Selected account titles and related amounts appearing in the Income Statement and Balance Sheet columns of the work sheet of Southern Bell Company for the year ended December 31 are listed in alphabetical order as follows:

All selling expenses have been recorded in the account entitled Selling Expenses, and all administrative expenses have been recorded in the account entitled Administrative Expenses. Assuming that Southern Bell Company uses the periodic inventory system, journalize
(a) The adjusting entries for merchandise inventory
(b) The closingentries.

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Administrative Expenses Building Cash Connie Sorum, Capital Connie Sorum, Drawing Interest Expense Merchandise Inventory (1/1) Merchandise Inventory(1231) 275,000 Seling Expenses Notes Payable Office Supplies 72,000 Purchases 312,500 Purchases Discounts 58,500 Purchases Returns and Allowances 433,080 Salaries Payable 40,000 Sales $ 820,000 14,000 9,000 4,220 1,450,000 18,000 32,000 240,200 7,700 21,300 2,500 Sales Discounts 300,000 Sals Returns and Allowances 25,000 Store Supplies 10,600 Transportation In