Ex. 196 The following information is available for Potts Company: Debit Credit Retained Earnings$ 50,000 Dividends$ 32,000 Sales510,000 Sales Returns and Allowances20,000 Sales...







Ex. 196


The following information is available for Potts Company:



Debit Credit



Retained Earnings$ 50,000



Dividends$ 32,000



Sales510,000



Sales Returns and Allowances20,000



Sales Discounts7,000



Cost of Goods Sold347,000



Freight-out2,000



Advertising Expense15,000



Interest Expense19,000



Store Salaries Expense45,000



Utilities Expense18,000



Depreciation Expense7,000



Interest Revenue25,000





Instructions



Using the above information, prepare the closing entries for Potts Company.





Ex. 197


The adjusted trial balance of Werly Book Company appears below.





WERLY BOOK COMPANY



Adjusted Trial Balance



December 31, 2011



Debit Credit



Cash32,000



Accounts Receivable25,000



Merchandise Inventory35,000



Building150,000



Accumulated Depreciation—



Building20,000



Accounts Payable12,000



Common Stock100,000



Retained Earnings49,000



Dividends30,000



Sales325,000



Sales Discounts6,000



Sales Returns & Allowances8,000



Cost of Goods Sold183,000



Operating Expenses 37,000



506,000506,000





Instructions



Using the information given, prepare the year-end closing entries.











May 15, 2022
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