Prepare Closing Entries to Retained Earnings The Century Company's adjusted trial balance contains the following balances as of December 31 Retained Earnings s8,500; Dividends s2,000; Sales $20,000; Cost of Goods Sold $8,000, Selling and Administrative Expenses $3,000; Interest Expense $1,500. Prepare the closing entries for The Century Company. Close the temporary accounts straight to retained earnings. General Journal Description Debit Credit Sales 20,000 20,000 To close the revenue account. 1,500 Interest expense Cost of goods sold Selling and administrative expense 12,500 To close the expense accounts 2