Interiors With Oohs and Aahs sells custom home dcor. Following is the corporation's income statement. Use this statement to prepare closing entries. No dividends were declared during the period. INTERIORS WITH OOHS AND AAHS Income Statement For the Year Ending December 31, 20X4 Revenues Sales $ 887,654 Less: Sales discounts $ 4,667 Sales returns and allowances 9,880 14,547 Net sales $ 873,107 Cost of goods sold Beginning inventory, Jan. 1 $ 182,343 Add: Purchases $ 593,356

Freight-in 21,090 $ 614,446 Less: Purchase discounts $ 3,501 Purchase returns & allowances 19,009 22,510 Net purchases 591,936 Goods available for sale $ 774,279 Less: Ending inventory, Dec. 31 199,055 Cost of goods sold 575,224 Gross profit $ 297,883 Expenses Salaries $ 188,000 Insurance 9,152 Utilities 7,760 Freight-out 2,434 Depreciation 13,773 221,119 Net income $ 76,764

GENERAL JOURNAL Page Date Accounts Debit Credit Dec. 31 Dec. 31 Dec. 31