How to close off this capital account with a net loss of -$71850.00, while using the income summary account DrfxDateDetails31/12/2022 Balance c/fCapital StockDateD1,100,550 1/1/20222/1/20222/1/20222/1/20222/1/20221,100,5501/1/2023DetailsBalance b/fCashAccounts ReceivableSuppliesFurniture and EquipmerBalance b/fUn$835,000120,00020,50025,050100,0001,100,5501,100,550

As given above, A Capital accounts's balance is increases when an amount is credited to it and its…

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How to close off this capital account with a net loss of -$71850.00, while using the income summary account

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

How to close off this capital account with a net loss of -$71850.00, while using the income summary account

Dr
fx
Date
Details
31/12/2022 Balance c/f
Capital Stock
Date
D
1,100,550 1/1/2022
2/1/2022
2/1/2022
2/1/2022
2/1/2022
1,100,550
1/1/2023
Details
Balance b/f
Cash
Accounts Receivable
Supplies
Furniture and Equipmer
Balance b/f
Un
$
835,000
120,000
20,500
25,050
100,000
1,100,550
1,100,550

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