Question

The adjusted trial balance for Salon Marketing Co. follows. Complete the four right-most columns of the table by (1) entering information for the four closing entries in the middle columns and (2) completing the post-closing trial balance columns.

SALON MARKETING CO. Work Sheet Adjusted Trial Balance Closing Entry Information Post-Closing Trial Balance No. Account Title Dr. Cr. Dr. Cr. Dr. Cr. 101 Cash $10,600 106 Accounts receivable 25,000 153 Equipment 42,000 154 Accumulated depreciation—Equipment $17,500 183 Land 31,000 201 Accounts payable 15,000 209 Salaries payable 4,200 233 Unearned fees 3,600 301 E. Salon, Capital 67,389 15,400 302 E. Salon, Withdrawals 15,400 401 Marketing fees earned 80,200 80,200 611 Depreciation expense— Equipment 12,000 622 Salaries expense 31,920 640 Rent expense 12,190 677 Miscellaneous expense 7,779 901 Income summary Totals $187,889 $187,889 $95,600 $0 $0 $0

Answer 1

SALON MARKETING CO.
Work Sheet
		Adjusted Trial Balance		Closing Entry Information		Post-Closing Trial Balance
No.	Account Title	Dr.	Cr.	Dr.	Cr.	Dr.	Cr.
101	Cash	$10,600				10,600
106	Accounts receivable	25,000				25,000
153	Equipment	42,000				42,000
154	Accumulated depreciation—Equipment		$17,500				17,500
183	Land	31,000				31,000
201	Accounts payable		15,000				15,000
209	Salaries payable		4,200				4,200
233	Unearned fees		3,600				3,600
301	E. Salon, Capital		67,389				68,300
302	E. Salon, Withdrawals	15,400			15,400
401	Marketing fees earned		80,200	80,200
611	Depreciation expense— Equipment	12,000			12,000
622	Salaries expense	31,920			31,920
640	Rent expense	12,190			12,190
677	Miscellaneous expense	7,779			7,779
901	Income summary				16,311
	Totals	$187,889	$187,889	$80,200	$95,600	$108,600	$108,600

Income Statement
Revenues
Marketing fees earned		80,200
Expenses:
Depreciation expense- Equipment	12,000
Salaries expense	31,920
Rent expense	12,190
Miscellaneous expense	7,779
Total expenses		-63,889
Net income		$16,311

Statement of Owners Equity
E. Salon, Capital, beginning	67,389
Add: Net income	16,311
	83,700
Less: E. Salon, withdrawals	-15,400
E. Salon, Capital, ending	$68,300