[CAREACCOUNTING]

At the end oa an accounting period, lackawaxen co. has the following account balances listed on its Adjusted Trial Balance:

Sales revenue $100,000
Cost of goods sold $50,000
Administrative earnings: $25,000
Retained Earnings: 250,000


Assume there are no other revenue and expense accounts, and that revenues and expenses are closed with a single journal entry. Which of the following is the correct closing entry for Lackawaxen co?


A.
Administrative expense $25000
Cost of good sold 50000
Sales revenue 100,000
Retained earnings $175,000

B
Retained earnings 250,000
Sales revenue $250,000

C.
Retained earnings 25000
Cost of good sold 25000

D.
Sales revenue 100,000
Cost of goods sold 50000
Administrative expense 25000
Retained earnings 25000

[CaptainForest]

In the future, put Dr. for debits and Cr. For credits, it will make it much easier to read.

The answer you want is D