3. After adjustments at February 28, 2019, the end of the first full year of operations, the revenues were $300,000 and expenses were 5230,000, for a net Income of $70,000. The drawing accounts have debit balances of $19,000 (Keene) and $24,000 (Wallac
entries to close the revenues and expenses and the drawing accounts at February 28, 20Y9. Refer to the Chart of Accounts for exact wording of account titles.
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DATE
DESCRIPTION
Closing Entries
PAGE 20
ACCOUNTING EQUATION
LIABILITIES
EQUITY
JOURNAL
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POST. REF.
DEBIT
CREDIT
ASSETS
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Set up a column for each member and a total column. Allocate salary allowances and interest allowances. Allocate remaining Income. Close revenue and expenses to the capital accounts. Close the drawing accounts to the capital accounts.
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