Answer:
July 31
Dr Service revenue $17,510
Cr Income summary $17,510
July 31
Dr Income summary $14,230
Salaries and Wages Expense $9,760, Maintenance and Repairs Expense $3,070 Income Tax Expense $1,400
July 31
Dr Income summary 3,280
Cr retained earnings 3,280
July 31
Dr Retained earnings 1,660
Cr Dividends 1,660
Explanation:
Preparation of the closing journal entries
July 31
Dr Service revenue $17,510
Cr Income summary $17,510
(To close revenue account)
July 31
Dr Income summary $14,230
(9,760+3,070+1,400)
Salaries and Wages Expense $9,760, Maintenance and Repairs Expense $3,070 Income Tax Expense $1,400
(To close expense accounts)
July 31
Dr Income summary 3,280
(17,510-14,230)
Cr retained earnings 3,280
(To close net income/loss to retainedearnings)
July 31
Dr Retained earnings 1,660
Cr Dividends 1,660
(To close dividends to retained earnings)
