The adjusted trial balance shown below is for Batton, Inc., at December 31:

Required

a. Prepare closing entries directly to Retained Earnings in general journal form.

b. After the closing entries are posted, what is the ending balance in the Retained Earnings account?

c. Prepare a post-closing trial balance.

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Cash..... Accounts receivable.. Prepaid insurance... Equipment Accumulated depreciation Accounts payable... Common stock.. Adjusted Trial Balance Debit $ 4,000 8,000 Credit 3,600 75,000 $ 12,500 600 30,000 Retained earnings 14,100 Cash dividends... 7,000 Service fees earned 101,200 Miscellaneous income 4,200 Salaries expense 42,800 Rent expense.... 12,900 Insurance expense. 1,800 Depreciation expense. 8,000 Income tax expense.. 8,300 Income tax payable 8,800 Totals.... $171,400 $171,400