Closing entries OBJ. 4 On July 31, 2016, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a furniture wholesaler, are as follows:

Accumulated Depr.—Building $365,000 Notes Payable $ 100,000 Administrative Expenses 440,000 Retained Earnings 455,000 Building 810,000 Sales 1,437,000 Cash 78,000 Sales Tax Payable 4,500 Common Stock 75,000 Selling Expenses 160,000 Cost of Merchandise Sold 775,000 Store Supplies 16,000 Dividends 15,000 Store Supplies Expense 21,500 Interest Expense 6,000 Merchandise Inventory 115,000 Prepare the July 31, 2016, closing entries for Serbian Interiors Company.