Problem
1. Why adjusting entries must be journalized even though the formal statement have already been prepared?
2. "Closing slows down the recording of the next year's transactions." Defend or reject the statement with supporting evidence
3. Closing entries are always prepared one a month. Agree or Disagree? Why?
4. Burton fish is the purchasing for Lyle Co. One of this suppliers, Grant Co., offers Burton a free vacation to Spain if he buys at least 50% of Lyle's supplies from Grant Co. Burton, who is angry because Lyle Co. has not given him a raise in over a year, is considering the offer. Write your recommendation to Burton.