The co-op student working at Morneau Equipment Inc. prepared their adjusted trial balance in alphabetical order. All accounts have their normal balances.

Required

1. Prepare the appropriate closing entries for the January 31 year end.

2. What is the balance in the Retained Earnings account after the closing entries have been completed?

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$ 56,000 Other Expenses... 14,000 Retained Earnings. 1,800 Salaries Expense. 122,000 Salaries Payable. Accounts Receivable . $ 35,400 ...... Accumulated Amortization. 78,400 Amortization Expense . 199,000 Cash . 3,400 Common Shares. 50,000 Service Revenue 356,400 Computers & Equipment. Interest Expense. 74,800 Supplies. 18,800 Unearned Revenues.. 5,600 5,400 Interest Revenue.. 5,800