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Exercise 4-9 (Algo) Preparing closing entries and a post-closing trial balance LO P2 Following are accounts and year-end adjusted balances of Cruz Company as of

Exercise 4-9 (Algo) Preparing closing entries and a post-closing trial balance LO P2

Following are accounts and year-end adjusted balances of Cruz Company as of December 31.

Number Account Title Debit Credit
101 Cash $ 18,000
126 Supplies 8,700
128 Prepaid insurance 2,000
167 Equipment 23,000
168 Accumulated depreciationEquipment $ 6,500
301 A. Cruz, Capital 42,530
302 A. Cruz, Withdrawals 6,000
403 Services revenue 38,800
612 Depreciation expenseEquipment 2,000
622 Salaries expense 22,620
637 Insurance expense 1,630
640 Rent expense 2,600
652 Supplies expense 1,280
Totals $ 87,830 $ 87,830

1. Prepare the December 31 closing entries. The account number for Income Summary is 901. 2. Prepare the December 31 post-closing trial balance. Note: The A. Cruz, Capital account balance was $42,530 on December 31 of the prior year.

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