Closing Journal Entries-sole Proprietorship 4p5y4t

Closing Journal Entries For Sole Proprietorship or Partnership Journal Entry DESCRIPTION

Titles

Dr

Cr

REVENUES: CLOSE ALL REVENUES TO INCOME SUMMARY

Fees Earned

XXX

Income Summary

XXX

EXPENSES:

Income Summary

CLOSE ALL EXPENSES TO INCOME SUMMARY

Salaries Expense

XXX

Supplies Expense

XXX

Rent Expense

XXX

Insurance Expense

XXX

Interest Expense

XXX

Depreciation Expense

XXX

INCOME SUMMARY: CLOSE THE BALANCE OF THE INCOME SUMMARY INTO OWNER’S EQUITY WHEN IT IS A NET INCOME (CREDIT BALANCE) CLOSE THE BALANCE OF THE INCOME SUMMARY INTO OWNER’S EQUITY WHEN IT IS A NET LOSS (DEBIT BALANCE)

XXX

Options 1 or 2 Income Summary

XXX

Owner’s Name, Capital Owner’s Name, Capital

XXX XXXX

Income Summary

XXX

DIVIDENDS: CLOSE DIVIDENDS INTO OWNER’S EQUITY .

MJC Revised 5/2012

Owner’s Name, Capital

XXX

Owner’s Name, Withdrawals

XXX

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