Question

Sori 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 $18,000 126 Supplies 13,400 128 Prepaid insurance 2,000 162 167 Equipment 23,000 168 Accumulated depreciation-Equipment $ 6,500 307 Common stock 11,960 318 Retained earnings 35,600 319 Dividends 6,000 404 revenue 37,600 612 Depreciation expense-Equipment 2,000 622 Salaries expense 637 Insurance expense 640 Rent expense 2,519 652 Supplies expense 1,241 Totals $ 91,660 $91,660 21,921 1,579 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: The Retained Earnings account balance was $35,600 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 < 2 3 4 > Record the entry to close revenue accounts. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general Journal < Required 1 Required 2 >

Answer 1

Credit Requirement (1) Date General Journal 31-Dec Service Revenue Income Summary Debit' $37,600 $ 37,600 $ 29,260 31-Dec Income Summary Depreciation Expense - Equipment Salaries Expense Insurance Expense Rent Expense Supplies Expense $ 2,000 $ 21,921 $ 1,579 $ 2,519 $ 1,241 Requirement (2) Cruz Company Post closing Trial Balance December 31. Debit Credit Cash $ 18,000 Supplies $ 13,400 Prepaid Insurance $ 2,000 Equipment $ 23,000 Accumulated Depreciation Equipment $ 6,500 Common Stock $ 11,960 Retained Earning $ 37,940 31-Dec Income Summary Retained Earnings $ 8,340 $ 8,340 Totals $ 56,400 $ 56,400 31-Dec Retained Earnings Dividends $ 6,000 Note : Do comment for any further assistance $ 6,000