Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The year-end financial statements of Python Tax Services are provided below. Service revenue Expenses: Salaries Utilities Insurance Supplies Net income PYTHORT TAX SERVICES Income

image

The year-end financial statements of Python Tax Services are provided below. Service revenue Expenses: Salaries Utilities Insurance Supplies Net income PYTHORT TAX SERVICES Income Statement $ 68,500 $ 44,200 6,400 4,000 1,200 55,800 $ 12,700 PYTHORT TAX SERVICES Statement of Stockholders' Equity Beginning balance, January 1 Issue stock Common Stock $ 42,000 12,000 Retained Earnings $ 22,700 Total Stockholders' Equity 64,700 12,000 12,700 (4,200) 12,700 (4,200) $ 54,000 $ 31,200 $ 85,200 Net income Dividends Ending balance, December 31 PYTHORT TAX SERVICES Balance Sheet Liabilities Assets Cash $ 2,900 Accounts payable Accounts receivable Land 5,400 82,000 Stockholders' Equity Common stock Retained earnings Total assets $ 90,300 Total liabilities and equities $ 54,000 31,200 Required: $ 5,100 85,200 $ 90,300 1. Record year-end closing entries. 2. Prepare a post-closing trial balance. (Hint. The balance of Retained Earnings will be the amount shown in the balance sheet.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Record year-end closing entries.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Based on the financial statements of Python Tax Services here are the yearend closing entries Closing Revenue Debit Service Revenue 68500 Credit Income Summary 68500 This entry closes the Service Reve... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: J. David Spiceland, Wayne Thomas, Don Herrmann

2nd Edition

0078110823, 9780078110825

More Books

Students also viewed these Accounting questions