Accounts Receivable c. The Hollywood Park Companies (horse racing): Outstanding mutuel tickets. c. Cash, Accounts Receivable, Supplies d. Step 5: Preparing an optional end-of-period spreadsheet. c. a debit to capital and a credit to income summary \\ Wages of $11,000 are earned by workers but not paid as of December 31. b. b. internationalism D. The owner's drawing account is closed to the Income Summary Statement. financial statements are prepared. b. cash receipts journal If a transaction is properly analyzed and recorded, a. a debit balance Accounts Receivable, Depreciation Expense, Fees Income 3 a. before the net income amount is added to the balance sheet debit column The equipment was used for 7,200 hours during Year 1, 6,400 hours in Year 2, 4,400 hours in Year 3, and 2,000 hours in Year 4 . When charge customers pay cash to apply against their accounts, the amount is recorded b. the income summary and a credit to cash Equipment is a long-term asset that will not last indefinitely. C. A debit to Capital and a credit to Income Summary. A written promise that a customer will pay a fixed amount of principal plus interest by a certain date in the future. B. the double-entry system. Accumulated depreciation also provides valuable insight into a company's capital gains and losses when it sells or stops operating an asset. \text{$\quad\quad$\$5 par (20,000 shares)} && 100,000\\ 2. The first entry closes revenue accounts to the Income Summary account. Financial Accounting & Analysis -N (1A) - Read online for free. d. the expense accounts, The first two closing entries to the income summary account indicate a debit of $53000 and a credit of $64000. D. Debit Penny Pincher, Capital; credit Penny Pincher, Drawing, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Don Herrmann, J. David Spiceland, Wayne Thomas, Daniel F Viele, David H Marshall, Wayne W McManus, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield. D. either a debit or a credit balance. Compute the amount to be refunded or the balance due in each case. B. Compute the depreciation expense for the first three years using the double-declining-balance method. During the year, no additional Common stock was issued. As an asset account, the debit balance of $25,000 will carry over to the next accounting year. A. journalize the closing entries. During the closing process, Accumulated Depreciation--Equipment will. If an owner wanted to know how much money flowed into and out of the company, which financial statement would the owner use? Step 4: Assembling and analyzing adjustment data The owner's drawing account is closed by debiting Which of the following statements is correct? ($100,000 - $20,000) / 8 = $10,000 in depreciation expense per year. Credit Supplies. c. either a debit or a credit balance a. a. the income summary account and a credit to the depreciation expense account Information in the financial statements provides answers to many questions, including: . On October 31, 2024, the account balances of Williams Equipment Repair were as follows. Polyethylene Film / PE Sheet d. bipartisan Within the financial statements Accumulated DepreciationEquipment is reported: as a contra-asset on the Balance Sheet. adjusting entries are journalized and posted to the ledger . \end{array} B. one account balance will increase and another will decrease. . A. Chris Benjamin, A&B chief executive officer, stated: "Our high-quality portfolio of grocery-anchored retail, industrial and ground lease assets continued to perform well in the fourth quarter, closing out a year of exceptional results.During 2022, commercial real estate ("CRE") portfolio Net Operating Income ("NOI") increased by 6.3% over 2021 to $117.8 million. Accumulated Depreciation - Equipment $7,500 d. correcting entries, If a business has a net loss for a fiscal period, the journal entry to close the income summary account is: C. a $1,000 debit to Rent Expense; a $1,000 credit to Prepaid Rent. A. on the left side of the Cash account and the right side of the Fees Income account. B. will be understated. Subtract the estimated salvage value of the asset from the cost of the asset to get the total depreciable amount. Accounts Payable B. Debit to Supplies; Credit Accounts Receivable - Reported net income of $\$100,000$. \hline The audit trial should be used to trace data through the accounting records to find and correct errors a. as a deduction from the cost of the equipment Unearned Subscriptions 11,500 c The third closing entry would be: C. the debit account balances equal the credit account balances. b. debit Penny Pincher, capital; credit income summary A. an asset with a credit balance d. general journal, In a firm that uses special journals, an allowance given for damaged merchandise is recorded in the: d. a debit to income summary and a credit to the owner's drawing account, Which of the following accounts will not normally have a zero balance after the closing entries have been posted? h. multilateral treaty, The president's foreign policies often have enjoyed_____congressional support. Cash 20,500 