Answer:
Dylan Delivery Company
1. 10-Column Worksheet (see attachment)
2. Closing Journal Entries at December 31, 2010:
Date  Description                        Debit         Credit  
Depreciation expense - Truck    80,000  
Salaries Expense                         111,000  
Office supplies expense             18,000  
Repairs expense- trucks             15,000
Income Summary                                          224,000
To close expenses to the Income Summary.
Date  Description                        Debit         Credit
Income Summary                      263,000
Delivery fees                                                263,000
To close revenue to the Income Summary.
Date  Description                       Debit         Credit
Net Income                                39,000
Retained Earnings                                        39,000
To close the net income to retained earnings.
2b) Capital to be reported on balance sheet as at December 31, 2010:
S. Dylan Capital                 $307,000
Retained Earnings                39,000
S. Dylan withdrawals           (34,000)
Net Capital                        $312,000
Explanation:
a) A 10-column worksheet is a tool used by accountants to close the temporary accounts, after necessary adjustments, and then extract a balance sheet.  It comprises two columns (debit and credit) for each of the following: Unadjusted Trial Balance, Adjusting Entries, Adjusted Trial Balance, Income Statement, and Balance Sheet.
b) A closing entry is a journal entry that is made at the end of an accounting period to transfer balances from a temporary account to a permanent account.  The four basic steps in the closing process are: Closing the revenue accounts—transferring the credit balances in the revenue accounts to a clearing account called Income Summary. Closing the expense accounts—transferring the debit balances in the expense accounts to a clearing account called Income Summary.  Extracting a balance between the revenue accounts and the expense accounts, called the net income or loss.  Closing the net income or loss to the Retained Earnings.