Exercise 6.6. The ledger accounts of I-Cloud InternetCompany appear as follows on March 31, 2016:
Account No. | Account | Balance |
101 | Cash | $80,000 |
111 | Accounts Receivable | $58.820 |
121 | Supplies | $10,600 |
131 | Prepaid Insurance | $25,000 |
141 | Equipment | $118,000 |
142 | Accumulated Depreciation – Equipment | $41,320 |
202 | Accounts Payable | $13,000 |
301 | Lee Retha Hale, Capital | $130,000 |
302 | Lee Retha Hale, Drawing | $13,000 |
401 | Fees Income | $374,460 |
510 | Depreciation Expense – Equipment | $21,160 |
511 | Insurance Expense | $11,400 |
514 | Rent Expense | $33,000 |
517 | Salaries Expense | $166,000 |
518 | Supplies Expense | $5,600 |
519 | Telephone Expense | $6,800 |
523 | Utilities Expense | $9,400 |
All accounts have normal balances. Journalize and postthe closing entries. Use 4 as the page number for the generaljournal in journalizing the closing entries. Use account number 399for the Income Summary Account.
