PA8. LO 5.1 Correct any obvious errors in the following closing entries by providing entries. Assume all accounts held normal account balances in the Adjusted Trial Balan A. Income Summary $280,000 Service Revenue $280,000 $ 16,500 24,000 Automobile Expense Insurance Expense Salaries Expense Supplies Expense Income Summary 190,000 18,500 $249,000 С. Retained Earnings Income Summary $263,500 $263,500 B.
PA8. LO 5.1 Correct any obvious errors in the following closing entries by providing entries. Assume all accounts held normal account balances in the Adjusted Trial Balan A. Income Summary $280,000 Service Revenue $280,000 $ 16,500 24,000 Automobile Expense Insurance Expense Salaries Expense Supplies Expense Income Summary 190,000 18,500 $249,000 С. Retained Earnings Income Summary $263,500 $263,500 B.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:**PA8. Learning Objective 5.1**
Correct any obvious errors in the following closing entries by providing the four corrected closing entries. Assume all accounts held normal account balances in the Adjusted Trial Balance.
**Entry A:**
- **Debit:** Income Summary $280,000
- **Credit:** Service Revenue $280,000
**Entry B:**
- **Debit:**
- Automobile Expense $16,500
- Insurance Expense $24,000
- Salaries Expense $190,000
- Supplies Expense $18,500
- **Credit:**
- Income Summary $249,000
**Entry C:**
- **Debit:** Retained Earnings $263,500
- **Credit:** Income Summary $263,500
**Entry D:**
- **Debit:** Dividends $10,000
- **Credit:** Retained Earnings $10,000
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