Fixing the Closing Entries

Your answer is correct. Prepare a classified balance sheet. (Note: $5,000 of the notes payable become due in 2018.) (List Current Assets in order of liquidity.) ALSHWER COMPANY Balance Sheet December 31, 2017 Assets TCurrent Assets T Cash 5300 T Accounts Receivable 10800 T Supplies 1500 | Prepaid Insurance 2000 T Total Current Assets 19600 Property, plant and Equipment T Equipment 27000 T Less TAccumulated Depreciation- 5600 21400 T Total Assets 41000 Liabilities and Stockholders' Equity Current Liabilities T Accounts Payable 6100 T Salaries and Wages Pay 2400 T Interest Payable 600 T Notes Payable 5000 T Total Current Liabilities C 14100 TLong-term Liabilities T Notes Payable 10000 T Total Liabilities 24100 T Stockholders' Equity T Common Stock 10000 T Retained Earnings 6900 T Total Stockholders' Equity 16900 T Total Liabilities and Stockholders' Equity 41000 SHOW LIST OF ACCOUNTS SHOW SOLUTION SHOW ANSWER LINK TO TEXT LINK TO TEXT LINK TO TEXT (c) Your answer is correct. 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 Dec. 317 Dec. 31 TService Revenue 61000) 61000 T Income Summary (To close revenue account.) Dec. 31 TIncome Summary 50100T | Advertising Expense 8400 Supplies Expense Y VVVVVV 4000 Depreciation Expense 5600 T Insurance Expense 3500 1 Salaries and Wages ExpT 28000 I T 600 | Interest Expense (To close expense accounts.) Dec. 31 income Summary 109001 T 10900 Retained Earnings (To close net income / (loss).) Dec. 31 Retained Earnings Dec. 31 7000 1 Dividends (To close dividends.) (d) Your answer is partially correct. Try again. Post the closing entries. (Post entries in the order of journal entries presented in the previous part.) No. 301 Retained Earnings Debit Date Explanation Ref Credit Balance Jan. 31 Balance 10900 Dec. 31 Closing entry 114 10900 10900 Dec. 31 Closing entry J14 10900 10900 No. 306 Dividends Debit Credit Balance Date Explanation Ref Dec. 31 Balance 7000 Dec. 31 Closing entry J14 7000 No. 350 Income Summary Debit Credit Balance Date Explanation Ref Dec. 31 Closing entry 314 61000 61000 Dec. 31 Closing entry J14 61000 61000 Dec. 31 Closing entry 314 61000 No. 400 Date Explanation Ref Service Revenue Debit Credit Balance Dec. 31 Balance 6100074 61000 Dec. 31 Closing entry 1144 61000 Advertising Expense Debit No. 610 Credit Balance Date Explanation Ref Dec. 31 Balance 8400 Dec. 31 Closing entry 1144 8400 No. 631 Supplies Expense Debit Credit Balance Date Explanation Ref Dec. 31 Balance 4000 Dec. 31 Closing entry 1147 No. 711 Depreciation Expense Debit Credit Balance Date Explanation Ref Dec. 31 Balance 5600 Dec. 31 Closing entry 1144 5600 No. 722 Insurance Expense Debit Credit Balance Date Explanation Ref Dec. 31 Balance v 3500 3500 Dec. 31 Closing entry 2147 Salaries and Wages Expense No. 726