3%...9ieingsnsries ............................................................................................................ In this stage of the accounting cycle, you are asked to record closing entries in the general journal and then post them to the general ledger accounts. This step must be completed to prepare the accounts for the next accounting period. Instructions for closing entries 1)Record closing entries in the general journal. Note that the business does not use a Cost of Goods Sold account so all accounts that are used to calculate cost of goods sold need to be closed directly to the Income Summary account. Remember that after performing a physical count of inventory, the balance of inventory on hand as at June 30 is $63,659. 2)Post the closing entries from the general journal to the relevant general ledger accounts 3)Record the nal closing balance of each ledger account in the Post- Closing Balance row of each ledger, even for ledgers with a balance of zero. Although each ledger already has a running balance, the Post-Closing Balance row must still be filled out in order receive full points. Back-On-Track functionality Please note that any answers from previous pages carried through onto this page (either on the page or in a popup information page) have been reset, if necessary, to the correct answers. Your particular answers from previous pages are no longer shown. Remember: I Enter all answers to the nearest whole dollar. I You are also required to apply the Journals and ledgers instructions provided in previous weeks. Before pressing the Submit answers button, we recommend that you click the Show All tab and check that all relevant accounting records have been completed. GENERAL JOURNAL Post Date Account and Explanation Debit Credit Ref. Jun 30 Income Summary 310 122487 Merchandise Inventory 120 O 75784 Office Supplies Expense select) 544 O 3656 Sales Returns and Allowances select 401 5204 Sales Discounts select) 402 333 Salary Expense select 545 5300 Purchases select 500 O 10180 Depn Expense: Office Furniture select) 560 O 97 Depn Expense: Office Equipment select 561 398 Advertising Expense select) 511 O 4000 Wages Expense select 516 12509 Rent Expense select 540 3000 Electricity Expense select) 541 O 996 Water Expense select) 542 208 Insurance Expense select) 543 600 Interest Expense select 571 0 215 Admin. Expense - Bank Charges (select 572 7 Closing entry to debit the Income Summary account) Jun |Merchandise Inventory 120 63659 0 Sales Revenue select 400 61374 0 Interest Revenue (select) 403 331 0 . .. . . . . . . . . . ..."- - Purchase Returns and Allowances (select) 501 1434 0 Purchase Discounts (select) 502 75 0 (select) Income Summary 310 126873 Closing entry to credit the Income Summary account4386 Jun 30 Income Summary 310 Retained Earnings 307 4386 To close the balance of the Income Summary account) (Q=958-120.Inventory_ClosingEntries) GENERAL LEDGER Account: Merchandise Inventory Account No. 120 Date Description Ref. Debit Credit Balance Balance 75,784 DR May 30 close beginning inv G J 0 75784 Jun 30 post ending invento G J 63659 DR + Jun Jun 30 Jun 30 Post-Closing Balance (Q=958-301. RetainedProfits_ClosingEntries) Account: Retained Earnings Account No. 301 Date Description Ref. Debit Credit Balance 99,878 CR May 31 Balance Jun 30 Jur 30 Jur 30 Jun 30 Post-Closing Balance (Q=958-310.ProfitAndLossSummary_ClosingEntries) Account: Income Summary Account No. 310 Description Ref. Debit Credit Balance Date 0 May Balance Jun 30 Jun 30 Jur 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-400.SalesRevenue ClosingEntries)Account: Sales Revenue Account No. 400 Date Description Ref. Debit Credit Balance 0 May 31 Balance SJ 16,66 16,665 CR Jun 30 Total from sales journal Total from cash receipts journal CRJ 44,709 61,374 CR Jun Jun 30 Jun 30 + Jur 30 Jun 30 Post-Closing Balance (Q=958-401.SalesReturnsAndAllowances_ClosingEntries) Account: Sales Returns and Allowances Account No. 401 Description Debit Credit Balance Date Ref. 0 May 31 Balance 9 Sales return from Outlines 5,204 5,204 DR Jur GJ Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-402.SalesDisc_ClosingEntries) Account: Sales Discounts Account No. 402 Date Description Ref. Debit Credit Balance May 31 Balance 0 Jun 30 Total from cash receipts journal CRJ 333 333 DR Jun 30 Jun 30 + Jun 30 Jun 30 Post-Closing Balance (Q=958-403.InterestRevenue_ClosingEntries)Account: Interest Revenue Account No. 403 Date Description Ref. Debit Credit Balance May 31 Balance Jun 30 Interest received from the bank GJ 231 231 CR Jun 30 Accrued interest revenue GJ 100 331 CR Jur 30 Jur 30 30 Jun 0 Post-Closing Balance (Q=958-500.Purchases_ClosingEntries Account: Purchases Account No. 500 Date Description Ref. Debit Credit Balance May 31 Balance 0 Jun Total from purchases journal PJ 6,430 6,430 DR Jun 30 Total from cash payments journal CPJ 3,750 10, 180 DR Jur 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-501.PurchaseReturnsAndAllowances_ClosingEntries Account: Purchase Returns and Allowances Account No. 501 Date Description Ref. Debit Credit Balance May Balance Jun 18 Purchase return to Stompson G 1,434 1,434 