Question
The following is a list of the accounts and balances at December 31, 2021, for Meilleur Merchants. The list of accounts is in alphabetical order.
The following is a list of the accounts and balances at December 31, 2021, for Meilleur Merchants. The list of accounts is in alphabetical order. All accounts have normal balances. Meilleur uses a perpetual inventory system and the earnings approach for revenue recognition. Account Balance Dec. 31
1 Accounts payable $15,000
2 Accounts receivable 30,000
3 Accumulated depreciationbuilding 15,500
4 Accumulated depreciationequipment 10,000
5 Advertising expense 4,115
6 Building 84,600
7 S. Meilleur, capital 75,000
8 S. Meilleur, drawings 28,300
9 Cash 4,505
10 Cost of goods sold 234,600
11 Depreciation expense 6,205
12 Equipment 24,500
13 Freight out 627
14 Insurance expense 1,555
15 Interest expense 2,245
16 Interest revenue 941
17 Land 12,000
18 Merchandise inventory 105,800
19 Mortgage payable 57,600
20 Prepaid insurance 2,100
21 Property tax expense 1,515
22 Property taxes payable 600
23 Rent revenue 1,410
24 Salaries expense 42,800
25 Salaries payable 650
26 Sales 420,300
27 Sales discounts 15,700
28 Sales returns and allowances 19,800
29 Unearned revenue 23,000
30 Utilities expense 2,225
Prepare closing entries for Meilleur Merchants at December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
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