E3-21 On January 1, 2024, the general ledger of Dynamite Fireworks includes the following account balances: Accounts Debit Credit Cash $23,900 Accounts Receivable 13,600 Allowance for Uncollectible Accounts $1,400 Supplies 2,500 Notes Receivable (6%, due in 2 years) 20,000 Land 77,000 Accounts Payable 7,200 Common stock 96,000 Retained Earnings 32,400 Totals $137,000 $137,000 During January 2024, the following transactions occur: 2-Jan Provide services to customers for cash, $35,100. 6-Jan Provide services to customers on account, $72,400. 15-Jan Write off accounts receivable as uncollectible, $1,000. (Assume the company uses the allowance met 20-Jan Pay cash for salaries, $31,400 22-Jan Receive cash on accounts receivable, $70,000. 25-Jan Pay cash on accounts payable, $5,500. 30-Jan Pay cash for utilities during January, $13,700.Required: 1 . 2 . 3. Record each of the transactions listed above. Record adjusting entries on January 31. a. The company estimates future uncollectible accounts. The company determines $5,000 of accounts receivable on January 31 are past due, and 20% of these accounts are estimated to be uncollectible. The remaining accounts receivable 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 to split total accounts receivable into the $5,000 past due and the remaining amount not past due.) b. Supplies at the end of January total $700. All other supplies have been used. 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 $33,500. Prepare an adjusted trial balance as of January 31, 2024, after updating beginning balances (above) for transactions during January (Requirement 1) and adjusting entries at the end of January (Requirement 2) [Note: a worksheet is provided and the trial balance there counts for this] OONmU'l-P- Prepare an income statement for the period ended January 31, 2024. Prepare a classified balance sheet as of January 31, 2024. Record the closing entries. Prepare a post-closing trial balance (Cathy added) Analyze how well 3D Family Fireworks manages its receivables: a. Calculate the receivables turnover ratio for the month of January. (Hint: For the numerator, use total services provided to customers on account.) If the industry average of the receivables turnover ratios for the month of January is 4.2 times, is the company collecting cash from customers more or less efficiently than other companies in the same industry? b. Calculate the ratio of Allowance for Uncollectible Accounts to Accounts Receivable at the end of January. Based on a comparison of this ratio to the same ratio at the beginning of January, does the company expect an improvement or worsening in cash collections from customers on credit sales