Credit Debit $ 60,200 28,000 $ 3,700 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Notes Receivable (5%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 37,800 30,000 170,000 16,300 235,000 71,000 $326,000 $326,000 During January 2021, the following transactions occur January 1 Purchase equipment for $21,000. The company estimates a residual value of $3,000 and a six-year service life. January 4 Pay cash on accounts payable, $11,000. January 8 Purchase additional inventory on account, $97,900. January 15 Receive cash on accounts receivable, $23,500. January 19 Pay cash for salaries, $31,300. January 28 Pay cash for January utilities, $18,000. January 30 Sales for January total $235,000. All of these sales are on account. The cost of the units sold is $122,500. The following information is available on January 31, 2021. a. Depreciation on the equipment for the month of January is calculated using the straight-line method. b. The company estimates future uncollectible accounts. The company determines $4,500 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) C. Accrued interest revenue on notes receivable for January d. Unpaid salaries at the end of January are $34,100. e. Accrued income taxes at the end of January are $10,500. Credit Debit $ 60,200 28,000 $ 3,700 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Notes Receivable (5%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 37,800 30,000 170,000 16,300 235,000 71,000 $326,000 $326,000 During January 2021, the following transactions occur January 1 Purchase equipment for $21,000. The company estimates a residual value of $3,000 and a six-year service life. January 4 Pay cash on accounts payable, $11,000. January 8 Purchase additional inventory on account, $97,900. January 15 Receive cash on accounts receivable, $23,500. January 19 Pay cash for salaries, $31,300. January 28 Pay cash for January utilities, $18,000. January 30 Sales for January total $235,000. All of these sales are on account. The cost of the units sold is $122,500. The following information is available on January 31, 2021. a. Depreciation on the equipment for the month of January is calculated using the straight-line method. b. The company estimates future uncollectible accounts. The company determines $4,500 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) C. Accrued interest revenue on notes receivable for January d. Unpaid salaries at the end of January are $34,100. e. Accrued income taxes at the end of January are $10,500