Preparation of Closing Entries and a Statement of Earnings}

Clayoquot Boat Repair Ltd. has entered and posted its adjusting entries for 2018. The following are selected account balances after adjustment: NEL (Continued)

\section*{Required:}
1. Using the accounts and balances above, prepare the closing entries for 2018 .
2. Prepare a statement of earnings for Clayoquot Boat Repair.
\section*{Problem

Transcribed Image Text:

Accounts Payable $ 8,330 Prepaid Rent $ 7,200 Accounts Receivable, 12/31/2018 65,000 Rent Expense 28,800 Accumulated Depreciation (Equipment) 75,000 Sales Revenue 692,500 Depreciation Expense (Equipment) 20,000 Supplies Expense 68,350 Dividends Declared 7,800 Supplies 179,000 Income Tax Expense Income Tax Payable Insurance Expense Interest Expense Interest Revenue 12,300 Unearned Sales Revenue 12,200 8,300 Utilities Expense 12,300 94.300 Wages Expense 405,300 9,500 Wages Payable 11,700 - 7,600