The Items That Follow Appeared in the Income Statement Columns $\quad$

question 141

Essay

The items that follow appeared in the Income Statement columns of the work sheet prepared for Armstrong Delivery Service at current year-end.In addition,retained earnings had a credit balance of $117,000 and dividends had a debit balance of $30,000 at year-end.Prepare closing journal entries for this company.
$\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\quad$$\text { Income Statement }$
$\begin{array}{|l|r|r|}\hline& \mathrm{Dr} . & \mathrm{Cr} . \\\hline \text { Delivery revenue } & & \$ 98,900 \\\hline \text { Office salaries expense } & \$ 28,100 & \\\hline \text { Rent expense } & 14,400 & \\\hline \text { Insurance expense } & 1,200 & \\\hline \text { Office supplies expense } & 1,900 & \\\hline \text { Depreciation expense-Office equipment } & \underline{6,000} & \\\hline \text { Totals } & \$ 51,600 & \$ 98,900 \\\hline \text { Net income } & \underline{47,300} & \\\hline \text { Totals } & \$ 98,900 & \$ 98.900 \\\hline\end{array}$

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Definitions:

Environmental Factors

External elements including climate, surroundings, and social conditions that can influence an individual's or organism's development and behavior.

Central Nervous System

The part of the nervous system consisting of the brain and spinal cord, which coordinates and controls body activities.

Conception

The process of fertilization where a sperm combines with an egg to form a zygote.

Birth

The process of childbirth; marking the emergence of a baby from the mother's womb into the world.