M2-26. Preparing Closing Journal Entries KLA-Tencor provides process control and yield management solutions for the semiconductor industry.

Selected financial information for the year ended June 30, 201 8, follows .

$millions Net sales ........ ..... . .. . . . .. . .... . .. . .... .... . . . . . . ..... .

Cost of sales ........ .. .......... . .. . ....... . .. . ....... . . . . .

Selling, general, and administrative expense and other .. . ...... . . . . .

Interest expense, net ............................... . .. . .. . . .

Income tax expense ... .. .. . . . .... . .. . .•... . •. . • . .. .• ..•. . • ..

Retained earnings at June 30, 2017 .. . . . . ... . . . .. .. .. . .... . . .. . .

Debit

$1,447,369 1,019,025 114,376 653,666 Credit

$4,036,701 848,457 Assume the company has not yet closed any accounts to retained earnings. Prepare journal entries to close the temporary accounts above. Set up the needed T-accounts, and post the closing entries. After these entries are posted, what is the balance of the retained earnings account?