Laker Incorporated’s fiscal year-end is December 31, 2021. The following is an adjusted trial balance as of December 31.Accounts Debit Credit Cash $ 12,000 Supplies 39,000 Prepaid Rent 30,000 Accounts Payable $ 3,000 Notes Payable 30,000 Common Stock 40,000 Retained Earnings 9,000 Dividends 4,000 Service Revenue 54,000 Salaries Expense 20,000 Advertising Expense 13,000 Rent Expense 10,000 Utilities Expense 8,000 Totals $136,000 $136,000Required: 1. Prepare the necessary closing entries. 2. Calculate the ending balance of Retained Earnings. 3. Prepare a post-closing trial balance.
Laker Incorporated’s fiscal year-end is December 31, 2021. The following is an adjusted
Accounts Debit Credit
Cash $ 12,000
Supplies 39,000
Prepaid Rent 30,000
Accounts Payable $ 3,000
Notes Payable 30,000
Common Stock 40,000
Dividends 4,000
Service Revenue 54,000
Salaries Expense 20,000
Advertising Expense 13,000
Rent Expense 10,000
Utilities Expense 8,000
Totals $136,000 $136,000
Required:
1. Prepare the necessary closing entries.
2. Calculate the ending balance of Retained Earnings.
3. Prepare a post-closing trial balance.
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