Exam 5: The Accounting Cycle Completed: Closing and Post-Closing Trial Balance

When Income Summary has a credit balance and the account is closed,

After closing the revenue, expense, and withdrawal accounts, the capital increased by $3,000. Which of the following situations could have occurred?

When closing the Withdrawal account,

After posting adjusting entries, the temporary accounts will be set back to zero.

Name the steps in the manual accounting cycle.

B. Benson's worksheet showed the revenue account, Rental Fees, $1,250. The journal entry to close the account is

From the following accounts, prepare in proper form a post-closing trial balance for Everett Company on December 31, 2021. Accounts Receivable \ 4,600 Accounts Payable 2,290 Cash 7,450 Salaries Payable 1,660 Supplies 500 Prepaid Insurance 1,200 Everett, Capital 9,800

To close the Fees Earned account,

Determine the beginning assets of a business having ending liabilities of $4,000, the liabilities decreased by $1,500 during the year, an ending owner's equity of $10,700, additional investments of $2,000, withdrawals of $15,600, and after closing the revenues and expenses the Income Summary account has a credit balance of $6,800.

The revenue accounts debited and the Income Summary account credited would be the result of

The income statement debit column of the worksheet showed the following expenses: Supplies Expense $250 Depreciation Expense 175 Salaries Expense 800 The journal entry to close the expense accounts is

To close the Withdrawals account,

Income Summary is a temporary account located in the chart of accounts under

Closing entries are found in the adjustment columns of the worksheet.

On the basis of the following data taken from the adjusted trial balance columns of the worksheet for the year ended December 31 for Painting the Perfect Picture, journalize the four closing entries in the proper order. Account Debit Credit Cash 27,000 Accounts Receivable 67,000 Supplies 7,000 Equipment 200,000 Accumulated Depreciation 70,0000 Accounts Payable 37,000 Capital 200,250 Withdrawals 25,000 Fees Earned 100,000 Salary Expense 27,000 Rent Expense 17,500 Depreciation Expense 20,000 Supplies Expense 12,500 Miscellaneous Expense Total

Accounts in which the balances are carried over from one accounting period to the next are called

When closing the Income Summary account when there is a net loss,

A nominal account is the same as

When revenue is closed,

Income Summary is closed to Capital.