Mahmoud Manufacturing buys rugs to resell to customers. Mahmoud's December 31st T- Account balances, before recording...

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Mahmoud Manufacturing buys rugs to resell to customers. Mahmoud's December 31st T- Account balances, before recording Tax Expense and the closing journal entry, are below. Cash Accounts Receivable Inventory Equipment Accounts Payable Salary Expense Salary Payable Interest Expense Additional Paid-In Capital Notes Payable Retained Earnings Rug Revenue Cost of Goods Sold Rent Expense Common Stock Tax Expense Tax Payable 1,790 210 9,230 1,200 300 960 640 90 3,000 4,530 0 6,225 1,040 465 30 10 0 Using the above information, Mahmoud first records his income tax expense, and then makes his closing entry. How much will Mahmoud debit or credit Retained Earnings for in his closing journal entry? Assume an income tax rate of 8% of net income before taxes. Use a negative number to represent a debit to Retained Earnings. Round your final answer to one decimal place. Mahmoud Manufacturing buys rugs to resell to customers. Mahmoud's December 31st T- Account balances, before recording Tax Expense and the closing journal entry, are below. Cash Accounts Receivable Inventory Equipment Accounts Payable Salary Expense Salary Payable Interest Expense Additional Paid-In Capital Notes Payable Retained Earnings Rug Revenue Cost of Goods Sold Rent Expense Common Stock Tax Expense Tax Payable 1,790 210 9,230 1,200 300 960 640 90 3,000 4,530 0 6,225 1,040 465 30 10 0 Using the above information, Mahmoud first records his income tax expense, and then makes his closing entry. How much will Mahmoud debit or credit Retained Earnings for in his closing journal entry? Assume an income tax rate of 8% of net income before taxes. Use a negative number to represent a debit to Retained Earnings. Round your final answer to one decimal place.

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Rug Revenue Less Cost of goods sold Less Salary Expense Less Interest Ex... View the full answer