1. Prepare an Income Statement, Statement of Retained earnings, balance sheet
2. Prepare the closing entries
D C
Cash 4,900
Rent Expense 400
Inventory 500
Equipment 5,000
Depreciation Expense1,000
A/P 800
Salary Expense 700
N/P 5,000
Capital 2,900
Retained Earnings (beg. bal) 3,000
Sales 6,800
Cost of goods sold 5,500
A/R 500
Dividends 800
Accum Depr Exp 1,000
Utility Exp 200
Total 19,500 19,500