Capri Company began the current period with a $33,000 credit balance in the Retained Earnings account. At the end of the period, the company's adjusted account balances include the following temporary accounts with normal balances. 42,500 Dividends Services revenue $ 72,000 Interest revenue Salaries expense Depreciation expense 8,200 Utilities expense 1. After closing the revenue and expense accounts, what is the balance of the Income Summary account? Step 1: Close Revenues to Income Summary: Debit Credit Step 2: Close Expenses to Income Summary Debit Credit Income Summary $ 7,000 23,500 6,400 2. After all closing entries are journalized and posted, what is the balance of the Retained Earnings account? Step 3: Close Income Summary to Retained earnings Debit Credit Step 4: Close Dividends Retained Earnings Account Beginning balance 33,000 Dividends