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6 parts questions Required information Exercise 5-21 Complete the accounting cycle using receivable transactions ( LO5-1, 5-4, 5-5, 5-7, 5-8) [The following information applies to
6 parts questions
Required information Exercise 5-21 Complete the accounting cycle using receivable transactions ( LO5-1, 5-4, 5-5, 5-7, 5-8) [The following information applies to the questions displayed below.] On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: During January 2021, the following transactions occur: January 2 Provide services to customers for cash, $43,100. January 6 Provide services to customers on account, $80,460. January 15 Write off accounts receivable as uncollectible, $2,000. January 20 Pay cash for salaries, $32,200. January 22 Receive cash on accounts receivable, $78,000. January 25 Pay cash on accounts payable, $6,300. January 30 Pay cash for utilities during January, $14,500. 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.) Journal entry worksheet Record the providing of services to customers for cash, $43,100. Note: Enter debits before credits. a. The company estimates future uncollectible accounts. The company determines $5,800 of accounts receivable on January 31 are past due, and 20% of these accounts are estimated to be uncollectible. The remaining accounts recelvable on January 31 are not past due, and 5% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.) b. Supplies at the end of January total $650. c. Accrued interest revenue on notes receivable for January. Interest is expected to be received each December 31 . d. Unpaid salaries at the end of January are $34,300, 2. Record 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.) Journal entry worksheet The company estimates future uncollectible accounts. The company determines $5,800 of accounts receivable on January 31 are past due, and 20% of these accounts are estimated to be uncollectible. The remaining accounts recelvable on January 31 are not past due, and 5% of these accounts. Note: Enter debits before credits. 3. Prepare an adjusted trial balance as of January 31, 2021. 4. Prepare an income statement for the period ended January 31, 2021. 5. Prepare a classified balance sheet as of January 31, 2021. (Deductible amount should be indicated with by a minus sign.) 6. Record closing entries. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet 2 Record the closing entry for revenue. Note: Enter debits belore credits Step by Step Solution
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