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Post-closing balance of the retained earnings account

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Reference no: EM131266895

Preparing Closing entries Using Journal Entries and T-Accounts

The adjusted trial balance at December 31, 2015, for Smith Company includes the following selected amounts.

Adjusted Account Balances Debit Credit

Commissions revenue .......................................... CREDIT: $84,900

Wages expense ...............................................DEBIT:$36,000

Insurance expense............................................DEBIT:.1,900

Utilities expense...............................................DEBIT:8,200

Depreciation expense...........................................DEBIT:9,800

Retained earnings ............................................. CREDIT:72,100

a. Prepare entries to close these accounts in journal entry form.

b. Set up T-accounts for each of these ledger accounts, enter the balances above, and post the closing entries to them. After these entries are posted, what is the post-closing balance of the Retained Earnings account?

Reference no: EM131266895

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