Based on the Following Adjusted Trial Balance, Prepare the Closing $\quad$

question 31

Essay

Based on the following adjusted trial balance, prepare the closing entries for Tudhope Plumbing on December 31, 2019. $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {Tudhope Plumb ing}$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {Adjusted Trial Balance}$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {December 31, 2019}$

$\begin{array} { l r r } & \text { Debit } & \text { Credit } \\ \text { Cash } & \$ 12,000 & \\ \text { Accounts receivable } & 20,500 & \\ \text { Office supplies } & 4,600 & \\ \text { Prepaid insurance } & 4,800 & \\ \text { Equipment } & 80,500 & \\ \text { Accum. amort.equipment } & & \$ 43,300 \\ \text { Accounts payable } & & 15,500 \\ \text { Unearned service revenue } & & 6,800 \\ \text { Salary payable } & & 3,300 \\ \text { Mike Tudhope, Capital } & & 80,200 \\ \text { Mike Tudhope, withdrawals } & 20,600 & \\ \text { Service revenue } & & 77,500 \\ \text { Salary expense } & 33,900 & \\ \text { Advertising expense } & 15,400 & \\ \text { Utilities expense } & 9,900 & \\ \text { Miscellaneous expense } & 1,700 & \\ \text { Supplies expense } & 4,900 & \\ \text { Insurance expense } & 5,400 & \\ \text { Amort. expense-equipment } & 12,400 &\underline{\quad\quad} \\ \text { Total } & \$ 226,600 & \$ 226,600 \end{array}$

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Definitions:

Period Cost

Costs that are expensed in the period in which they are incurred, not directly tied to the production of goods or services.

Goals Met

A term indicating the achievement of predefined objectives or targets.

Planning

The process of outlining business goals, strategies, and actions to achieve desired outcomes.

Controlling

The process of monitoring and adjusting plans and strategies to ensure goals and objectives are achieved within an organization.