Required information Learning Objective 04-P2: Describe and prepare closing entries. Closing entries involve four steps: (1) close credit balances in revenue (and gain) accounts to Income Summary, (2) close debit balances in expense (and loss) accounts to Income Summary, (3) close Income Summary to the capital account, and (4) close withdrawals account to owner's capital Part 2 of 2 0.5 points Closing Entries Illustration Closing Process Knowledge Check 01 The company's adjusted trial balance as follows includes the following accounts balances: Cash, $15,000: Equipment, $85,000 Accumulated Depreciation, $25,000; Accounts Payable, $10,000; Owner's Capital $59.000: Withdrawals, $2,000; Fees Eamed. $56,000; Depreciation Expense, $25,000, and Salaries Expense, $23,000. All accounts have normal balances Prepare the first closing entry by selecting the account names from the pull-down menus and entering dollar amounts in the debit and credit columns Answer is complete but not entirely correct. No Date General Journal Credit Debit 56.000 1 Do 31 56.000 * 8.000 Fcos carned Income summary Income summary Owner's Capital Owner's Capital Owner's Withdrawals 8.000 2.000 2.000