Question

Question#7-ClosingEntries-10m arks) Based on the following adjusted trial balance, prepare the closing entries for Tadpole Plumbing on December 31, 2017. Tadpole Plumbing Adjusted Trial Balance December 31,2017 Credit Debit $12,000 20,500 4,600 4,800 80,500 Cash Accounts receivable Office supplies Prepaid insurance Equipment Accum. amort-equipment Accounts payable Unearned service revenue Salary payable Mike Tudhope, Capital Mike Tudhope, withdrawals Service revenue Salary expense Advertising expense Utilities expense $43,300 15,500 6,800 3,300 80,200 77,500 33,900 15,400 9,900 1,700 4,900 5,400 Miscellaneous expense Supplies expense Insurance expense Amort. expense-equipment Total $226,600 $226,600

Answer 1

Tadpole Plumbing General Journal December 31,2017

Date Account title & Explanation Debit Credit

December 31,2017 Service Revenue $77500 Income Summary $77500 (To close service revenue account)

Income Summary $83600 Salary $33900 Advertising expense $15400 Utility expense $9900 Miscellaneous expense $1700 Supplies Expense $4900 Insurance expense $5400 Depreciation expense $12400 (To close Expenses account)

Retained Earning $6100 Income Summary $6100 (To transfer loss to retained earning)