Answered step by step
Verified Expert Solution
Question
...
1 Approved Answer
Laker Incorporateds fiscal year-end is December 31, 2021. The following is an adjusted trial balance as of December 31. Accounts Debit Credit Cash $ 10,900
Laker Incorporateds fiscal year-end is December 31, 2021. The following is an adjusted trial balance as of December 31.
Accounts | Debit | Credit | ||||||
Cash | $ | 10,900 | ||||||
Supplies | 33,500 | |||||||
Prepaid Rent | 24,500 | |||||||
Accounts Payable | $ | 1,900 | ||||||
Unearned Revenue | 19,000 | |||||||
Common Stock | 34,500 | |||||||
Retained Earnings, January 1 | 7,900 | |||||||
Dividends | 2,900 | |||||||
Service Revenue | 55,100 | |||||||
Salaries Expense | 18,900 | |||||||
Advertising Expense | 11,900 | |||||||
Rent Expense | 8,900 | |||||||
Utilities Expense | 6,900 | |||||||
Totals | $ | 118,400 | $ | 118,400 | ||||
Required:
1. Prepare the necessary closing entries. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
2. Calculate the ending balance of Retained Earnings.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started