Prepare closing entries (Learning Objective 4) 10–15 min.

The following is the adjusted trial balance of Best Way, Inc., for January 31, 2014.

Requirement 1. Journalize the closing entries at January 31.AppendixLO1

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Best Way, Inc. Adjusted Trial Balance January 31, 2014 ACCOUNT DEBIT CREDIT Cash $ 3,300 Accounts Receivable 8,100 Supplies 420 Furniture 4,700 Accumulated Depreciation, Furniture $ 3,160 Equipment 43,400 Accumulated Depreciation, Equipment 4,700 Accounts Payable 2,640 Salaries Payable 1,375 Unearned Service Revenue 1,700 Common Stock 15,000 Retained Earnings 5,105 Dividends 20,000 Service Revenue 96,400 Salaries Expense 32,600 Rent Expense 14,800 Depreciation Expense, Equipment 1,550 Depreciation Expense, Furniture 730 Supplies Expense 480 Total $130,080 $130,080