d. accounts receivable account, Which of the following accounts is a permanent account? Accumulated Depreciation: Equipment has a January 31 credit entry of 75 and a credit balance of 75. The equipment's cost was $600,000 and is expected to last for 10 years at which time it will be scrapped for no salvage value. (b) State the null and alternative hypotheses for a two-tailed test for a zero slope. \textbf{Filing Status} &&&& \textbf{Income} & \textbf{Tax Withheld} & \textbf{Tax Due}\\ g. isolationism A. Prepaid Rent 4,000 Adjusting Entries are sateesh konatam. c. debit income summary; credit Penny Pincher, drawing Rent Revenue B. Netsales(alloncredit)CostofgoodssoldIncomefromoperationsInterestexpenseNetincomeEdge$595,000452,00089,00069,000GoBee$524,000388,00073,00013,00036,000. A. a $5,000 debit to Prepaid Rent; a $5,000 credit to Rent Expense. Owner's Equity; Liabilities; Property, Plant, and Equipment During the closing process, Accumulated Depreciation, Equipment will: A)be closed to the income summary account. c. depreciation expense-equipment Income statement credit column The process of allocating the cost of a long-term asset as an expense of operations during the asset's expected useful life is known as ____. B. adjusting entries. ABC Co. performed $5,000 of consulting work. Unearned Revenue, Prepaid advertising, representing payment for the next quarter, would be reported on the balance sheet as a(n), The general term used to indicate delaying the recognition of an expense already paid or of a revenue already received is, The account type and normal balance of Unearned Revenue is, Given the following Account Balances, the entry to close Capital during step one of the two step closing process would be a ______________. Based on the following information, determine the amount of equipment on the balance sheet. b. be closed to the capital account a. a debit to income summary and a credit to the owner's capital account a. supplies b. financial statements. d. Revenue accounts, Which of the following accounts will be closed with a debit? Debit supplies $600; credit cash $600 b. cash receipts journal c. $11,500 Accounts Payable 4,690. Amount at which the asset is recognised after deducting any accumulated depreciation and accumulated impairment losses. sin(2t)dt. NGL Energy Partners LP (NYSE:NGL) ("NGL," "our," "we," or the "Partnership") today reported its third quarter Fiscal 2023 financial results A. will be overstated. Which of the following steps is optional during the closing process? A financial statement user would determine if a company was profitable or not during a specific period of time by reviewing the, Accounts reported on the balance sheet that are carried forward from year to year are known as permanent accounts, What affect will this entry have on the accounting records? Debit supplies $400; credit supplies expense $400, The financial statement that presents a summary of the revenues and expenses of a business for a specific period of time, such as month or year is called a(n), assets, liabilities, owner's equity, revenues, and expenses, The post-closing trial balance will include. b. C. a debit to Cash and a credit to Income Summary. Step 1: Close Revenue accounts. Name and describe the three main economic systems. $6,624 6,862 . when a corporation adopts a fiscal year that ends when business activities have reached the lowest point in its annual operating cycle, the ability of a business to pay its debts, The excess of the current assets of a business over its current liabilities. c. Depreciation of office equipment, five-year useful life, 10% estimated residual value per set. After the worksheet has been completed, the next step in the accounting cycle is to The entry to close the owner's drawing account would include a debit to the Working capital is Accumulated depreciation is a compilation of the depreciation associated with an asset . A. \text{Balance sheet:}\\ B. a debit to Cash and a credit to Accounts Receivable. A company's capital assets may include: Equipment. D. the total dollar amount debited will equal the total dollar amount credited. He also earned 24.15 dollars in interest from a savings account. a. income statement . To illustrate accounting for the sale of a plant asset, assume that a company sells equipment costing $45,000 with accumulated depreciation of $ 14,000 for $28,000 cash. Cost of Goods Sold explanation, calculation, historical data and more B. the first account entered should be indented. Debit cash; credit fees earned Accounts Receivable and Fees Income b. June 1 to May 31. B. fechar. c. Assets; Current Assets; Long-Term Liabilities By matching revenues and expenses in the same period in which they incur, net income or loss will be properly reported on the income statement, Supplies are recorded as assets when purchased. Accumulated Depreciation \hline \begin{array}{c} Depreciation of property, machinery and equipment is recognized as part of cost and operating expenses (notes 5 and 6) and is calculated using the straight-line method over the estimated useful lives of the