The following adjusted trial balance contains the accounts and balances of Showers Company as of December 31, 2005, the end of its fiscal year. (1) Prepare the December 31, 2005, closing entries for Showers Company. (2) Prepare the December 31, 2005, post-closing trial balance for Showers Company. l01

Transcribed Image Text:

No. Account Title Debit Credit 101 Cash 126 Supplies $18,000 12,000 128 Prepaid insurance 2,000 167 Equipment 23,000 168 Accumulated depreciation--Equipment $ 6,500 307 Common stock 10,000 318 Retained earnings 36.600 319 Dividends 6.000 404 Services revenue 36.000 61-2 Depreciation expense-Equipment- 2,000 622 Salaries expense 21,000 637 Insurance expense 1,500 640 Rent expense 2,400 652 Supplies expense 1,200 Totals..... $89,100 $89,100