Question

Trial Balance Worksheet as at June 30, 2018
?	?	?	?	?	?	?
Account	Adjusted		Income Statement		Balance Sheet
	Debit	Credit	Debit	Credit	Debit	Credit
Cash	$ 1,040,500.00	?	?	?	$ 1,040,500.00	?
Raw Material Inventory	$   190,500.00	?	?	?	$   190,500.00	?
Work-in-Process Inventory	$   116,050.00	?	?	?	$   116,050.00	?
Jobs Completed (Finished Goods Inventory)	$               -	?	?	?	$               -	?
Note Receivable	$   100,000.00	?	?	?	$   100,000.00	?
Interest Receivable	$         750.00	?	?	?	$         750.00	?
Prepaid Insurance	$         500.00	?	?	?	$         500.00	?
Construction Equipment	$   240,000.00	?	?	?	$   240,000.00	?
Accumulated Depreciation - Construction Equipment	?	$       2,000.00	?	?	?	$       2,000.00
Land	$     50,000.00	?	?	?	$     50,000.00	?
Building	$   112,000.00	?	?	?	$   112,000.00	?
Accumulated Depreciation -Building	?	$       2,500.00	?	?	?	$       2,500.00
Accounts Payable	?	$   200,000.00	?	?	?	$   200,000.00
Dividend Payable	?	$       5,000.00	?	?	?	$       5,000.00
Common Stock	?	$ 1,500,000.00	?	?	?	$ 1,645,800.00
Retained Earnings	$       5,000.00	?	?	?	$       5,000.00	?
Sales	?	$   250,000.00	?	$ 250,000.00	?	?
Interest Revenue	?	$         750.00	?	$       750.00	?	?
Cost of Jobs Sold	$     88,950.00	?	$   88,950.00	?	?	?
Works Overhead	$       1,500.00	?	$    1,500.00	?	?	?
Sales & Administration Expenses	$     11,000.00	?	$   11,000.00	?	?	?
Insurance Expense	$       1,000.00	?	$    1,000.00	?	?	?
Depreciation Expense	$       2,500.00	?	$    2,500.00	?	?	?
Income Summary	?	?	$ 145,800.00	?	?	?
?	?	?	?	?	?	?
?	$ 1,960,250.00	$ 1,960,250.00	$ 250,750.00	$ 250,750.00	$ 1,855,300.00	$ 1,855,300.00

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Statement of Income	?	?
For the Period Ending June 30th 2018	?	?
?	?	?
Sales	?	$ 250,000.00
Interest Revenue	?	$      750.00
?	?	$ 250,750.00
Cost of Jobs Sold	?	$ 88,950.00
Gross Margin	?	$ 161,800.00
?	?	?
Works Overhead	$    1,500.00	?
Sales & Administration Expenses	$ 11,000.00	?
Depreciation Expense	$    2,500.00	?
Insurance Expense	$    1,000.00	$ 16,000.00
Net Income	?	$ 145,800.00
?	?	?
Statement of Retained Earnings	?	?
For the Period Ending June 30th 2018	?	?
Net Income	$ 145,800.00	?
Less: Dividend	$    5,000.00	?
?	$ 140,800.00	?

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Classified Balance Sheet
As at June 30th 2018
Assets	Amounts in $	Amounts in $	Liabilities	Amounts in $	Amounts in $
Current Assets	?	?	Current Liabilities	?	?
Cash	$ 1,040,500.00	?	Accounts Payable	$   200,000.00	?
Raw Materials Inventory	$   190,500.00	?	Dividend Payable	$      5,000.00	$   205,000.00
Work-in-Process Inventory	$   116,050.00	?	?	?	?
Note Receivable	$   100,000.00	?	?	?	?
Interest Receivable	$        750.00		?	?	?
Prepaid Insurance	$        500.00	$ 1,448,300.00	?	?	?
Non Current Asset	?	?	Shareholders Equity	?	?
Land	?	$     50,000.00	Common Stock	$ 1,500,000.00	?
Building	$   112,000.00	?	Retained Earnings	$   140,800.00	$ 1,640,800.00
Accumulated Depreciation - Building	$     -2,500.00	$   109,500.00	?	?	?
Construction Equipment	$   240,000.00	?	?	?	?
Accumulated Depreciation - Construction Equipment	$     -2,000.00	$   238,000.00	?	?	?
Total Assets	?	$ 1,845,800.00	Total Liabilities & Equity	?	$ 1,845,800.00

1. Show the Closing Journal Entry

Answer 1

Closing Journal Entries are as prepared below:

	Particulars	L.F	Amount ($)	Amount ($)
2018	Sales		250,000
Jun-30	Interest revenue		750
	Income summary			250,750
	(for revenue closed)
Jun-30	Income summary		104,950
	Cost of jobs sold			88,950
	Works overhead			1,500
	Sales and Administration expense			11,000
	Depreciation expense			2,500
	Insurance expense			1,000
	(For expenses closed)
Jun-30	Retained Earnings		5,000
	Dividend			5000
	(For dividend closed)
Jun-30	Income summary		145,800
	Retained Earnings			145,800
	(for income summary closed to retained earnings)