Salaries and Wages Expanse Depreciation Expense Amortization Expense Income Tax Expense Interest Expense Supplies Expense Totala 67 a 694 694 Transactions and events during 2018 (summarized in thousands of dollars) follow: a. Borrowed $12 cash on March 1 using a short-term note. b. Purchased land on March 2 for future building site; paid cash, $9. c. Issued additional shares of common stock on April 3 for $32 d. Purchased software on July 4, $10 cash. e. Purchased supplies on account on October 5 for future use. $18. f Paid accounts payable on November 6. $13. 9. Signed a $25 service contract on November 7 to start February 1, 2019. h. Recorded revenues of $144 on December 8, including $32 on credit and $112 collected in cash. i. Recognized salaries and wages expense on December 9. $77 paid in cash. j. Collected accounts receivable on December 10. $16. Dots for adjusting journal entries as of December 31: k. Unrecorded amortization for the year on software, $8. 1. Supplies counted on December 31, 2018. $10. m. Depreciation for the year on the equipment, $6. n. Interest of $1 to accrue on notes payable. o. Salaries and weges esmed but not yet paid or recorded, $12 p. Income tax for the year was $8. It will be paid in 2019. 1.3.5 and 8. Set up T-accounts for the sccounts on the trial balance. Enter beginning balances and post the transactions (0)-c. sdjusting entries (k)-bp), and closing entry. (Enter your answers in thousands of dollars.) Cash Accounts Receivable Beg Bal 3 Beg Bal 16 32 12 32 112 910) 100 13 7710 UN 16 End. Bal 21 End Bal 66 Land Supplies 12 Beg Bal Seg. Bal (e) 18 2010 Equipment Accumulated Depreciation Beg Bal Beg Bal 6 m) End Bal End. Bal 12 Software Accumulated Amortization Beg Bal Beg Bal 8K) End. Bal End. Bal 16 Accounts Payable Beg Bal Beg Bal Notes Payablo (short-term) 0 12(a) 13 18 (e) End. Bal 10 End. Bal 12 Interest Payable Beg Bal Salaries and Wages Payable 0 12(o) Beg Bal End. Bal 12 End. Bal Income Tax Payable Common Stock Beg Bal Beg Bal 67 320) End. Bal. End. Bal 99 Retained Earnings Service Revenue Beg Bal 8 24CE1 Beg Bal End. Bal 32 End. Bal. 0 Salaries and Wages Expense Depreciation Expense Beg Bail Beg Bal End. Bal. End. Bal Amortization Expense Income Tax Expense Beg Bal Beg Bail 0 80 End, Bal End. Bal 8 Interest Expense Beg Bal 0 Beg Bal Supplies Expense 0 20 1m 10 20CE1 End. Bal End. Bal 0
