Air Cargo Company Recorded the Following Adjusting Entries at the End

question 85

Essay

Air Cargo Company recorded the following adjusting entries at the end of the accounting year,December 31,2010:
$$\begin{array} { c c c } \text { Wages expense } & 2,000 & \\\text { Wages payable } & & 2,000 \\\text { Interest receivable } & 1,000 & \\\text { Interest revenue } & & 1,000\end{array}$$ Before these adjusting entries were recorded,a partial unadjusted trial balance reflected the following: $$\begin{array} { l c r } & \quad\quad\quad\quad\quad\quad { \text { Balance } } \\\text { Account } & \text { Debits } & \text { Credits } \\\text { Service revenue } & &80,000 \\\text { Operating expenses } & 53,000 & \\\text { Wage expense } & 28,000 & \\\text { Wages payable } & - 0 - & \\\text { Interest receivable } & 8,000 & \\\text { Interest revenue } & & 9,000\end{array}$$ Prepare the closing entries for Air Cargo Company at December 31,2010.

---

Definitions:

Parasympathetic Nervous

Part of the autonomic nervous system that restores the body to a state of calm and counterbalances the effects of the sympathetic nervous system.

Sympathetic Nervous

Part of the autonomic nervous system that prepares the body for action by triggering the fight-or-flight response.

Nervous System

An assembly of nerve cells and their fibrous connections that facilitate the transmission of nerve impulses among body regions, synchronizing bodily processes and perception.

Cerebral Cortex

The outer layer of the cerebrum in the brain, playing a key role in memory, attention, perception, cognition, awareness, thought, language, and consciousness.