Question

Sweet has year-end account balances of Sales Revenue $811,419, Interest Revenue $12,690, Cost of Goods Sold $575,593, Administrative Expenses $189,840, Income Tax Expense $31,877, and Dividends $18,984. Prepare the year-end closing entries

Answer 1

Answer:

Sales Revenue $811,419

Interest Revenue $12,690

Cost of Goods Sold $575,593

Administrative Expenses $189,840

Income Tax Expense $31,877

Dividends $18,984.

Year end Closing Entries                  Dr.                              Cr.

1.

Sales revenue                                $811,419

Interest revenue                            $12,690

Income Summary                                                             $824,109

2.

Income Summary                           $797,310

Cost of Goods Sold                                                         $575,593

Administrative Expenses                                                $189,840

Income Tax Expenses                                                     $31,877

3.

Income Summary                           $26,799

Retained Earning                                                             $26,799

4.

Retained Earning                           $12,690

Dividend                                                                           $824,109