Crane Company has the following merchandise account balances at its September 30 year end: Cost of goods sold $140,000, Sales $273,500, Delivery expense $2,100, Sales discounts $950, Merchandise inventory $22,000, Sales returns and allowances $3,200, Salaries expense $41,000, Supplies $2,700. Prepare the entries to close the appropriate accounts to the Income Summary account.

College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter14: Adjustments For A Merchandising Business
Section: Chapter Questions
Problem 2MC: Under the periodic inventory system, what account is debited when an estimate is made for sales made...
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Crane Company has the following merchandise account balances at its September 30 year end: Cost of goods sold $140,000, Sales $273,500, Delivery expense $2,100, Sales discounts $950, Merchandise inventory $22,000, Sales returns and allowances $3,200, Salaries expense $41,000, Supplies $2,700. Prepare the entries to close the appropriate accounts to the Income Summary account.

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