(4 points) Journalize the following events/transactions that Lobnitz entered into during the month.

Received $150,000 from issuing 10,000 shares of $1 par value Lobnitz common stock. (When recording this entry, credit TWO distinct owners equity accounts.)

Borrowed $100,000.

Purchased $30,000 of office furniture (property, plant, and equipment) on a credit basis.

Performed $300,000 of services for customers on a credit basis.

Incurred, but did not yet pay, $25,000 of wages expense for the month.

Collected $175,000 of accounts receivable.

Collected $36,000 from customers for work to be performed during the following month.

Recorded $5,000 of depreciation expense.

(0.5 point each) Prepare the Adjusting Journal Entries (AJEs) that should be made on December 31, 2015, the end of the accounting year, for each of the following independent situations. If no AJE is required, indicate none. Assume the firm only makes AJEs at the end of the accounting year.

On August 1, 2015, the firm collected $6,000 of rent for 3 months in advance. The journal entry to record the receipt included a credit to a temporary account.

On May 1, 2015, the firm collected $12,000 of rent for 12 months in advance. The journal entry to record the receipt included a credit to a balance sheet account.

On October 31, 2015, the firm collected $6,000 of rent for 6 months in advance. The journal entry to record the receipt included a credit to an income statement account.

On June 30, 2015, the firm collected $4,000 of rent for 4 months in advance. The journal entry to record the receipt included a credit to a permanent account.

On March 31, 2015, the firm paid $12,000 for a 12-month insurance policy. The journal entry to record the payment included a debit to a permanent account.

On September 1, 2015, the firm paid $6,000 for a 3-month rental of a machine. The journal entry to record the payment included a debit to a temporary account.

On November 1, 2015, the firm paid $6,000 for a 6-month rental of a machine. The journal entry to record the payment included a debit to an income statement account.

On February 1, 2015, the firm paid $6,000 for a 6-month rental of a machine. The journal entry to record the payment included a debit to a balance sheet account.

On April 1, 2015, the firm borrowed $2,500,000 at 3%. The firm will repay the interest and principal on April 1, 2016.

(3.5 points) Presented below are selected account balances for C Company as of 12-31-13:

Cash $ 700,000

Retained earnings $1,500,000

Sales revenues $1,040,000

Gain on the sale of a stock investment $ 250,000

Cost of goods sold $ 683,000

Selling and administrative expenses $ 215,000

Income tax expense $ 110,000

Prepare the entry C should make to close out the temporary accounts. Do NOT use an income summary account close the temporary accounts directly into retained earnings.

What is Cs retained earnings balance AFTER making the closing entry?