A company had revenue of $550,000, rent expense of $100,000, utility expense of $10,000, salary expense of $125,500, depreciation expense of $39,000, advertising expense of $40,200, dividends in the amount of $183,000, and an ending balance in retained earnings of $402,300.

What is the appropriate journal entry to close income summary?

A. Income Summary235,300

Retained Earnings......235,300

B. Retained Earnings235,300

Income Summary...235,300

C. Income Summary52,300

Retained Earnings..52,300

D. Retained Earnings..52,300

Income Summary...52,300

E. Income Summary.314,700

Retained Earnings..314,700

Zapata Corp. received an 8-month, 9% note for $100,000 from its agent on October 1, 2008. The note is due on May 30, 2009. If Zapata's accounting period ends on December 31, 2008, how much interest revenue should Zapata recognize during 2008 and 2009?

a. 2008, $3,750; 2009, $2,250

b. 2008, $2,250; 2009, $3,750

c. 2008, $9,000; 2009, $0

d. 2008, $3,375; 2009, $5,625

Please provide explanations for each one