Question
The adjusted trial balance for China Tea Company at December 31, 2021, is presented below: Debit Credit Cash 11,000 Accounts receivable 155,000 Prepaid rent 5,500
The adjusted trial balance for China Tea Company at December 31, 2021, is presented below:
Debit | Credit | |||||
Cash | 11,000 | |||||
Accounts receivable | 155,000 | |||||
Prepaid rent | 5,500 | |||||
Inventory | 30,000 | |||||
Equipment | 350,000 | |||||
Accumulated depreciation—equipment | 130,000 | |||||
Accounts payable | 35,000 | |||||
Notes payable—due in three months | 35,000 | |||||
Salaries payable | 4,500 | |||||
Interest payable | 12,000 | |||||
Common stock | 225,000 | |||||
Retained earnings | 61,000 | |||||
Dividends | 10,500 | |||||
Sales revenue | 450,000 | |||||
Costs of goods sold | 205,000 | |||||
Salaries expense | 125,000 | |||||
Rent expense | 20,000 | |||||
Depreciation expense | 35,000 | |||||
Interest expense | 2,500 | |||||
Advertising expense | 3,000 | |||||
Totals | 952,500 | 952,500 | ||||
Required:
Prepare the closing entries for China Tea Company for the year ended December 31, 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Journal entry worksheet
- Record the entry to close the revenue accounts.
Note: Enter debits before credits.
|
- Journal entry worksheet
- Record the entry to close the expense accounts.
Note: Enter debits before credits.
|
Journal entry worksheet
- Record the entry to close the dividends account.
Note: Enter debits before credits.
|
Journal entry worksheet
- Record the entry to close the dividends account.
Note: Enter debits before credits.
|
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