Saputo Inc., which is headquartered in Montreal, produces, markets, and distributes dairy products in markets around the world. Exhibit 3.28 contains an excerpt from the company’s consolidated financial statements dated March 31, 2020.

Required 

a. Prepare the closing entries that would have been required to close the Income Summary account. 

b. The company has prepaid expenses of $106.6 million as at March 31, 2020. Identify two of Saputo’s likely prepaid expenses and when they would be expensed.

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(in millions of Canadian dollars) RETAINED EARNINGS Balance, beginning of year Net Income Dividends Declared Balance, end of year 2020 3,715.0 649.7 (269.7) 4,095.0 2019 3,216.4 753.2 (254.6) 3,715.0