Explanation Journalizing: Journalizing refers to the process in which transactions of an organization are recorded in a sequence. Based on the recorded entries, the accounts are posted to the relevant ledger accounts. Journal entries for the adjustments are as follows: General Journal Page 4 Date Account Title and Explanation Post Ref. Debit ($) Credit ($) December 31, 2019 Fees income 107,500 Income summary 107,500 (To transfer the amount of fees income) Table (1) The account of the fees income account gets closed. Hence, the fees income account is debited. The amount of the fees income transferred to income summary, the account of income summary increases. Hence, the income summary account is credited. General Journal Page 4 Date Account Title and Explanation Post Ref. Debit ($) Credit ($) December 31, 2019 Income summary 60,000 Depreciation expense 5,500 Salaries expense 34,000 Supplies expense 6,000 Telephone expense 5,200 Utilities expense 9,300 (To transfer the amount of income summary) Table (2) The amount of income summary decreases. Hence, the account of income summary is debited. Depreciation expense is an expense and expenses are decreased...

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ISBN: 9781260255157

Author: Haddock

Publisher: MCG CUSTOM

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Journalize the closing entries.

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COLLEGE ACCOUNTING (LL)W/ACCESS>CUSTOM<

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Solution Summary: The author describes journalizing as the process in which transactions of an organization are recorded in a sequence.

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