Problem 1. After the accounts have been adjusted at January 31, 2010, the end of the fiscal year, the following balances are taken from the ledger of Taylor Pool Service Company: Hope Taylor, Capital ₱349,000 Hope Taylor, Drawing 5,000 Fees Earned 116,400 Wages Expense 29,000 Rent Expense 43,000 Supplies Expense 7,300 Miscellaneous Expense 1,750 Journalize the four entries required to close the accounts 2. Bob Evans owns a business, Beachside Realty, that rents condominiums and furnishings. Below is the adjusted trial balance at December 31, 2010. Debit Credit Cash ₱1,500 Accounts receivable 2,000 Interest receivable 100 Prepaid insurance 1,600 Notes receivable (long-term) 2,800 Equipment 15,000 Accumulated depreciation ₱3,000 Accounts payable 2,400 Accrued expenses payable 3,920 Income taxes payable 2,700 Unearned rent fees 500 Bob Evans, Capital 7,700 Bob Evans, Drawing 2,000 Rent fees earned 37,000 Furniture rental revenue 1,200 Interest revenue 100 Wages expense 19,000 Depreciation expense 1,800 Utilities expense 320 Insurance expense 700 Maintenance expense 9,000 Income tax expense 2,700 ₱58,520 ₱58,520 a. Prepare the entry required to close the expense accounts at the end of the period. b. Prepare the closing entry required to transfer the income or loss at the end of the period. c. Prepare the entry required to close out the Drawing account at the end of the period.
Problem
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After the accounts have been adjusted at January 31, 2010, the end of the fiscal year, the following balances are taken from the ledger of Taylor Pool Service Company:
Journalize the four entries required to close the accounts
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Bob Evans owns a business, Beachside Realty, that rents condominiums and furnishings. Below is the adjusted
a. Prepare the entry required to close the expense accounts at the end of the period. b. Prepare the closing entry required to transfer the income or loss at the end of the period. c. Prepare the entry required to close out the Drawing account at the end of the period.
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