The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 20Y9, the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period spreadsheet, part of which follows: The Gorman Group End-of-Period Spreadsheet For the Year Ended October 31, 20Y9 Adjusted Trial Balance Account Title Dr. Cr. Cash $15,050 Accounts Receivable 32,770 Supplies 5,120 Prepaid Insurance 11,060 Land 116,000 Buildings 419,000 Accumulated Depreciation-Buildings 136,400 Equipment 303,000 Accumulated Depreciation-Equipment 177,700 Accounts Payable 38,760 Salaries Payable 3,840 Unearned Rent 1,740 Common Stock 174,000 Retained Earnings 323,580 Dividends 29,100 Service Fees 552,700 Rent Revenue 5,840 Salaries Expense 396,240 Depreciation Expense-Equipment 21,500 Rent Expense 18,000 Supplies Expense 12,750 Utilities Expense 11,520 Depreciation Expense-Buildings 7,680 Repairs Expense 6,350 Insurance Expense 3,480 Miscellaneous Expense 5,940 1,414,560 1,414,560 Journalize the entries that were required to close the accounts at October 31. If an amount box does not require an entry, leave it blank. If the balance of Retained earnings had instead increased $40,700 after the closing entries were posted, and the dividends remained the same, what would have been the amount of Net income or Net loss? Enter all amounts as positive numbers.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter5: Completing The Accounting Cycle

Section: Chapter Questions

Problem 3EA: For each of the following accounts, identify whether it would be closed at year-end (yes or no) and...

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The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 20Y9, the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period spreadsheet, part of which follows:

The Gorman Group End-of-Period Spreadsheet For the Year Ended October 31, 20Y9
	Adjusted Trial Balance
Account Title	Dr.	Cr.
Cash	$15,050
Accounts Receivable	32,770
Supplies	5,120
Prepaid Insurance	11,060
Land	116,000
Buildings	419,000
Accumulated Depreciation-Buildings		136,400
Equipment	303,000
Accumulated Depreciation-Equipment		177,700
Accounts Payable		38,760
Salaries Payable		3,840
Unearned Rent		1,740
Common Stock		174,000
Retained Earnings		323,580
Dividends	29,100
Service Fees		552,700
Rent Revenue		5,840
Salaries Expense	396,240
Depreciation Expense-Equipment	21,500
Rent Expense	18,000
Supplies Expense	12,750
Utilities Expense	11,520
Depreciation Expense-Buildings	7,680
Repairs Expense	6,350
Insurance Expense	3,480
Miscellaneous Expense	5,940
	1,414,560	1,414,560

Journalize the entries that were required to close the accounts at October 31. If an amount box does not require an entry, leave it blank.

If the balance of Retained earnings had instead increased $40,700 after the closing entries were posted, and the dividends remained the same, what would have been the amount of Net income or Net loss? Enter all amounts as positive numbers.

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