Reference no: EM132847551

Question - The ledger accounts of AXX Internet Company appear as follows on March 31, 20X1:

ACCOUNT NO. ACCOUNT BALANCE

101 Cash $75,000

111 Accounts receivable 58,320

121 Supplies 10,100

131 Prepaid insurance 24,500

141 Equipment 113,000

142 Accumulated depreciation-Equipment 40,820

202 Accounts payable 12,500

301 Aretha Hinkle, Capital 125,000

302 Aretha Hinkle, Drawing 12,500

401 Fees income 360,460

510 Depreciation expense-Equipment 20,660

511 Insurance expense 10,900

514 Rent expense 32,500

517 Salaries expense 161,000

518 Supplies expense 5,100

519 Telephone expense 6,300

523 Utilities expense 8,900

Required -

1. Prepare the closing entries.

2. Post the transactions into the appropriate ledger accounts. Hint: Be sure to enter beginning balances.