The December 31, 2018, adjusted trial balance for Fightin' Blue Hens Corporation is presented below Credit Accounts Cash Accou

The December 31, 2018, adjusted trial balance for Fightin Blue Hens Corporation is presented below Credit Accounts Cash Accounts Receivable Prepaid Rent Supplies Equipment Accumulated Depreciation Accounts Payable Salaries Payable Interest Payable Notes Payable (due in two years) Common Stock Retained Earnings Service Revenue Salaries Expense Rent Expense Depreciation Expense Interest Expense Debit $ 10,400 134,000 4,400 22,000 240,000 $ 119,000 10,400 9,400 3,400 24,000 140,000 44,000 340,000 240,000 12,000 24,000 3,400 Totals $690,200 $690,200

The December 31, 2018, adjusted trial balance for Fightin’ Blue Hens Corporation is presented below Credit Accounts Cash Accounts Receivable Prepaid Rent Supplies Equipment Accumulated Depreciation Accounts Payable Salaries Payable Interest Payable Notes Payable (due in two years) Common Stock Retained Earnings Service Revenue Salaries Expense Rent Expense Depreciation Expense Interest Expense Debit $ 10,400 134,000 4,400 22,000 240,000 $ 119,000 10,400 9,400 3,400 24,000 140,000 44,000 340,000 240,000 12,000 24,000 3,400 Totals $690,200 $690,200

Expert Answer

 

Post Closing entries are as prepared below:

Date Particulars L.F Debit Credit
2018 $ $
Dec-31 Service Revenue 340,000
   Income summary 340,000
(For income closing balances recorded)
Dec-31 Income summary 279,400
Salaries Expense 240,000
Rent Expense 12,000
Depreciation Expense 24,000
Interest Expense 3,400
(For expenses closing balances recorded)
Dec-31 Income summary 60,600
Retained Earnings 60,600
(For income summary close to retained earnings account)

b. Post Closing Trial Balance is as prepared below:

Fightin’ Blue Hens Corporation
Post-Closing Trial Balance
December 31, 2018
Debit Balances Credit balances
Cash 10,400
Account Receivable 134,000
Prepaid Rent 4,400
Supplies 22,000
Equipment 240,000
Accumulated depreciation 119,000
Accounts payable 10,400
Salaries payable 9,400
Interest Payable 3,400
Notes Payable (due in 2 years) 24,000
Common Stock 140,000
Retained earnings (44,000+60,600) 104,600
Total 410,800 410,800
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