Use the Following Income Statement for the Year 2014 for Melges

question 148

Essay

Use the following income statement for the year 2014 for Melges Company to prepare entries to close the revenue and expense accounts for the company.
Service revenue €85,300
Expenses:

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Definitions:

Protective Tariffs

Duties charged on imports to defend local sectors from international rivals by elevating the prices of goods from abroad.

Manufactured Goods

Products that have been processed or transformed from raw materials into finished items through the use of machinery or human effort.

Great Depression

A severe worldwide economic downturn that took place during the 1930s, marked by high unemployment, deflation, and a significant fall in economic output.

Worst Recession

Refers to the most severe period of economic decline in activity across an economy, lasting more than a few months.