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College Accounting 2nd Edition by David Haddock, John Price,Michael Farina
Edition 2ISBN: 978-0073396958College Accounting 2nd Edition by David Haddock, John Price,Michael Farina
Edition 2ISBN: 978-0073396958 Exercise 16
Adjusting and closing entries.
Economic Research Associates, owned by Paul Harris, is retained by large companies to test consumer reaction to new products. On January 31, 2013, the firm's worksheet showed the following adjustments data: (a) supplies used, $2,240; (b) expired rent, $12,000; and (c) depreciation on office equipment, $4,480. The balances of the revenue and expense accounts listed in the Income Statement section of the worksheet and the drawing account listed in the Balance Sheet section of the worksheet are given below:
INSTRUCTIONS
1. Record the adjusting entries in the general journal, page 3.
2. Record the closing entries in the general journal, page 4.
Analyze: What closing entry is required to close a drawing account?
Economic Research Associates, owned by Paul Harris, is retained by large companies to test consumer reaction to new products. On January 31, 2013, the firm's worksheet showed the following adjustments data: (a) supplies used, $2,240; (b) expired rent, $12,000; and (c) depreciation on office equipment, $4,480. The balances of the revenue and expense accounts listed in the Income Statement section of the worksheet and the drawing account listed in the Balance Sheet section of the worksheet are given below:
INSTRUCTIONS
1. Record the adjusting entries in the general journal, page 3.
2. Record the closing entries in the general journal, page 4.
Analyze: What closing entry is required to close a drawing account?
Explanation
Verified
Verified
(1)
$2,240 represents the expense which ...
College Accounting 2nd Edition by David Haddock, John Price,Michael Farina
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