The adjusted trial balance of Budget Business Systems at March 31, 2015, follows:

Requirements
1. Journalize the required closing entries at March 31, 2015.
2. Set up T-accounts for Income Summary; Retained Earnings; and Dividends. Post the closing entries to the T-accounts and calculate their ending balances.
3. How much was Budget’s net income or netloss?

Transcribed Image Text:

BUDGET BUSINESS SYSTEMS Adjusted Trial Balance March 31, 2015 Balance Account Title Cash Accounts Receivable Merchandise Inventory Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Notes Payable, long-term Common Stock Retained Earnings Dividends Sales Revenue Sales Returns and Allowance Sales Discounts Cost of Goods Sold Selling Expense Administrative Expense Interest Expense Total Debit Credit $ 2,400 11,400 31,700 6400 42,500 5 13,900 9,200 1,000 7,900 20,000 14,000 43,000 234,500 1,000 1,500 116,300 27,200 14,800 2,300 S 300,500 S300,500