Question

1 ts The following adjusted trial balance contains the accounts and year-end balances of Cruz Company as of December 31. No. Account Title Debit Credit 101 Cash $19,000 126 Supplies 13,000 128 Prepaid insurance 3,000 167 Equipment 24,000 168 Accumulated depreciation-Equipment $ 7,500 301 A. Cruz, Capital 47,600 302 A. Cruz, Withdrawals 7,000 494 Services revenue 44,000 612 Depreciation expense-Equipment 3,000 622 Salaries expense 22,000 637 Insurance expense 2,500 640 Rent expense 3,400 652 Supplies expense 2,200 Totals $99,100 $99, 100 eBook Hint References 1. Prepare the December 31, closing entries for Cruz Company, Assume the account number for Income Summary is 901. 2. Prepare the December 31, post-closing trial balance for Cruz Company. Note: A Cruz, Capital was $47,600 on December 31 of the prior year Complete this questions by entering your answers in the tabs below. Required 1 Required 2 Prepare the December 31, closing entries for Cruz Company. Assume the account number for Income Summary is 901, View transaction list Journal entry worksheet ME Preu 1 of 1 Next

Answer 1

Requirement:1

Date	Description	Debit	Credit
Dec. 31	Service Revenue	$ 44,000
	Income Summary		$ 10,900
	Depreciation Expense-Equipment		$    3,000
	Salaries Expense		$ 22,000
	Insurance Expense		$    2,500
	Rent Expense		$    3,400
	Supplies Expense		$    2,200
	(To close revenue and expense account )
Dec. 31	Income Summary	$ 10,900
	A.Cruz Capital		$ 10,900
	(To close income summary )
Dec. 31	A.Cruz Capital	$    7,000
	A.Cruz Withdrawal		$    7,000
	(To close withdrawal account)

Requirement:2

CRUZ COMPANY
Post Closing Trial Balance
As of December 31
Account titles	Debit	Credit
Cash	$       19,000	$               -
Supplies	$       13,000	$               -
Prepaid Insurance	$          3,000	$               -
Equipment	$       24,000	$               -
Accumulated Depreciation	$                 -	$        7,500
A.Cruz Capital [47600+10900-7000]	$                 -	$      51,500
Total	$       59,000	$      59,000