[The following information applies to the questions displayed below.] Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as follows (the amounts are rounded to thousands of dollars to simplify): 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 Taxes Payable Deferred Revenuee Common Stock Retained Earnings Service Revenue Depreciation Expense Amortization Expense Salaries and Wages Expense Supplies Expense Interest Expense Income Tax Expense Debit Credit 15 Totals $28 $28
1, 3, 5 and 8. Set up T-accounts for the accounts on the
Borrowed $25 cash on July 1, 2018, signing a six-month note payable.
Purchased equipment for $28 cash on July 2, 2018.
Issued additional shares of common stock for $5 on July 3.
Purchased software on July 4, $3 cash.
Purchased supplies on July 5 on account for future use, $7.
Recorded revenues on December 6 of $58, including $8 on credit and $50 received in cash.
Recognized salaries and wages expense on December 7 of $33; paid in cash.
Collected
Paid accounts payable on December 9, $10.
Received a $3 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.
Data for adjusting
Amortization for 2018, $2.
Supplies of $3 were counted on December 31, 2018.
Depreciation for 2018, $4.
Accrued interest of $1 on notes payable.
Salaries and wages incurred but not yet paid or recorded, $3.
Income tax expense for 2018 was $4 and will be paid in 2019.
![[The following information applies to the questions displayed below.]
Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical
Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as
follows (the amounts are rounded to thousands of dollars to simplify):
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 Taxes Payable
Deferred Revenuee
Common Stock
Retained Earnings
Service Revenue
Depreciation Expense
Amortization Expense
Salaries and Wages Expense
Supplies Expense
Interest Expense
Income Tax Expense
Debit Credit
15
Totals
$28
$28](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc538f540-c09d-453f-b85d-1302807e9c91%2F269d7d68-e366-4600-83d2-1ecaf46924b0%2Ff63hwp3.png&w=3840&q=75)
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Data for
- Amortization for 2018, $3.
- Supplies of $2 were counted on December 31, 2018.
Depreciation for 2018, $3.- Accrued interest of $1 on notes payable.
- Salaries and wages incurred but not yet paid or recorded, $4.
- Income tax expense for 2018 was $3 and will be paid in 2019.
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