Homework SourseC42 From Recording Transactions Including Adjusting Journal
C4-2 From Recording Transactions (Including Adjusting Journal Entries) to Preparing Financial Statements and Closing Journal Entries (Chapters 2, 3, and 4) [LO 2-3, LO 3-3, LO 4-1, LO 4-2, LO 4-3, LO 4-4, LO 4-5, LO 4-6]
[The following information applies to the questions displayed below.]
16.
Income tax for the year was $7. It will be paid in 2016.
INCLUDE journal entires, adjusting journal entires, T-accounts,unadjusted trial balance, adjusted trial balance,income statement, statement of retained earnings, closing journal entry, post-closing trial balance
| [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, 2013. The annual reporting period ends December 31. The trial balance on January 1, 2015, follows (the amounts are rounded to thousands of dollars to simplify): |
Solution
S.no Particulars Debit Credit 1 Cash $ 11.00 Notes Payable $ 11.00 (notes payable due for cash received) 2 Land $ 8.00 Cash $ 8.00 (purchased land against cash recorded) 3 Cash $ 111.00 Accounts Receivable $ 31.00 Sales $ 142.00 (SALES recorded) 4 Cash $ 4.00 Common Stock $ 4.00 (common stock issued) 5 Salaries and Wages $ 76.00 Cash $ 76.00 (salaries paid recorded) 6 Cash $ 15.00 Accounts Receivable $ 15.00 (AR due received) 7 Software A/c $ 11.00 Cash $ 11.00 (Purchased software for cash) 8 Accounts Payable $ 12.00 Cash $ 12.00 (AP due paid) 9 Supplies $ 19.00 Accounts Payable $ 19.00 (Supplied purchased on account recorded) 10 No entry 11 Amortization Expenses-Software $ 4.00 Accumulated Amortization- Software $ 4.00 (Expenses of amortization recorded) 12 Supplies Expenses $ 20.00 Supplies $ 20.00 (Being supplies on hand is $20 at the year end so , the remaining amount is transferred to expenses) 13 Depreciation Expenses-Equipment $ 5.00 Accumulated Depreciation-Equipment $ 5.00 (being depreciation expense for the year recorded) 14 Interest Expense $ 1.00 Accured interest $ 1.00 (Being interest payable on notes payable) 15 Salaries & Wages Expenses $ 11.00 Salaries & Wages Expenses Payable $ 11.00 (being salries & wages payable)