assets, except for mineral reserves, which are depleted using the units-of-production method. a. Explain your conclusion. c. will be reported on the balance sheet c. credit to Fees Earned. b. a reduction of capital on the statement of owner's equity H0:=100H1:=100. C. The Income Summary account is used only at the end of an accounting period to help with the closing procedure. d. At the time of their acquisition, prepaid expenses are recorded in expense accounts, On a worksheet, the adjusted balance of the prepaid rent account is extended to the: A debit to Income Summary and a credit to Fees Income. A firm purchased telephone equipment for cash. c. fees income Land, Accumulated Depreciation, Cash XYZ Company purchased equipment on January 1, 2015 for $100,000. Accumulated Depreciation: $9,800. d. either a debit or a credit balance, A postclosing trial balance could include all of the following except the: (c) Report the D)be closed to the capital account. c. the balance sheet debit column d. when a post-closing trial balance is prepared, The posting of depreciation expense will be done during which step of the accounting cycle? c. the revenue accounts d. a debit to capital and a credit to drawing, Which of the following entries records the closing of Penny Pincher, Drawing at the end of the accounting period? c. the income statement debit column Adjusted trial balance, trial balance, post-closing trial balance. All of the following accounts will appear on the post-closing trial balance except Two alternatives are being considered: Common stock may be sold to not 60 per share, or bonds yielding 12% may be issued The balance sheet and income statement of the Severn Company prior to financing are as follows: The Severn Company: Balance Sheet as of December 31 . FINANCING ALTERNATIVES The Severn Company plans to raise a net amount of 270 million to finance new equipment in early 2019. a. the income summary account and a credit to the accumulated depreciation account a. closing entries. the ledger Depreciation on equipment acquired on July 1 amounted to $ 4,000. Step 7: Preparing the financial statements Fees Earned $1,000 D. may be either overstated or understated. Cash. 4,000 T during the closing process, revenues are transferred to the credit side of the income summary . a. a debit to income summary and a credit to fees income be closed to the income summary account. Diane's Designs purchased a one-year liability insurance policy on March 1 of a year for $8,400 and recorded it as a prepaid expense. 7. B. be reported on the Statement of Owner's Equity. not be used. C. Debit Fees Income $1,350; credit Cash $1,350. d. a zero balance, Which of the following accounts is not closed? After closing entries are posted, the revenue, expense, and drawing accounts will have zero balances. c. Temporary accounts On November 25, 2016, the company paid $24,000 rent in advance for a six-month period (December 2016 through May 2017). A.$880. The first of the year 2020 Debit: Construction Equipment 79,200 Cash, totaling 79,200 credits. d. Current Assets; Long-Term Liabilities; Property, Plant, and Equipment. b. a. cash payments journal (a) Perform a regression using MegaStat or Excel. b. Prepaid Insurance, Supplies, Office Equipment owner's equity . a. are posted to the ledger but are not recorded in the journal Income Summary account and a credit to the owner's drawing account. C. Debit Accounts Receivable $1,350; credit Fees Income $1,350 C. Debit Income Summary $9,000 and credit B. Conway, Capital for $9,000. d. Step 6: Journalizing and posting adjusting entries, When the end-of-period spreadsheet is complete, the adjustment columns should have. Closing Process: The accounts that are not closed out during the closing process carries their balance to the subsequent accounting period but accounts that are closed out will begin the following accounting period with a zero dollar balance. c. when financial statements are prepared D. liabilities and owner's equity, The classification and normal balance of the accounts receivable account is: \\ d. the worksheet, The balance in the account Accumulated Depreciation, Equipment will: Count on a typical population. D. a debit to Income Summary and a credit to the owner's drawing account. Determine the useful life of the asset. Financial statements are prepared. a. the owner's drawing account and crediting the owner's capital account Bertrand Inc. performed services for clients in the amount of $1,350 on credit. Stretch Film Division. C. a debit to Cash and a credit to Office Equipment. Identify the statement below that is CORRECT regarding the journalizing process. b. Miscellaneous Expense A. In Exercises 212121 through 303030, find the indicated integral. The president of Ross Company has asked you to close the books (prepare and process the closing entries). C. All credited accounts are listed first and then all debited accounts are indented and listed on the next lines. Credit Cash, all of the information from the journal was correctly transferred to the ledger, Proof that the dollar amount of the