After the accountant posted the adjusting entries for M. Wally, Designer, the work sheet contained the following account balances on May 31:

Required
1. Write the owner’s name on the Capital and Drawing T accounts.
2. Record the account balances in the T accounts for owner’s equity, revenue, and expenses.
3. Journalize the closing entries using the four steps in correct order. Number the closing entries 1 through 4.
4. Post the closing entries to the T accounts immediately after you journalize each one to see the effect of the closing entries. Number the closing entries 1 through4.

Transcribed Image Text:

ADJUSTED TRIAL BALANCE ACCOUNT NAME DEBIT CREDIT 7 Cash 8 Acoounts Receivable 2.029.00 886.00 400.00 1.460.00 4,672.00 9 Supplies 10 Prepaid Insurance 1 Office Equipment 12 Accumulated Depreciation, Office Equipment 13 Accounts Payable 14 M.Waly, Capital 15M.Wally. Drawing 1.170.00 943.00 9.221.00 1.600.00 16 Commissions Earned 17 Rent Expense 18 Supplies Expense -19-1 Depreciation Expense, Office Equipment 20 Utilites Expense 21 Miscellaneous Expense 1,997.00 990.00 480.00 420.00 26.00 108.00 13,331.00 13,331.00 23 KSheet1 Sheet Sheets