11) The income statement debit column of the worksheet showed the following expenses:

 

Supplies Expense

$600

Depreciation Expense

400

Salaries Expense

300

 

The journal entry to close the expense accounts is:

A)

Income Summary

1,300

Supplies Expense

600

Depreciation Expense

400

Salaries Expense

300

 

B)

Income Summary

1,200

Capital

1,200

 

C)

Supplies Expense

500

Depreciation Expense

400

Salaries Expense

300

Income Summary

1,200

 

D)

Capital

1,200

Income Summary

1,200

 

12) The ending balances in the ledger after posting the adjusting entries, will be the same amounts that are found on the worksheet in the adjusted trial balance column.

 

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement on which the account balance is reported, and in Column 4 the nature of the account (permanent/temporary).

 

Example:

 

Column 1

Column 2

Column 3

Column 4

Cash

Asset

Debit

Balance Sheet

Permanent

 

 

13)

 

Column 1

Column 2

Column 3

Column 4

Accounts Payable

 

 

 

 

 

 

 

14)

 

Column 1

Column 2

Column 3

Column 4

Accumulated Depreciation

 

 

 

 

 

 

15)

 

Column 1

Column 2

Column 3

Column 4

Depreciation Expense

 

 

 

 

 

 

 

16)

 

Column 1

Column 2

Column 3

Column 4

Capital

 

 

 

 

 

 

 

17)

 

Column 1

Column 2

Column 3

Column 4

Fees Earned

 

 

 

 

 

 

18)

 

Column 1

Column 2

Column 3

Column 4

Withdrawals

 

 

 

 

 

 

19)

 

Column 1

Column 2

Column 3

Column 4

Supplies

 

 

 

 

 

 

Identify whether the entries below are an adjusting entry (AE) or a closing entry (CE).

 

20) ________

 

Insurance Expense

$1,100

Prepaid Insurance

$1,100

 

 

 

 



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