It is December 31,20xx,and Wally's watches is beginning the process of closing the books at the end of the year. The CFO has asked you,Wally's hired accountant to close the temporary accounts to the income summary account. The CFO gives you the following information .Prepare the journal entries to close the temporary accounts to the income summary account.
- Wally Watches.
- December 31 20XX
- Revenue 80,000
- Common stock 30,000
- Cost of goods sold 30,000
- Supplies Expense 2,000
- Accounts payable 2,000
- Salaries expense 15,000
- Rent expense 1,000
- Depreciation expense 1,200
- Accounts receivable 10,000