Ch 4

Do It! 4-3 (p. 4-42)

DO IT! 4.2 (LO 2) Paloma Company shows the following balances in selected accounts of its adjusted trial balance.

Prepare closing entries.

Supplies		$32,000
Supplies Expense		6,000
Accounts Receivable		12,000
Owner's Drawings		22,000
Owner's Capital		70,000
Service Revenue		108,000
Salaries and Wages Expense		40,000
Utilities Expense		8,000
Rent Expense		18,000

Prepare the closing entries at December 31.