Improv Club (IC) features entertaining improvisational theatre performances. The theatre features a range of shows and talented performers. IC prepares financial statements on an annual basis. The following year-end accounts as of December 31, 2020 are listed in alphabetical order and have normal balances.

Required

1. Prepare an adjusted trial balance as at December 31, 2020. Will Nick Stilz?s capital account of $110,100 appear on the balance sheet as at December 31, 2020? Explain.

2. Prepare the closing entries for the company.

3. What is the ending balance of Nick Stilz?s capital account as at December 31, 2020?

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$ 6,500 Accumulated depreciation, equipment. Prepaid insurance. $ 13,000 40,000 4,000 46,000 3,000 Rent expense Cash 61,000 42,000 4,000 Salaries expense. Depreciation expense, equipment. Equipment. Insurance expense Supplies. Supplies expense. Ticket revenue 8,600 131,000 Nick Stilz, capital. Nick Stilz, withdrawals. 110,100 43,000 4,000 Unearned revenue.