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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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