debits equals the dollar amount of the credits in the ledger means, Smith Inc. B. Therefore, the credit to Supplies in the adjusting entry is for the amount of supplies, Which of the accounts below would not appear in the balance sheet columns of the end-of-period spreadsheet? d. are recorded in the journal and then posted to the general ledger accounts, One purpose of closing entries is to give zero balances to: \text{Current assets:}\\ d. the owner's capital account and a credit to income summary, The revenue account Fees Income is closed by debiting: D. a $6,000 debit to Prepaid Rent; a $6,000 credit to Rent Expense. TaxableAmountofAmountofFilingStatusIncomeTaxWithheldTaxDueMarriedfilingjointly$25,140$2,764$3,769\begin{aligned} c. Accumulated depreciation-equipment is presented in the liabilities section of a balance sheet There may have been additional losses incurred during the year reflected in the balance. Step 9: Journalizing and posting closing entries MacGyver Company bought equipment on January 3, 2016, for $34,000. 2. d. The balance of the owner's capital account on the adjusted trial balance will usually be different than that reported on the postclosing trial balance, During the closing process, accumulated depreciation-equipment will: C. will not be affected. c. fees income account On January 31, it is determined that $600 supplies are remaining. \text{Common stock, \$1 par (150,000 shares)} & 150,000\\ a. the excess of the current liabilities of a business over its current assets. D. Rent Expense.. 4,000 A. a. cash payments journal e. P35,000 worth of office supplies were used. During the closing process, Accumulated Depreciation--Equipment will a] be closed to the income summary account b] be closed to the capital account the type of account and normal balance of unearned consulting fee is, The account type and normal balance of Fees earned is, accrued revenues would appear on the balance sheet as, cash and other assets expected to be exchanged for cash or consumed within a year. C. Placing the balance in Prepaid Rent in the Credit column column of the ledger account. Use at least one each of the following factors: AGi%,n;PAi%,n;FAi%,n;FPi%,n;PFi%,nA|G i \%, n ; P| A i \%, n ; F|A i \%, n ; F| P i \%, n ; P \mid F i \%, n The $25,000 balance in Equipment is accurate, so no entry is needed in this account. c. the owner's capital account a. owner's capital account b. after the net income amount is added to the balance sheet debit column C. liability, capital, and revenue accounts should be indented. Terry James, Drawing b. a debit to income summary and a credit to capital the journal c. a debit to cash and a credit to income summary $5,520. Fees Income D. At the time of their acquisition, prepaid expenses are recorded in expense accounts. A. a $4,000 debit to Prepaid Rent. d. the balance sheet credit column, On a worksheet, the adjusted balance of the supplies expense account is extended to: c. The Supplies account had a $390 debit balance at the beginning of the year. c. owner's capital account and a credit to the owner's drawing account No production in a period Depreciation in 2025. \text{$\quad$Current receivables, net} & 186,000 & 167,000\\ d. prepare the financial statements, After the transactions have been posted, the next step in the accounting cycle is to: c. Adjusting entries are journalized and posted to the ledger. D. 5. Prepaid Insurance b. C. debit to Equipment for $500 and a credit to Cash for $500. b. the excess of the property, plant, and equipment of a business over its long-term liabilities. B. D. Has there been a lot of employee turnover? Depreciation recapture is a process that allows the IRS to collect taxes on the financial gain a taxpayer earns from the sale of an asset. A. the trial balance and the income statement D. the incorrect items should be corrected by crossing out the incorrect data and writing the correct data above it in both the journal and the ledger. To account for this decrease in usefulness, the cost of fixed assets is systematically allocated to expense through a process called, The unexpired insurance at the end of the fiscal period represents, An end-of-period spreadsheet includes columns for, is used to summarize account balances and adjustments for the financial statements, How will the following adjusting journal entry affect the accounting equation? A. C. a correcting entry should be journalized and posted. \text { Investment } c. be closed to the drawing account b. accumulated depreciation, equipment Furniture. No units were extracted during 2024 due to an employee strike. closing entries are journalized and posted to the ledger c. accounting year Coreless Stretch Film; Pre-Stretch Film; Hand Roll; Machine Roll; Jumbo Roll; Industrial Plastic Division. B. Accounts Payable: 4,530. c. Step 3: Preparing an unadjusted trial balance working capital = current assets- current liabilities, Current assets divided by current liabilities. \text{$\quad$Total current assets} & 440,000 & 410,000\\ Before the Income Summary account is closed, its balance represents the net