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Required information The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances: Accounts Debits Credits Cash $ 10,500 Accounts
Required information
The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances:
Accounts | Debits | Credits | |||||
Cash | $ | 10,500 | |||||
Accounts Receivable | 6,100 | ||||||
Supplies | 2,100 | ||||||
Equipment | 19,500 | ||||||
Accumulated Depreciation | $ | 6,800 | |||||
Salaries Payable | 9,300 | ||||||
Common Stock | 15,500 | ||||||
Retained Earnings | 6,600 | ||||||
Totals | $ | 38,200 | $ | 38,200 | |||
The following is a summary of the transactions for the year:
1. | March | 12 | Provide services to customers, $41,000, of which $19,100 is on account. | |||
2. | May | 2 | Collect on accounts receivable, $16,100. | |||
3. | June | 30 | Issue shares of common stock in exchange for $6,000 cash. | |||
4. | August | 1 | Pay salaries of $9,300 from 2020 (prior year). | |||
5. | September | 25 | Pay repairs and maintenance expenses, $11,100. | |||
6. | October | 19 | Purchase equipment for $6,100 cash. | |||
7. | December | 30 | Pay $1,100 cash dividends to stockholders. |
Record closing entries. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.)
Journal entry worksheet
- Record the closing entry for revenue.
Note: Enter debits before credits.
|
- Record the closing entry for expenses.
Note: Enter debits before credits.
|
- Record the closing entry for cash dividends.
Note: Enter debits before credits.
|
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