On 1 January 2019, the equity of Deadwood Pty Ltd consisted of share capital of $800 000 and retained earnings of $260 000. During the period, the company declared and paid a cash dividend of $70 000. The general ledger contains only two income statement accounts — Revenues and Expenses. On 31 December 2019, the balance in the Revenues account was $925 000 and the balance in the Expenses account was $862 000.

Required

(a) Prepare closing entries.

(b) Show the Retained Earnings account at the end of 2019.

(c) Calculate the total equity of the company as it would appear in the balance sheet at the end of 2019.