The adjusted trial balance of Faulk Ltd. shows the following data pertaining to sales at the end of its fiscal year, October 31, 2019: Sales Revenue £800,000; Delivery Expense £12,000; Sales Returns and Allowances £24,000; and Sales Discounts £12,000.
Instructions
a. Prepare the revenues section of the income statement.
b. Prepare separate closing entries for (1) sales revenue and (2) the contra accounts to sales revenue.