10 6 of Required information The following information applies to the questions displayed below.) The general ledger of Pop's Fireworks includes the following account balances in 2021: Accounts Debit Credit Cash $ 22,800 Accounts Receivable 45,500 Allowance for Uncollectible Accounts $ 3,800 Supplies 9,100 Notes Receivable (B, due in 2 years) 26,000 Land 93,000 Accounts Payable 13,900 Common Stock 138,000 Retained Earnings 30,700 Service Revenue 126,400 Salaries Expense 71,700 Utilities expense 26,600 supplies Expense 18.100 Totale $312,800 $312,800 oped June In addition, the following transactions occurred during 2021 and are not yet reflected in the account balances above 3 Provide additional services on account for $15,000. All services on account include terms 2/10, n/30. 6 Receive cash from customers within 10 days of the services being provided on account. The November 15 write oft customer accounts of $2,300 as uncollectible. June 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 rt 6 of 7 Journal entry worksheet 1 2 3 nts > Record the closure of revenue accounts. Skipped Note: Enter debits before credits General Journal Debit Date Jan 21, 2021 Credit Record entry Clear entry View general Journal 7. Analyze the following information: a. By how much does the year-end estimate of future uncollectible accounts reduce net income in 2021? b. What is the ending balance of Allowance for Uncollectible Accounts? c. What amount of cash is expected to be collected from accounts receivable? a b Bad Debt Expense Ending Balance of Allowance for Uncollectible Accounts Amount expected to be collected Pup's were rug warto Adjusted Trial Balance wa Star Deciber 31, 2031 For the year and December 31, 2001 Mos Debut C Reveen 2251000 Sonice Acts receivable 900.00 Allowme for collectible acco Supplies 9.100.00 Solicies expone Notes receivable di 2 years 2.000.00 Crities spene 26.600.00 Land Supplies powe Accounts payable 13.900.00 est expen Cock 10000 Total pre Hatal 30,700.00 Service 1.41.100.00 Net Income Salates powe 71,00 this experte 2.000 Supplies 1.100 200 53.25.380.00 $3,25,200.00 Pop's Fireworks Balance Sheet December 31, 2021 Assets Liabilities Can 29.510.00 Accounts payable 13.900.00 Accounts receivable 19.080.00 Less: Allowance for collectible accomas -1.500.00 Supplies 9.100.00 Equity Notes receivable 26,000.00 Concestock 1.3.000.00 Land 93.000,00 Retained carming $3.320.00 Total assets 2,05,220.00 Total liabilities and equity 2.05.230.00 Adjustments: It is assumed that the company uses net method of recording sales. 1. Service revenue will increase by $14,700 ($15,000 x 98%). Accounts receivable will increase by $14,700 since it is credit sales. 2. When cash is received, cash is increased by $8,820 ($9,000 x 98%). Accounts receivable will decrease by $8,820. 3. Writing off receivables will reduce accounts receivable by $2,300 and will reduce allowance for uncollectible accounts by $2,300. 4.8% Annual Interest is payable on notes receivable of $26,000. Since there is no interest expense reported, Interest expense is recorded at $2,080 ($26,000 x 8%). It is assumed that cash interest is paid and thus