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Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Inc.)...

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): Account Titles Debit Credit Cash $ 2 Accounts Receivable 6 Supplies 13 Land 0 Equipment 61 Accumulated Depreciation $ 5 Software 15 Accumulated Amortization 6 Accounts Payable 4 Notes Payable (short-term) 0 Salaries and Wages Payable 0 Interest Payable 0 Income Tax Payable 0 Common Stock 73 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 $ 97 $ 97 Transactions and events during 2018 (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, 2019. Recorded revenues of $162 on December 8, including $41 on credit and $121 collected in cash. Recognized salaries and wages expense on December 9, $86 paid in cash. Collected accounts receivable on December 10, $25. Data for adjusting journal entries as of December 31: Unrecorded amortization for the year on software, $6. Supplies counted on December 31, 2018, $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 2019. 1, 3, 5 and 8. Set up T-accounts for the accounts on the trial balance. Enter beginning balances and post the transactions (a)-(j), adjusting entries (k)-(p), and closing entry

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Date Account Debit Credit
Mar 1 Cash $         11
Note Payable (Short term) $         11
Mar 2 Land $           8
Cash $           8
Apr 3 Cash $         24
Common Stock $         24
Jul 4 Software $         11
Cash $         11
Oct 5 Supplies $         19
Accounts Payable $         19
Nov 6 Accounts Payable $         12
Cash $         12
Dec 8 Accounts Receivable $         41
Cash $       121
Service Revenue $       162
Dec 9 Salaries and Wages Expense $         86
Cash $         86
Dec 10 Cash $         25
Accounts Receivable $         25
Adjusting Entries:
Dec 31 Amortization Expense $           6
Accumulated Amortization $           6
Dec 31 Supplies Expense $         20 19+13-12
Supplies $         20
Dec 31 Depreciation Expense $           5
Accumulated Depreciation $           5
Dec 31 Interest Expense $           1
Interest Payable $           1
Dec 31 Salaries and Wages Expense $         13
Salaries and Wages Payable $         13
Dec 31 Income Tax Expense $           7
Income Tax Payable $           7
Closing Entries:
Dec 31 Service Revenue $       162
Income Summary $       162
Dec 31 Income Summary $       138
Salaries and Wages Expense $         99
Depreciation Expense $           5
Amortization Expense $           6
Income Tax Expense $           7
Interest Expense $           1
Supplies Expense $         20
Dec 31 Income Summary $         24
Retained Earning $         24
Beginning Unadjusted Adjustments Adjusted Trial
Account Titles Debit Credit Debit Credit Debit Credit Debit Credit
Cash $           2 $         64 $         66
Accounts Receivable $           6 $         16 $         22
Supplies $         13 $         19 $         20 $         12
Land $          -   $           8 $           8
Equipment $         61 $         61
Accumulated Depreciation $           5 $           5 $         10
Software $         15 $         11 $         26
Accumulated Amortization $           6 $           6 $         12
Accounts Payable $           4 $           7 $         11
Notes Payable (short-term) $          -   $         11 $         11
Salaries and Wages Payable $          -   $         13 $         13
Interest Payable $          -   $           1 $           1
Income Tax Payable $          -   $           7 $           7
Common Stock $         73 $         24 $         97
Retained Earnings $           9 $           9
Service Revenue $          -   $       162 $       162
Salaries and Wages Expense $          -   $         86 $         13 $         99
Depreciation Expense $          -   $           5 $           5
Amortization Expense $          -   $           6 $           6
Income Tax Expense $          -   $           7 $           7
Interest Expense $          -   $           1 $           1
Supplies Expense $          -   $         20 $         20
Totals $         97 $         97 $       204 $       204 $         52 $         52 $       333 $       333
Cash Accounts Receivable
Debit Credit Debit Credit
Beginning $           2 Mar 2 $           8 Beginning $           6 Dec 10 $         25
Mar 1 $         11 Jul 4 $         11 Dec 8 $         41
Apr 3 $         24 Nov 6 $         12
Dec 8 $       121 Dec 9 $         86
Dec 10 $         25 Ending $         22
Ending $         66
Land
Debit Credit
Mar 2 $           8
Supplies Ending $           8
Debit Credit
Beginning $         13 Dec 31 $         20 Acc Dep
Oct 5 $         19 Debit Credit
Beginning $           5
Ending $         12 Dec 31 $           5
Ending $         10
Equipment Acc Amortization
Debit Credit Debit Credit
Beginning $         61 Beginning $           6
Dec 31 $           6
Ending $         61 Ending $         12
Accounts Payable
Software Debit Credit
Debit Credit Nov 6 $         12 Beginning $           4
Beginning $         15 Oct 5 $         19
Jul 4 $         11
Ending $         11
Ending $         26
Note Payable
Debit Credit
Salaries and Wages Payable Mar 1 $         11
Debit Credit
Dec 31 $         13
Ending $         11
Ending $         13 Interest Payable
Debit Credit
Income Tax Payable Dec 31 $           1
Debit Credit
Dec 31 $           7
Ending $           1
Ending $           7 Common Stock
Debit Credit
Retained Earning Beginning $         73
Debit Credit Apr 3 $         24
Beginning $           9
Net Income $         13 Ending $         97
Ending $         22 Service Revenue
Debit Credit
Salaries and Wages Expense Dec 8 $       162
Debit Credit
Dec 9 $         86
Dec 31 $         13
Income Tax Expense
Debit Credit
Depreciation Expense Dec 31 $           7
Debit Credit
Dec 31 $           5
Interest Expense
Debit Credit
Amortization Expense Dec 31 $           1
Debit Credit
Dec 31 $           6
Supplies Expense
Debit Credit
Dec 31 $         20

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