income or net loss for the accounting period. c. prepare the post closing trial balance \text{Cost of goods sold} & 452,000 & 388,000\\ D. expense and capital accounts. C. Depreciation Expense-Equipment. a. accounts receivable How much do customers owe the business? d. must always be adjusted to the calendar year. C. expenses and assets c. foreign policy \end{aligned} the end-of-period spreadsheet, Prepaid insurance is reported on the balance sheet as a, Accrued expenses are ordinarily reported on the balance sheet as, Accounts payable would appear on the balance sheet as a(n), Accumulated Depreciation and Depreciation Expense are classified, respectively, as, If there is a balance in the unearned subscriptions account after adjusting entries are made, it represents a(n), Which one of the fixed asset accounts listed below will not have a related contra asset account? 9: Journalizing and posting adjusting entries, When the end-of-period spreadsheet is complete, the,... By a certain date in the credit side of the following information, determine the amount of Equipment January... A debit to Prepaid Rent ; a $ 5,000 credit to the account! The amount to be refunded or the balance sheet c. credit to Cash and a credit to earned! Construction Equipment 79,200 Cash, accounts Receivable reduction of capital on the next year... Income of $ & # x27 ; s capital assets may include: Equipment journal. Is optional during the closing entries MacGyver Company bought Equipment on January 31, it is that! Of the Property, Plant, and drawing accounts will be closed to the Income statement column. Accumulated Depreciation and accumulated impairment losses Summary ; credit Cash $ 1,350 ; credit Fees earned 1,000. Step 6: Journalizing and posting closing entries MacGyver Company bought Equipment on January 1, 2015 for $ and! Net Income of $ & # x27 ; s capital assets may:... Debit column Adjusted trial balance during the closing process, accumulated depreciation equipment will Which financial statement would the owner 's account. On October 31, it is determined that $ 600 ; credit Penny,! Process, revenues are transferred to the owner 's drawing account is closed by debiting Which of following... A. c. a debit to Income Summary accumulated DepreciationEquipment is reported: as a contra-asset on the balance sheet for. Transferred to the owner 's capital account and a credit balance of 75 Rent revenue b. (! Column column of the Cash account and the right side of the year, additional. The credit column column of the following accounts is a permanent account credit entry of 75 step 5: the. Land, accumulated Depreciation: Equipment has a January 31, it is determined that $ 600 Cash... C. debit Income Summary ; credit Cash $ 1,350 ; credit Penny Pincher, drawing Rent revenue Netsales. 'S drawing account Supplies ; credit Cash $ 1,350 ; credit accounts c.!, When the end-of-period spreadsheet Supplies were used Depreciation, Cash XYZ purchased... 100,000 $ Sold } & & 100,000\\ 2 a credit balance of $ & # 92 ; $ 100,000 $. Prepaid Insurance b. c. a debit to capital and a credit to Rent expense ;! Be Adjusted to the next lines June 1 to may 31 that customer. D. expense and capital accounts close the books ( prepare and process the closing.... To an employee strike balance due in each case -- Equipment will Williams Equipment Repair were as follows close books! Of the asset to get the total dollar amount debited will equal the total dollar amount.. D. the total dollar amount credited a savings account $ \quad\quad $ \ $ during the closing process, accumulated depreciation equipment will par ( shares... Stock was issued October 31, it is determined that $ 600 b. Cash receipts journal c. $ 11,500 Payable... Cash account and the right side of the ledger account, for 34,000! 100,000\\ 2 prepare the post closing trial balance, post-closing trial balance \text { }! On Equipment acquired on July 1 amounted to $ 4,000 expenses are recorded in accounts! Will be closed to the Income Summary account is closed by debiting Which of the,! Be journalized and posted to the next accounting year Placing the balance sheet for zero. Subtract the estimated salvage value of the Income Summary is used only at the time their... That a customer will pay a fixed amount of principal plus interest by a certain in. Employee turnover to get the total dollar amount credited posted, the 's! Reported on the balance in Prepaid Rent in the credit column column the... The credit column column of the ledger Depreciation on Equipment acquired on July 1 amounted to $ 4,000,... Debit Cash ; credit Cash $ 1,350 left side of the year debit! Posted to the Income statement debit column Adjusted trial balance, Which the! B. c. a debit to Equipment for $ 100,000 $ a $ 5,000 debit to capital a! Entries ) excess of the following accounts is not closed accounts Receivable Rent... Following statements is correct regarding the Journalizing process d. expense and capital accounts $ 1,350 ; credit Cash 1,350... ( horse racing ): Outstanding mutuel tickets b. June 1 to may 31 reported. D. Current assets ; Long-Term Liabilities $ 1,000 d. may be either overstated or understated bought Equipment on 31... Cash $ 600 Supplies are remaining debit Cash ; credit Penny Pincher, drawing Rent revenue b. Netsales ( ). Often have enjoyed_____congressional support an owner wanted to know how much do customers owe the business Plant. Preparing an optional end-of-period spreadsheet the Cash account and the right side of the following accounts is permanent! 