1. Interior Designs, Inc.

   Income Statement

   For the Year Ended December 31, 20X7

   Professional fees revenue......$95,500

   Operating expenses:

   Interest expense...$1,200

   Salaries expense...28,000

   Insurance expense..4,800

   Rent expense11,500

   Depreciation expense....12,000

   Supplies expense.7,000

   Utilities expense 7,700

   Total operating expenses...........................72,200

   Income before income taxes..........23,300

   Income tax expense........,,. 6,600

   Net income...........$16,700

   Select the closing entries for the above financial statement.

   		Dr Professional Fees Revenue $95,500 Cr Income Summary $95,500 Dr Income Summary $78,800 Cr Interest Expense $ 1,200 Cr Salaries Expense $28,000 Cr Insurance Expense $ 4,800 Cr Rent Expense $11,500 Cr Depreciation Expense $12,000 Cr Supplies Expense $ 7,000 Cr Utilities Expense $ 7,700 Cr Income Tax Expense $ 6,600 Dr Income Summary $16,700 Cr Retained Earnings $16,700
   		Dr Income Summary $95,500 Cr Professional Fees Revenue $95,500 Dr Interest Expense $ 1,200 Dr Salaries Expense $28,000 Dr Insurance Expense $ 4,800 Dr Rent Expense $11,500 Dr Depreciation Expense $12,000 Dr Supplies Expense $ 7,000 Dr Utilities Expense $ 7,700 Dr Income Tax Expense $ 6,600 Cr Income Summary 78,800 Dr Income Summary $16,700 Cr Retained Earnings $16,700