The adjusted trial balance for Yondel Company at December 31, 2018 is presented below: Accounts Debit Credit Cash $ 8,000 Prepaid rent 23,000 Land 445,000 Accounts payable $ 12,000 Salaries payable 20,000 Common stock 230,000 Retained earnings 109,000 Dividends 14,000 Service revenue 340,000 Salaries expense 160,000 Rent expense 29,000 Utilities expense 32,000 Totals $ 711,000 $ 711,000 Prepare the closing entries for Yondel Company for the year ended December 31, 2018.

Question

Business

Kayleigh Ballard

12 May, 00:05

The adjusted trial balance for Yondel Company at December 31, 2018 is presented below: Accounts Debit Credit Cash $ 8,000 Prepaid rent 23,000 Land 445,000 Accounts payable $ 12,000 Salaries payable 20,000 Common stock 230,000 Retained earnings 109,000 Dividends 14,000 Service revenue 340,000 Salaries expense 160,000 Rent expense 29,000 Utilities expense 32,000 Totals $ 711,000 $ 711,000 Prepare the closing entries for Yondel Company for the year ended December 31, 2018.

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Mylee Lowery · Answer 1

Cash = 8000

Prepaid rent = 23,000

Land = 445000

Accounts payable = 12,000

Salaries payable = 20,000

Retained earnings = 109,000

Dividends = 14,000

Service revenue = 340,000

Salaries expenses = 160,0000

Rent expenses = 29,000

Utilities expenses = 32,000

Net income = Service revenue - Salaries-Rent-Utilities-

=340,000-160,000-29,000-32,000 = 119,000

Journal

1. Debit Service revenue - 340,000

Credit income summary - 340,000

2, Debit Income summary - 221,000

Credit Salaries expenses 160,000

Credit Rent expenses 29,000

Credit Utilities expenses 32,000

3 Debit Income summary 119,000

Credit retained earnings 119,000

4 Debit retained earnings 14,000

Credit retained earnings 14,000