CR Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance Q=958-502. PurchaseDisc ClosingEntriesAccount: Purchase Discounts Account No. 502 Date Description Ref. Debit Credit Balance 0 May 31 Balance 75 75 CR Jun 30 Total from cash payments journal CPJ Jun 30 + Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-511.AdvertisingExpense_ClosingEntries) Account: Advertising Expense Account No. 511 Date Description Ref. Debit Credit Balance 31 Balance 0 May Jun 30 Benefits consumed GJ 4,000 4,000 DR Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-516.WagesExpense_ClosingEntries) Account: Wages Expense Account No. 516 Date Description Ref. Debit Credit Balance May 0 31 Balance 6,746 DR Jun 15 Paid staff wages CPJ 5,746 Jun 9 Paid staff wages CPJ 5,323 11.069 DR Jun 30 Accrued wages expense G. 1,440 12,509 DR Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-540.RentExpense_ClosingEntries) Account: Rent Expense Account No. 540 Date Description Ref. Debit Credit Balance May 31 Balance 30 Rent expired 3,000 DR Jun GJ 3,000 Jun 30 Jun 30Account: Electricity Expense Account No. 541 Description Ref. Debit Credit Balance Date May 31 Balance Jun 30 Accrued electricity expense GJ 996 996 DR Jun 30 Jun 30 Jun 30 Jun Post-Closing Balance (Q=958-542. WaterExpense_ClosingEntries) Account: Water Expense Account No. 542 Date Description Ref. Debit Credit Balance 0 May 31 Balance 208 DR Jun Accrued water expense GJ 208 30 Jun 30 Jun 30 A Jun 30 Jun 30 Post-Closing Balance (Q=958-543.InsuranceExpense_ClosingEntries) Account: Insurance Expense Account No. 543 Date Description Ref. Debit Credit Balance 0 May 31 Balance GJ 600 600 DR Jun 30 Insurance expired Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-544.SuppliesExpense_ClosingEntries)Account: Office Supplies Expense Account No. 544 Description Ref. Debit Credit Balance Date 0 May 31 Balance GJ 3,656 3,656 DR Jun 30 Supplies used + Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance (Q=958-545.SalaryExpense_ClosingEntri Account: Salary Expense Account No. 545 Description Ref. Debit Credit Balance Date 0 May 31 Balance | Paid salary CPJ 5,300 5,300 DR Jun 30 Jun 30 Jun 30 Jur 30 Jun Post-Closing Balance (Q=958-560.Depreciation ExpenseCapitalAsset2_ClosingEntri Account: Depn Expense: Office Furniture Account No. 560 Debit Credit Balance Date Description Ref. 0 May 31 Balance 97 DR Jun 30 Depreciation - one month GJ 97 Jun 30 Jun 30 Jun 30 Jun 30 Post-Closing Balance 0=958-561. italAsset1 ClosinAccount: Depn Expense: Office Equipment Account No. 561 Debit Credit Balance Date Description Ref. 0 May 31 Balance 398 398 DR Jun 30 Depreciation - one month GJ Jun 30 Jun 30 Jur 30 Jur 30 Post-Closing Balance (Q=958-571.InterestExpense_ClosingEntries) Account: Interest Expense Account No. 571 Debit Credit Date Description Ref. Balance 0 May 31 Balance GJ 215 215 DR Jun 30 Accrued interest expense Jun 30 Jun 30 Jun 30 Jun Post-Closing Balance (Q=958-572.BankCharges_ClosingEntries) Account: Admin. Expense - Bank Charges Account No. 572 Credit Balance Date Description Ref. Debit May 31 Balance GJ / DR Jun 30 Bank service charge Jun 30 Jun 30 Jur 30 Jun 30 Post-Closing BalanceCover 2 Cover Worksheet For the month ended June 30, 2020 Unadjusted Trial Balance Adjustments Adjusted Trial Income Acct. No. Account Name Balance Statement Balance Sheet Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash 89,586 89,586 89,586 102 Short-term Investments 20,000 20,000 20,000 110 ARC - Accounts Receivable Control 12,807 12,807 12,807 112 Interest Receivable 100 100 100 120 Merchandise Inventory 75,784 75,784 75,784 63.659 63,659 130 Office Supplies 7,312 3,656 3,656 3,656 140 Prepaid Rent 6,000 3,000 3,000 3,000 141 Prepaid Advertising 12,000 4,000 8,000 8,000 142 Prepaid Insurance 3,000 600 2,400 2.40 150 Office Furniture 8,000 8,000 8,000 151 Accum Depn: Office Furniture 1.653 97 1,750 1,750 160 Office Equipment 48,000 48,000 48,000 161 Accum Depn: Office Equipment 19.907 398 20.305 20.305 210 APC - Accounts Payable Control 2,030 2.030 2,030 220 Wages Payable 1,440 1,440 1,440 221 Electricity Payable 996 996 996 222 Water Payable 208 208 208 225 Interest Payable 215 215 215 250 Bank Loan Payable 43,000 43,000 43,000 300 Common Stock 85,000 85,000 85,000 301 Retained Earnings 99,878 99,878 99,878 400 Sales Revenue 61,374 61,374 61,374 401 Sales Returns and Allowances 5,204 5,204 5,204 402 Sales Discounts 333 353 333 403 Interest Revenue 231 100 331 331 500 Purchases 10,180 10,180 10,180 501 Purchase Returns and Allowances 1,434 1.434 1.434 502 Purchase Discounts 75 15 511 Advertising Expense 4,000 4.000 4,000 516 Wages Expense 11.069 1,440 12,509 12,509 540 Rent Expense 3,000 3,000 3,000 541 Electricity Expense 996 996 996 542 Water Expense 208 208 208 543 Insurance Expense 600 600 600 544 | Office Supplies Expense 3,656 3,656 3,656 545 Salary Expense 5,300 5,300 5,300 560 Depn Expense: Office Furniture 97 97 97 561 Depn Expense: Office Equipment 398 398 398 571 Interest Expense 215 215 215 572 Admin. Expense - Bank Charges Totals 314,582 314,582 14,710 14,710 318,036 318,036 122,487 126,873 259,208 254,822 Net income or loss .386 4,386 Totals 126,873 126,873 259,208 259,208