28000 48000 5800 Interest Revenue 2800 4800 Journal entry wo

$28,000 48,000 5,800 Interest Revenue 2,800 4,800 Journal entry worksheet 18

Solution

1) ENTRY TO CLOSE REVENUE ACCOUNTS: Service revenue 48000 Interest revenue 5800 Income summary 53800 ENTRY TO CLOSE EXPENSE ACCOUNTS: Income summary 39000 Salaries expense 14800 Rent expense 5800 Advertising expense 2800 Depreciation expense 10800 Interest expense 4800 ENTRY TO CLOSE DIVIDENDS ACCOUNT Retained earnings 2800 Dividends 2800 2) ENDING BALANCE IN RETINED EARNINGS: Beginning balance 28000 Add: Net income for the year (53800-39000) 14800 42800 Less: Dividends 2800 Ending balance 40000