Financial Accounting: An Integrated Statements Approach, 2nd Edition

RETAINED EARNINGS

Dec. 31 Closing 9,755 Dec. 31 Closing 16,960
31 Closing 4,000
Dec. 31 Balance 3,205

DIVIDENDS

Dec. 1 Balance 2,000 Dec. 31 Closing 4,000
31 2,000

Dec. 31 Balance 4,000
31 Balance 0

FEES EARNED

Dec. 31 Closing 16,840 Dec. 1 Balance 7,500
16 3,100
16 1,750
31 2,870
31 1,120
Dec. 31 Balance 16,340
31 Adjusting 500
Dec. 31 Adj. Bal. 16,840
Dec. 31 Balance 0

RENT REVENUE

Dec. 31 Closing 120 Dec. 31 Adjusting 120

Dec. 31 Balance 0

WAGES EXPENSE

Dec. 1 Balance 2,125 Dec. 31 Closing 4,525
13 950
27 1,200

Dec. 31 Balance 4,275
31 Adjusting 250

Dec. 31 Adj. Bal. 4,525
31 Balance 0

SUPPLIES EXPENSE

Dec. 1 Adjusting 2,040 Dec. 31 Closing 2,040

31 Adj. Bal. 2,040

Dec. 31 Balance 0

RENT EXPENSE

Dec. 1 Balance 800 Dec. 31 Closing 1,600

1 800

Dec. 31 Balance 1,600

Dec. 31 Balance 0

UTILITIES EXPENSE

Dec. 1 Balance 450 Dec. 31 Closing 985

31 310

31 225

Dec. 31 Balance 985

Dec. 31 Balance 0

INSURANCE EXPENSE

Dec. 31 Adjusting 100 Dec. 31 Closing 100

Dec. 31 Balance 0

DEPRECIATION EXPENSE

Dec. 31 Adjusting 50 Dec. 31 Closing 50

Dec. 31 Balance 0

MISCELLANEOUS EXPENSE

Dec. 1 Balance 275 Dec. 31 Closing 455

6 180

Dec. 31 Balance 455

Dec. 31 Balance 0

Chapter 4 Accounting Information Systems 171

Exhibit 15

Concluded

Post-Closing Trial Balance

Apost-closing trial balanceis normally prepared after the closing entries have been

posted to the ledger. This is to make sure that no errors have been made in the post-

ing process and that the ledger is in balance at the beginning of the next period. The

accounts and amounts should agree exactly with the accounts and amounts listed on

the balance sheet at the end of the period. The post-closing trial balance for Online

Solutions is shown in Exhibit 16.