Chicken Hawk Co. has sales $365, operating expenses $105, wages expense $65, fre

Question

Chicken Hawk Co. has sales $365, operating expenses $105, wages expense $65, freight out $8, purchases $80, purchases returns $11, purchases discounts $4, freight-in $9 and a gain of $17 for the year ended December 31, 20xx. The beginning inventory is $10 and the ending inventory is $16. 9. Prepare the journal entry to close the credit balance temporary accounts. Don’t forget to adjust ending balance of inventory as part of this entry. 10. Prepare the journal entry to close the debit balance temporary accounts. Don’t forget to adjust the beginning balance of inventory.

Explanation / Answer

Date Account title & explanation Debit Credit Amount in $ Amount in $ Sales 365 Closing Inventory 16.9 Purchase Returns 11 Purchase Discounts 4 gains 17 Income summery 413.9 Income Summery 269 Purchase 80 Beginning Inventory 10 Operating expenses 105 Wage expenses 65 freight in 9 Income summery 144.9 Retained earnings 144.9

Related Questions

Navigate

• Browse (All)
• Browse C
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.