Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the following adjusted trial balance contains the

The following adjusted trial balance contains the accounts and year-end balances of Cruz Company as of...

Free

50.1K

Verified Solution

Question

Accounting

The following adjusted trial balance contains the accounts andyear-end balances of Cruz Company as of December 31.

No.Account TitleDebitCredit
101Cash$18,000
126Supplies10,200
128Prepaid insurance2,000
167Equipment23,000
168Accumulated depreciation—Equipment$6,500
301A. Cruz, Capital42,739
302A. Cruz, Withdrawals6,000
404Services revenue43,500
612Depreciation expense—Equipment2,000
622Salaries expense25,361
637Insurance expense1,827
640Rent expense2,915
652Supplies expense1,436
Totals$92,739$92,739


1. Prepare the December 31, closing entries forCruz Company. Assume the account number for Income Summary is901.
2. Prepare the December 31, post-closing trialbalance for Cruz Company. Note: A. Cruz, Capital was$42,739 on December 31 of the prior year.

Answer & Explanation Solved by verified expert
3.7 Ratings (287 Votes)

Req 1 Accounts Title and Explanation Debit Credit
Dec-31 Service Revenue          43,500
Rent Revenue
     Income Summary          43,500
(To record closing of credit balance account)
Dec-31 Income Summary          39,539
Depreciation Expense            2,000
Salaries Expense          25,361
Insurance            1,827
Rent Expese            2,915
Supplies Expense            1,436
A. Cruz, Withdrawals            6,000
(To record closing of debit balance account)
Dec-31 Income Summary            3,961
        A. Cruz, Capital            3,961
(To close income summary account)
Req 2 Post Closing Trial balance
Account Title Debit Credit
Cash          18,000
Supplies          10,200
Prepaid Insurance            2,000
Equipmeht          23,000
Acc. Dep-Equipment            6,500
A. Cruz, Capital          46,700
Total          53,200          53,200

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Geometry
1.2K views

Solve for x Assume that lines which appear tangent are tangent 18 12 12 PO...

Finance
1.2K views

Signs For Fields Machinery Ltd. is considering the replacement of some technologically obsolete machinery with the...

Basic Math
1.2K views

In a certain state lottery, a lottery ticket costs $1. In terms of the decision to...

Biology
1.2K views

What is the significance of the Baltimore classification How might we be able to use...

Physics
1.2K views

A cylindrical copper wire is stretched such that its diameter decreases by 0 01 The...

Physics
1.2K views

b What are the advantages of Newton s divided interpolation formula over the Langrage s...

Accounting
1.2K views

A Plant was purchased on April 21st, 2018 for $ 250,000 with a residual value...

Accounting
1.2K views

Flint Enterprises had the following sales, cost, and production information for April: Assuming inventory increased...

Accounting
1.2K views

Transaction Entries, Posting, Trial Balance, and Adjusting Entries The Wellness Catering Service had the following...

Accounting
1.2K views

ASAP Many companies record both purchase orders and purchases; when would such a company recognize...

Accounting
1.2K views

Highsmith Rental Company purchased an apartment building early in 2016. There are 15 apartments in...

Finance
1.2K views

solve for 1a,1b,1c,1d all parts, show work (Related to The Business of Life:...