The accounts of Meadowbrook Services, Inc., at January 31, 2021, are listed in alphabetical order. (Click the icon to view the accounts.) Read the requirements. Requirement 1. All adjustments have been journalized and posted, but the closing entries have not yet been made. Journalize Meadowbrook's closing entries at January 31, 2021. (Record debits first, then credits. Exclude explanations from any journal entries.) Record the closing entries for Meadowbrook at January 31, 2021. Begin by closing the revenue account. Journal Entry Date (1) Jan Next, close the expense accounts. Date (2) Jan 31 Date (3) Jan 31 Now close the dividends account. 31 Accounts Journal Entry Accounts Journal Entry Accounts Debit Debit Debit Credit Credit Credit Data table SLIDES Accounts payable Accounts receivable Accumulated depreciation, equipment Advertising expense Cash Common stock. Current portion of long-term note payable Depreciation expense-equipment Dividends declared Equipment $ 12,000 16,400 7,200 10,900 Prepaid expenses 17,000 Retained earnings, January 31, 2020 6,300 Salary expense 1,800 Salary payable 1,900 Service revenue 13,500 43,200 Interest expense Note payable, long term Other assets, long-term Print Supplies Supplies expense Unearned service revenue Done $ - X 300 16,000 13,800 5,800 13,200 26,900 2,800 94,500 3,400 4,400 3,700 Requirement 2. A T-account for Retained Earnings has been set up for you. Post to that account. Then calculate Meadowbrook's net income for the year ended January 31, 2021. What is the ending balance of Retained Earnings? Post the beginning balance and closing entries to Retained Earnings in the T-account by selecting the respective posting references and then entering the correct amounts. Determine the ending balance. Retained Earnings The net income for 2021 was Requirement 3. Did Retained Earnings increase or decrease during the year? What caused the increase or decrease? Retained Earnings during 2021 because Requirement 2. A T-account for Retained Earnings has been set up for you. Post to that account. Then calculate Meadowbrook's net income for the year ended January 31, 2021. What is the ending balance of Retained Earnings? Post the beginning balance and closing entries to Retained Earnings in the T-account by selecting the respective posting references and then entering the correct amounts. Determine the ending balance. The net income for Requirement 3. Dic Retained Earnings decreased increased remained the same decrease during the year? What caused the increase or decrease? during 2021 because Requirement 2. A T-account for Retained Earnings has been set up for you. Post to that account. Then calculate Meadowbrook's net income for the year ended January 31, 2021. What is the ending balance of Retained Earnings? Post the beginning balance and closing entries to Retained Earnings in the T-account by selecting the respective posting references and then entering the correct amounts. Determine the ending balance. Retained Earnings The net income for 2021 was Requirement 3. Did Retained Earnings increase or decrease di Retained Earnings during 2021 because dividends exceeded the beginning balance of retained earnings. net income exceeded dividends. revenues exceeded dividends
