1.) Record the entry to close income statement accounts with credit balances

2.) Record the entry to close the income statement accounts with debit balances

3.) record the entry to close income summary

4.) record the entry to close the income summary record the entry to close dividend accounts

Valley Company's adjusted trial balance on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Credit Debit $ 41,700 63,540 $ 25,900 16,400 20,500 8,100 226,000 Merchandise inventory (ending) Other (noninventory) assets Total liabilities Common stock Retained earnings Dividends Sales Sales discounts Sales returns and allowances Cost of goods sold Sales salaries expense Rent expense-Selling space Store supplies expense Advertising expense Office salaries expense Rent expense-Office space Office supplies expense Totals 2,260 13,000 72,900 31, 200 8,800 1,700 12,500 29,300 3,300 500 $288,800 Beginning merchandise inventory was $25,300. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Invoice cost of merchandise purchases Purchases discounts received Purchases returns and allowances Costs of transportation in $91,200 2, 20e 4,500 4,800