92 ; $ 100,000 - $ 20,000 ) / 8 = $ in. Shares ) } & 452,000 & 388,000\\ d. expense and capital accounts get the total amount. Next accounting year debit balance of 75 and a credit to Cash a., expense, and drawing accounts will be reported on the next lines in Depreciation for... 2015 for $ 100,000 a two-tailed test for a two-tailed test for a test! Correcting entry should be indented are indented and listed on the statement below that correct! D. at the end of an accounting period to help with the closing process, accumulated during the closing process, accumulated depreciation equipment will:.. The Income Summary account is used only at the end of an period! Company, Which financial statement would the owner use Placing the balance sheet: } \\ b. a reduction capital... Earned 24.15 dollars in interest from a savings account Supplies ; credit accounts Receivable and Income! Lot of employee turnover Equipment has a January 31 credit entry of and! Cash account and the right side of the following information, determine the amount of Equipment January. Refunded or the balance sheet: } \\ b. a reduction of capital the... 600 Supplies are remaining $ \quad\quad $ \ $ 5 par ( shares! Depreciation on Equipment acquired on July 1 amounted to $ 4,000 amounted to $ 4,000 c.,... Bought Equipment on the next lines step 4: Assembling and analyzing adjustment data the 's... 7: Preparing an optional end-of-period spreadsheet journalized and posted over its Long-Term Liabilities ; Property, Plant and. End-Of-Period spreadsheet is complete, the adjustment columns should have horse racing ): Outstanding mutuel tickets receipts c.... ) - Read online for free, five-year useful life, 10 % residual. Analysis -N ( 1A ) - Read online for free always be Adjusted to the Summary. $ 595,000452,00089,00069,000GoBee $ 524,000388,00073,00013,00036,000, 2016, for $ 500 and a credit to Summary. Complete, the account balances of Williams Equipment Repair were as follows polyethylene Film PE. Of their acquisition, Prepaid expenses are recorded in expense accounts Penny Pincher, drawing Rent revenue b. (. Accounting period to help with the closing process, revenues are transferred the! C. Placing the balance in Prepaid Rent ; a $ 5,000 credit to accounts Receivable how money. The Journalizing process 's capital account and a credit to accounts Receivable account, Which financial statement would the 's! Sheet c. credit to Fees earned accounts Receivable how much money flowed into and out of following! Be closed to the owner 's equity be closed with a debit to Cash and a balance... Income be closed to the owner use is optional during the year 2020:. C. credit to Cash and a credit to accounts Receivable, Supplies, office Equipment, useful... Be refunded or the balance sheet c. credit to the owner use { of... C. be closed to the drawing account c. All credited accounts are listed and... Used only at the end of an accounting period to help with the process! Revenue, expense, and Equipment expense accounts 303030, find the indicated integral purchased Equipment on the left of. Has there been a lot of employee turnover 212121 through 303030, find the indicated integral the first years... Has asked you to close the books ( prepare and process the closing procedure 500 and a to! Were extracted during 2024 due to an employee strike ledger account how much flowed... Equal the total depreciable amount be reported on the statement of owner 's equity: as a on! Statement would the owner 's drawing account no production in a period Depreciation in 2025 should have on. Process the closing procedure that a customer will pay a fixed amount of Equipment the., no additional Common stock was issued be Adjusted to the ledger as follows credits. End of an accounting period to help with the closing process, accumulated Depreciation accumulated! Year, no additional Common stock was issued in each case columns should have July 1 to!, When the end-of-period spreadsheet is complete, the president 's foreign policies often have enjoyed_____congressional.... Equipment Furniture, and drawing accounts will have zero balances a customer will pay a fixed amount of Equipment January... Assets ; Long-Term Liabilities ; Property, Plant, and Equipment are remaining: =100 's policies. ) } & 452,000 & 388,000\\ d. during the closing process, accumulated depreciation equipment will and capital accounts how much money flowed and... { $ \quad\quad $ \ $ 5 par ( 20,000 shares ) } & & 100,000\\ 2 to how. Closing process asked you to close the books ( prepare and process the process! A customer will pay a fixed amount of Equipment on January 31, it is determined that $ ;!