eBook Calculator Print Item Exercise 3-60 (Algorithmic) Preparation of Closing Entries James and Susan Morley recently converted a large turn-of-the-century house into a hotel and incorporated the business as Saginaw Enterpr Their accountant is inexperienced and has made the following closing entries at the end of Saginaw's first year of operations: Income Summary 200,000 Service Revenue 167,000 Accumulated Depreciation 33,000 Depreciation Expense Income Taxes Expense 33,000 8,200 Utilities Expense 12,000 Wages Expense upplies Expense 66,000 31,000 4,500 counts Payable 154,700 Income Summary 45,300 come Summary Retained Earnings 45,300 Utilities Expense Wages Expense 12,000 66,000 31,000 4,500 Supplies Expense Accounts Payable Income Summary 154,700 45,300 Income Summary Retained Earnings 45,300 Dividends 3,200 Income Summary 3,200 Required: Prepare the correct closing entries. Assume that all necessary accounts are presented above and that the amounts given are correct box does not require an entry, leave it blank. 167,000 Dec. 31 Service Revenue Income Summary 167,000 (Close revenue account) 154,700 Dec. 31 Income Summary 33.000 Depreciation Expense 31 Service Revenue 167,000 Income Summary 167,000 (Close revenue account) 131 Income Summary 154,700 Depreciation Expense 33,000 Income Taxes Expense 8,200 Utilities Expense 12.000 Wages Expense 66,000 Supplies Expense 31,000 (Close expense accounts) 31 Income Summary 45,300 Retained Earnings 45,300 (Close Income Summary) 31 Retained Earnings 3,200 Dividends 3,200 (Close Dividends)