Answer:
1. Dec 31, 2019
Dr Fees Income $107,500
Cr Income Summary $107,500
2. Dec 31, 2019
Dr Income summary 60,000
Cr Salaries expense 34,000
Cr Supplies expense 6,000
Cr Utilities expense 9,300
Cr Telephone expense 5200
Cr Depreciation expense 5500
3. Dec 31, 2019
Dr Income summary 47,500
Cr Retained earnings 47,500
4. Dec 31, 2019
Dr Maria lopez, capital 52,000
Cr Maria lopez, drawing 52,000
Explanation:
Preparation of the closing entries for the above transactions
1. Dec 31, 2019
Dr Fees Income $107,500
Cr Income Summary $107,500
(To close revenue account)
2. Dec 31, 2019
Dr Income summary 60,000
(5500+5200+9300+6000+34000)
Cr Salaries expense 34,000
Cr Supplies expense 6,000
Cr Utilities expense 9,300
Cr Telephone expense 5200
Cr Depreciation expense 5500
(To close expenses account)
3. Dec 31, 2019
Dr Income summary 47,500
($107,500-60,000)
Cr Retained earnings 47,500
(To close income summary account)
4. Dec 31, 2019
Dr Maria lopez, capital 52,000
Cr Maria lopez, drawing 52,000
(To close drawings account)
