Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following financial information was taken from the books of Zone Health Club, a small spa and fitness club: Account Balances as of December
The following financial information was taken from the books of Zone Health Club, a small spa and fitness club: Account Balances as of December 31, Year 2 Accounts receivable $29,100 Accounts payable 7,580 Salaries payable 11,400 Cash 40,300 Dividends 5,300 Operating expense 2,970 Prepaid rent 3,800 Rent expense 7,900 Retained Earnings 1/1/Year 2 20,700 Salaries expense 31,900 service revenue 68,530 Supplies 340 Supplies expense 2,610 Common stock: 22,100 Unearned revenue 6,910 Land 13,000 Required a. Prepare the journal entries necessary to close the temporary accounts at December 31, Year 2, for Zone Health Club. b. What is the balance in the Retained Earnings account after the closing entries are posted? Complete this question by entering your answers in the tabs below. Required Required B Prepare the journal entries necessary to close the temporary accounts at December 31, Year 2, for Zone Health Club. (If no entry required for a transaction/event, select "No journal entry required in the first account Bed) View action Journal entry worksheet < A B C Record entry to close service revenue. Event General Journal Debit Creat N Record entry Cleary View general Journal >
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started