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Financial accounting; journal entries and Retained earningsScreenshot_2020-09-22-11-57-29-52.jpg

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Q-6 Gerdes Psychological Services, Inc. closes its temporary accounts once each year on December 31. The company issued the following income statement as part of its annual report. GERDES PSYCHOLOGICAL SERVICES, INC. Income Statement For the year ended December 31,2017 Revenue: Counseling revenue $225,000 Expenses: Advertising expense $ 1800 Salaries expense 94000 Office supplies expense 1200 Utilities expense 850 Office rent expense 24000 Malpractice insurance 6000 expense Continuing education expense 2650 Depreciation expense: 4500 fixtures Miscellaneous expense 6000 Income tax expense 29400 170,400 Net income $ 54,600 The firm's statement of retained earnings indicates that a $6000 cash dividend was declared and paid during 2017. a. Prepare the necessary adjusting entries on December 31, 2017 b. If the firm's Retained earning had a $92,000 balance on January 1, 2017, at what amount (10 marks) should retained earnings be reported in the firm's balance sheet dated December 31, 2017

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Q-6 Gerdes Psychological Services, Inc. closes its temporary accounts once each year on December 31. The company issued the following income...
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