Exercise 4-08 a-c (Video)

Sarasota Company ended its fiscal year on July 31, 2019. The companys adjusted trial balance as of the end of its fiscal year is shown below.

Sarasota Company Adjusted Trial Balance July 31, 2019
No.		Account Titles		Debit		Credit
101		Cash		$8,700
112		Accounts Receivable		9,400
157		Equipment		16,100
158		Accumulated DepreciationEquip.				$7,600
201		Accounts Payable				4,100
208		Unearned Rent Revenue				1,700
311		Common Stock				18,200
320		Retained Earnings				25,600
332		Dividends		16,500
400		Service Revenue				65,000
429		Rent Revenue				6,000
711		Depreciation Expense		6,600
726		Salaries and Wages Expense		55,900
732		Utilities Expense		15,000
				$128,200		$128,200

Prepare the closing entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
July 31
	(To close revenue accounts)
July 31
	(To close expense accounts)
July 31
	(To close net income / (loss))
July 31
	(To close dividends)

Post to the Retained Earnings and Income Summary accounts. (Post entries in the order of journal entries presented in the previous part. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Retained Earnings					No. 320
Date	Explanation	Ref	Debit	Credit	Balance
July 31	Close Net Income/LossClose ExpensesClose RevenuesClose DividendsBalance	J15
July 31	Close DividendsClose RevenuesClose ExpensesClose Net Income/LossBalance	J15
July 31	BalanceClose RevenuesClose DividendsClose Net Income/LossClose Expenses	J15