0 Required information The following information applies to the questions displayed below) On January 1, 2021, the general ledger of Freedom Fireworks includes the following account balances: Credit Debit 5 12,800 37,200 153,600 83,300 136,000 Accounts Cash Accounts Receivable Inventory Land Buildings Allowance for Uncollectible Accounts Accumulated Depreciation Accounts Payable Common Stock Retained Earnings Totals $3,400 11,200 35,300 216,000 157,000 $422,900 $422,900 During January 2021, the following transactions occur January Borrow $116,000 from Captive Credit Corporation. The installment note beans interest at 6% annually and matures 1 in 5 years. Payments of 2,243 are required at the end of each month for 60 months January Receive 532,600 fron customers on accounts receivable. 4 January Pay cash on accounts payable, $27,000. 10 January Pay cash for salaries, 530,500. 15 January Firework sales for the month total $210,280. Sales include 566,600 for cash and $143,688 on account. The cost 30 of the units sold is $120,500. January Pay the first nonthly installment of $2,243 related to the $116,000 borrowed on January 1. Round your interest 31 calculation to the nearest dollar, 1. Record each of the transactions listed above (If no entry is required for a particular transaction/event, select "No Journal Entry Required in the first account field.) The following information is available on January 31, 2021 a Depreciation on the building for the month of January is calculated using the straight-line method. At the time the building was purchased the company estimated a service life of 10 years and a residual value of $25,600 b. The company estimates future uncollectible accounts. The company determines $4,600 of accounts receivable on January 31 are past due, and 50% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 2% of these accounts are estimated to be uncollectible (Hint Use the January 31 accounts receivable balance calculated in the general ledger) Unpaid solaries at the end of January are $27,700. d. Accrued income taxes at the end of January are $9,600. e $20,612 of the long-term note payable balance will be paid over the next year 2. Record the adjusting entries on January 31 for the above transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required in the first account field.) 4 During January 2021, the following transactions occur January Horrow $116,000 from Captive Credit Corporation. The installment note bors interest at 6% annually and matures 1 in 5 years. Payments of $2,243 are required at the end of each month for 6 months. January Receive 532,600 from customers on accounts receivable January Pay cash on accounts payable, $27,000. 10 January Pay cash for salaries, $10,500 15 January Firework sales for the month total $210,200. Sales include 566,600 for cash and $143,600 on account. The cost 30 of the units sold is $123,500 January Pay the first monthly installment of $2,243 related to the 5116,000 borrowed on January 1. Round your interest 31 calculation to the nearest dollar. 3. Prepare an adjusted trial balance as of January 31, 2021 During January 2021, the following transactions occur January Borrow $116,000 fron Captive Credit Corporation. The installment note bears interest at 6% annually and matures in 5 years. Payments of $2,243 are required at the end of each month for 6 months. January Receive 532,600 from customers on accounts receivable. 4 January Pay cash on accounts payable, $27,000. 10 January Pay cash for salaries, 590,500. 15 January Firework sales for the month total $210,209. Sales include $66,600 for cash and 5143,600 on account. The cost 30 of the units sold is $120,500 January Pay the first monthly installeent of $2,243 related to the 5116,000 borrowed on January 1. Round your interest 31 calculation to the nearest dollar Prepare a multiple-step income statement for the period ended January 31, 2021 5. Prepare a classified balance sheet as of January 31, 2021. (Hint: The carrying value of notes payable on January 31, 2021 is $114,337 $20,612 is reported as notes payable in the current liabilities section and $93,725 is reported as notes payable in the long-term liabilities section ($20,612 - $93,725 = $114,337). (Amounts to be deducted should be indicated with a minus sign.) Fredrik tassid Balance sheet January 31, 2021 Assets Liabilities Total Current Liabilities M Total Liabilities Stockholder's Equity (5.172) Total Current Assets Total Assets Total Stockholders' Equity Total Liables and Stockholders' Equity 6. Record closing entries. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 Record the closing entry for revenue accounts. Note Enter debits before credits General Journal Debit Credit Date January 31 2021 Recento View