Lee Company had the following adjusted trial balance:
Account Titles Debit Credit Cash $24,750 Accounts Receivable 19,800 Supplies 9,020 Equipment 36,700 Accumulated Depreciation $6,500 Accounts Payable 3,140 Unearned Rent Revenue 2,000 Capital 45,130 Drawing 16,300 Commission Revenue 63,600 Rent Revenue 5,500 Depreciation Expense 5,700 Utilities Expense 7,800 Supplies Expense 5,800 Total $125,870 $125,870
The president of Lee Company has asked you to close the books (prepare and process the closing entries).
Required:
After the closing process has been completed, answer the following questions:
During the closing process, what amount was transferred from the income summary account to the Capital account in the third closing entry (i.e., after revenue and expense accounts have been closed to Income Summary)? $ What is the balance in the Capital account? What is the balance in the rent revenue account?