Presented below are selected account balances for Homer Winslow Co as of December 31, 2014. Instructions: Prepare closing entries

Question

Presented below are selected account balances for Homer Winslow Co. as of December 31, 2014. 
Instructions: Prepare the closing entries for Homer Winslow Co. as of December 31, 2014. (Exclude explanations.)

Inventory (12/31/14): $60,000  
Cost of Goods Sold: $225,700  
Common Stock: $75,000  
Selling Expenses: $16,000  
Retained Earnings: $45,000  
Administrative Expenses: $38,000  
Dividends: $18,000  
Income Tax Expense: $30,000  
Sales Returns and Allowances: $12,000  
Sales Discounts: $15,000  
Sales Revenue: $410,000

Nona Rowe · Accepted Answer

Sales Revenue 410,000 debit         Income Summary    410,000 credit--to close revenues accounts--Income Summary               95,000 debit       Administrative Expenses          38,000  credit       Income Tax Expense                30,000  credit       Sales Returns and Allowances 12,000  credit       Sales Discounts                         15,000 credit--to close expenses and other-- Income Summary     18,000 debitDividends                                   18,000 credit--to close dividends--Income summary    297,000 debit    Retained Earnings      297,000 credit--to close the income summary against RE--Explanation:We have to close against income summary he temporary accounts:To close this accounts we need to post them in their opposite side of the normal balance. Revenues will be debited while expenses credited.At last, we solve for the income summary balance and close it against retained earnings410,000 - 95,000 - 18,000 = 297,000

Prof. Genoveva Fay MD · Answer

answer; intellectual property protection;

Prof. Mozelle Willms · Answer

The answer is dialectical inquiry

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Presented below are selected account balances for Homer Winslow Co as of December 31, 2014. Instructions: Prepare closing entries

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