Epic North Coffee started the year with a beginning capital balance of $$20,000$ recorded in E$.$ Boyle, Capital. During the year the business earned $$40,000$ of service revenue and incurred the following expenses:

Advertising Expenses $$1,575$

Rent Expense $2,650$

Utility Expense $1,925$

Amortization Expense$-$Furniture $924$

Delivery Expense $1,800$

The owner withdrew $$8,000$ from the business recorded in E$.$ Boyle, Withdrawal.

$1)$ Prepare the closing entries for the year using the journal below.

Date Account Title Debit Credit

$2)$ Calculate the end of year balance of E$.$ Boyle, Capital.