Timber Creek prepared the following adjusted trial balance on December 31, 20X3. The company has completed preparation of financial statements and is now ready to prepare closing entries. TIMBER CREEK Adjusted Trial Balance As of December 31, 20X3 Debits Credits Cash $ 35,600 $ - Accounts receivable 23,700 - Supplies 7,500 - Equipment 325,700 - Accumulated depreciation - 40,400 Accounts payable - 34,800 Loan payable - 100,000 Capital stock - 80,000 Retained earnings - 70,000 Dividends 20,000 - Revenues - 478,400 Rent expense 120,000 - Salaries expense 235,600 - Supplies expense 18,000 - Interest expense 7,400 - Depreciation expense 10,100 - $ 803,600 $ 803,600 (a) Prepare the necessary closing entries. (b) Use T-accounts to determine the post-closing balances of the accounts. (c) Prepare the post-closing trial balance.

GENERAL JOURNAL Page Date Accounts Debit Credit Dec. 31 To close revenues to Income Summary Dec. 31 To close expenses to Income Summary Dec. 31 To close Income Summary to retained earnings Dec. 31 To close dividends

CASH DIVIDENDS closing ACCOUNTS RECEIVABLE REVENUES closing SUPPLIES RENT EXPENSE closing EQUIPMENT SALARIES EXPENSE closing ACCUMULATED DEPRECIATION SUPPLIES EXPENSE closing ACCOUNTS PAYABLE INTEREST EXPENSE closing LOAN PAYABLE DEPRECIATION EXPENSE closing CAPITAL STOCK INCOME SUMMARY closing closing closing RETAINED EARNINGS closing closing

TIMBER CREEK Post-Closing Trial Balance As of December 31, 20X3 Debits Credits $ - $ - - - - - - - - - - - - - - - - - $ - $ -