The accounts below are taken from the adjusted trail balance column of ABC Business Solutions on 31^st of December 2021.

 

Prepaid Rent	$12,000
Office Supplies	$30,000
John's Capital	$150,000
John's, Drawing	$20,000
Administrative Expenses	$60,000
Depreciation Expense	$16,000
Salary Expense	$44,000
Service Revenue	$160,000
Interest Income	$20,000

Required:

All the necessary closing journal entries to be made on 31^st of December 2021. Narrations are required for each journal entry.

Answer rating: 100% (QA)

To close the accounts for the year ending December 31 2021 the following journal entries should be m... View the full answer