Question

Required information [The following information applies to the questions displayed below.] Pastina Company sells various types of pasta to grocery chains as private label brands. The company's reporting year-end is December 31. The unadjusted trial balance as of December 31, 2021, appears below. Credits Debits 36,400 43,600 3,300 63,600 23,600 2,800 9,600 94,400 35,400 34,600 53,600 Account Title Cash Accounts receivable Supplies Inventory Notes receivable Interest receivable Prepaid rent Prepaid insurance office equipment Accumulated depreciation Accounts payable Salaries payable Notes payable Interest payable Deferred sales revenue Common stock Retained earnings Dividends Sales revenue Interest revenue Cost of goods sold Salaries expense Rent expense Depreciation expense Interest expense Supplies expense Insurance expense Advertising expense Totals 3,800 85,200 37,500 7,600 164,000 88,000 20,700 12,800 2,900 4,800 414,100 414,100 Information necessary to prepare the year-end adjusting entries appears below.

Answer 1

Closing entries

No	Date	General Journal	Debit	Credit
1	Dec 31	Sales revenue	164000
		Interest revenue	1573
		Retained earnings		165573
2	Dec 31	Retained earnings	151598
		Cost of goods sold		88000
		Salaries expense		22400
		Rent expense		14200
		Depreciation expense		11800
		Interest expense		1608
		Supplies expense		5190
		Insurance expense		3600
		Advertising expense		4800
3	December 31	Retained earnings	7600
		Dividends		7600