Required:

a.   Prepare the closing entries at March 31.

b. Determine Bonita Developments Ltd's ending retained earnings balance as at March 31, 2021.

Transcribed Image Text:

The adjusted trial balance for Bonita Developments Ltd. as at March 31, 2021, was as follows: Cash Accounts receivable Prepaid insurance Equipment Accumulated depreciation-equipment Accounts payable Deferred revenue Salaries payable Common shares Retained earnings Dividends declared Service revenue Interest income Depreciation expense Salaries expense Utilities expense Insurance expense Income tax expense DR $ 54,000 180,000 6,000 416,000 21,000 64.000 565,000 6,000 14,000 42,000 CR 150,000 38,000 6,000 11,000 111,000 83,000 950,000 19,000 The adjusted trial balance for Bonita Developments Ltd. as at March 31, 2021, was as follows: Cash Accounts receivable Prepaid insurance Equipment Accumulated depreciation-equipment Accounts payable Deferred revenue Salaries payable Common shares Retained earnings Dividends declared Service revenue Interest income Depreciation expense Salaries expense Utilities expense Insurance expense Income tax expense DR $ 54,000 180,000 6,000 416,000 21,000 64.000 565,000 6,000 14,000 42,000 CR 150,000 38,000 6,000 11,000 111,000 83,000 950,000 19,000

Answer rating: 100% (QA)

To prepare the closing entries for Bonita Developments Ltd at March 31 you need to transfer the bala... View the full answer