The ledger of Rowen Company contains the following balances: Retained Earnings $28,817; Dividends $1,705; Service Revenue $51,839; Salaries and Wages Expense $26,029; and Supplies Expense $5,742.Prepare the closing entries at December 31.(Credit account titles are automatically indented when amount is entered. Do not indent manually.)No.Account Titles and ExplanationDebitCredit1.(To close revenue account.)2.(To close expense accounts.)3.(To close net income/ (loss).)4.(To close dividends.)The following items were taken from the financial statements of Sexton Company. (All dollars are in thousands.)Long-term debt$948Accumulated depreciation$4,197Prepaid insurance6,759Accounts payable1,482Equipment11,045Notes payable (due after 2015)848Long-term investments1,341Common stock16,203Short-term investments4,131Retained earnings5,225Notes payable (due in 2015)448Accounts receivable1,599Cash2,363Inventory2,113Prepare a classified balance sheet as of December 31, 2014.(List current assets in order of liquidity.)SEXTON COMPANYBalance SheetDecember 31, 2014(in thousands)Assets Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues$ Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders Equity Total Revenues $ Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues Add Less : Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders Equity Total Revenues $Liabilities and Stockholders’ Equity Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues$ Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues $ Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders’ Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues $The ledger of Rowen Company contains the following balances: Retained Earnings $28,817; Dividends $1,705; Service Revenue $51,839; Salaries and Wages Expense $26,029; and Supplies Expense $5,742.Prepare the closing entries at December 31.(Credit account titles are automatically indented when amount is entered. Do not indent manually.)(To close dividends.)The following items were taken from the financial statements of Sexton Company. (All dollars are in thousands.)Prepare a classified balance sheet as of December 31, 2014.(List current assets in order of liquidity.)SEXTON COMPANYBalance SheetDecember 31, 2014(in thousands)Assets Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues$ Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders Equity Total Revenues $ Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders EquityTotal Revenues Add Less : Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders Equity Total Revenues $Liabilities and Stockholders’ Equity Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues$ Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues $ Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term DebtLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentStockholders’ EquityRevenuesTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders’ EquityTotal Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues Current Assets Current Liabilities Expenses Intangible Assets Long-term Debt Long-term Investments Long-term Liabilities Net Income / (Loss) Property, Plant and Equipment Stockholders’ Equity Revenues Total Assets Total Current Assets Total Current Liabilities Total Expenses Total Intangible Assets Total Liabilities Total Liabilities and Stockholders’ Equity Total Long-term Investments Total Long-term Liabilities Total Property, Plant and Equipment Total Stockholders’ Equity Total Revenues $