Question

Enter your awet in the box and thence Check Answer ICE CHAP. 4 (Table 4-8 Tuttle Photography and Test Bank 44) & o The following is the adjusted trial balance for Tuttle Photography. Debit Credit S15,000 30.000 7,500 3.200 40.000 160,000 $12.000 75.000 Accounts Cash Accounts receivable Prepaid insurance Office supplies Land Building Accumulated amortization Equipment Accumulated amortization Accounts payable Salaries payable Uncamned service revenue Mortgage payable R. Tuttle capital R. Tuttle, withdrawals Service revenue Salaries expense Amortization expense Supplies expense Insurance expense Utilities expense 8,500 12.000 2.000 25,000 100.000 21.290 23.000 289.000 L 6 61.000 ,150 14,040 14.000 20.900 $469.790 $469,790 Prepare the closing journal entries for Tuttle Photography and a post-closing trial balance for Dec.31, 2019.

Answer 1

Closing Entries:

Account title and Explanations	Debit	Credit
Service revenue	$289,000
Income summary		$289,000
[To close revenue account to income summary]
Income summary	$116,090
Salaries expense		$61,000
Amortization expense		$6,150
Supplies expense		$14,040
Insurance expense		$14,000
Utilities expense		$20,900
[To close expense accounts to income summary]
Income summary [289,000-116,090]	$172,910
R. Tuttle, capital		$172,910
[To close income summary account to capital]
R. Tuttle, capital	$23,000
R. Tuttle, withdrawals		$23,000
[To close withdrawals account to capital]

Trial Balance:

Tuttle Photography
Post-Closing Trial Balance
December 31,2019
Account title	Debit	Credit
Cash	$15,000
Accounts receivable	$30,000
Prepaid insurance	$7,500
Office supplies	$3,200
Land	$40,000
Building	$160,000
Accumulated amortization		$12,000
Equipment	$75,000
Accumulated amortization		$8,500
Accounts payable		$12,000
Salaries payable		$2,000
Unearnd service revenue		$25,000
Mortgage payable		$100,000
R. Tuttle, capital		$171,200
Total	$330,700	$330,700

R. Tuttle, capital, Ending = R. Tuttle, capital, Beginning + net income - Withdrawal

= $21,290 + $172,910 - $23,000

=$171,200