On October 31, 2010, the balances of the accounts appearing in the ledger of Triple Creek Company are as follows:

Instructions1. Does Triple Creek Company use a periodic or perpetual inventory system? Explain. 2. Prepare a multiple-step income statement for Triple Creek Company for the year ended October 31, 2010. The merchandise inventory as of October 31, 2010, was $94,100.3. Prepare the closing entries for Triple Creek Company as of October 31,2010.

Transcribed Image Text:

$ 18,300 Sales Discounts 72,000 Purchases $ 9,300 536,500 6,000 4,500 10,900 156,250 55,000 9,000 Cash Accounts Receivable Merchandise Inventory, November 1, 2009 Office Supplies Prepaid Insurance Land Store Equipment Accumulated Depreciation- Store Equipment Office Equipment Accumulated Depreciation- Office Equipment Accounts Payable Salaries Payable Unearned Rent Notes Payable Shawn Hayes, Capital Shawn Hayes, Drawing Sales Sales Returns and Allowances Purchases Returns and Allowances Purchases Discounts 87,700 3,000 Freight In Sales Salaries Expense Advertising Expense Delivery Expense Depreciation Expense- Store Equipment Miscellaneous Selling Expense Office Selaries Expense Rent Expense Insurance Expense Office Supplies Expense Depreciation Expense- Office Equipment Miscellaneous Administrative Expense 4,500 35,000 170,000 55,900 78,500 5,900 10,700 100,000 31,250 3,000 2,300 16,250 27,800 3,000 8,300 12,500 189,050 18,750 1,106,400 10,000 1,500 5,850 6,250 750 Rent Revenue Interest Expense