Question 4

6 Points

The following is Baker Co.'s Pre-Closing Trial Balance as of December 31, 2017.Baker's accounting period is a month, thus the balances in the temporary accounts are for the month of December 2017.

ACCOUNT DEBIT CREDIT

CASH 10,000

ACCOUNTS RECIEVEABLE 25,000

INVENTORY 40,000

SUPPLIES 5,000

EQUIPMENT 100,000

ACCUMULATED DEPRECIATION 30,000

ACCOUNT PAYABLE 12,000

NOTE PAYABLE 13,000

INTEREST PAYABLE 3,000

UNEARNED REVENUE 8,000

DIVIDEND PAYABLE 7,000

COMMON STOCK 10,000

RETAINED EARNINGS 46,000

SALES REVENUE 193,000

COST OF GOODS SOLS 78,000

DEPRECIATION EXPENSE 18,000

WAGES EXPENSE 42,000

SUPPLIES EXPENSE 3,000

INTEREST EXPENSE 1,000

total $322,000 $322,000

Use the information in Baker's Trial balance to answer questions D through H.

D.In the General Journal below record the journal entry that should be made to close the Revenue account(s).

Question 5

E. In the General Journal below record the journal entry that should be made to close the Expense accounts.

Question 6

F. Based on Baker's account balances, the amount of Net Income that would be shown on Baker's Income Statement for December 2017 would be:

Question 7

G. Based on Baker's account balances, the amount of Total Assets that would be shown on Baker's Balance Sheet as of December 31, 2017 would be:

Question 8

H. Based on Baker's account balances, the amount of Total Equity that would be shown on Baker's Balance Sheet as of December 31, 2017 would be: