closing entires year 1,2

Required Information [The following information applies to the questions displayed below.] The following transactions apply to Jova Company for Year 1, the first year of operation: 1. Issued $26.000 of common stock for cash. 2. Recognized $226,000 of service revenue earned on account. 3. Collected $179,600 from accounts receivable. 4. Pald $141.000 cash for operating expenses. 5. Adjusted the accounts to recognize uncollectible accounts expense. Jova uses the allowance method of accounting for uncollectible accounts and estimates that uncollectible accounts expense will be 1 percent of sales on account. The following transactions apply to Jova for Year 2 1. Recognized $336,000 of service revenue on account. 2. Collected $351,000 from accounts recevable. 3. Determined that $2,950 of the accounts receivable were uncollectible and wrote them off. 4. Collected $2,400 of an account that had previously been written off. 5. Paid $221.000 cash for operating expenses. 6. Adjusted the accounts to recognize uncollectible accounts expense for Year 2. Jova estimates uncollectible accounts expense will be 0.5 percent of sales on account. Complete the following requirements for Year 1 and Year 2. Complete all requirements for Year 1 prior to beginning the requirements for Year 2 e-1. Prepare closing entries and post these closing entries to the T-accounts and prepare a post-closing trial balancer the Year 1. (If no entry is required for a transaction/event, select "No Journal entry required" In the first account field.) View transaction list Journal entry worksheet Required information Part 7 7 8 End. Bat End. Bal Service Revenue Retained Earnings 10 points Adj. Bal Adj. Bal 220,000 141.000 220,000 Skipped End. Bal $ 228.000 85.000 End. Bat. Uncollectible Accounts Expense Operating Expenses eBook Adj. Bal. Adj Bal. 141.000 2. Print End. Bal. $ 141,000 End. Bal References w JOVA COMPANY Post Closing Trial Balance December 31Year Account Title Debit Cash Accounts receivable Credit Total e-2. Prepare closing entries and post these closing entries to the T-accounts and prepare a post-closing trial bala for the Year 2 (If no entry is required for a transaction/event, select "No journal entry required" in the first sco field.) View transaction list Journal entry worksheet >