Valley Company's adjusted trial balance on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Credit Debit $ 41,100 62, 710 $ 25,500 16,880 21,100 8,500 225,400 Merchandise inventory (ending) Other (noninventory) assets Total liabilities Common stock Retained earnings Dividends Sales Sales discounts Sales returns and allowances Cost of goods sold Sales salaries expense Rent expense-Selling space Store supplies expense Advertising expense office salaries expense Rent expense-office space office supplies expense Totals 2,220 13,000 74,200 32,000 8,100 1,800 13,000 28,600 3,300 350 $288,880 $288,880 Beginning merchandise inventory was $26,000. Supplementary records of merchandising activities for the year ended August 31 Beginning merchandise inventory was $26,000. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Invoice cost of merchandise purchases Purchases discounts received Purchases returns and allowances Costs of transportation-in $91,400 2,100 4,800 4,800 es Required: Prepare closing entries as of August 31 (the perpetual inventory system is used). View transaction list Journal entry worksheet RRRRRRR! 1 2 3 4 Record the entry to close the income statement accounts with credit balances