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On December 31, 20X1, the Income Statement columns of the worksheet for The Sax Shop contained the following information. Income Statement Columns Debit Credit Income
On December 31, 20X1, the Income Statement columns of the worksheet for The Sax Shop contained the following information.
Income Statement Columns | Debit | Credit | ||||
Income summary | $ | 39,500 | $ | 42,800 | ||
Sales | 259,000 | |||||
Sales returns and allowances | 4,350 | |||||
Sales discounts | 3,350 | |||||
Interest income | 215 | |||||
Purchases | 135,300 | |||||
Freight in | 2,650 | |||||
Purchases returns and allowances | 2,450 | |||||
Purchases discounts | 1,620 | |||||
Rent expense | 8,950 | |||||
Utilities expense | 3,020 | |||||
Telephone expense | 1,630 | |||||
Salaries expense | 67,000 | |||||
Payroll taxes expense | 5,360 | |||||
Supplies expense | 1,790 | |||||
Depreciation expense | 2,950 | |||||
Interest expense | 430 | |||||
Totals | $ | 276,280 | $ | 306,085 | ||
Assume further that the owner of the firm is Mark Fronke and that the Mark Fronke, Drawing account had a balance of $26,650 on December 31, 20X1.
Prepare the entries that should be made in the general journal to close the revenue, cost of goods sold, expense, and other temporary accounts.
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