Francis Equipment Co. closes its books regularly on December 31, but at the end of 2014 it held its cash book open so that a more favorable balance sheet could be prepared for credit purposes. Cash receipts and disbursements for the first 10 days of January were recorded as December transactions. The information is given below.

1.	January cash receipts recorded in the December cash book totaled $54,230, of which $35,680 represents cash sales, and $18,550 represents collections on account for which cash discounts of $460 were given.
2.	January cash disbursements recorded in the December check register liquidated accounts payable of $31,610 on which discounts of $340 were taken.
3.	The ledger has not been closed for 2014.
4.	The amount shown as inventory was determined by physical count on December 31, 2014.

The company uses the periodic method of inventory.

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Prepare any entries you consider necessary to correct Franciss accounts at December 31.(If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

No.	Date	Account Titles and Explanation	Debit	Credit
1.	December 31
2.	December 31
3.	December 31
4.	December 31

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To what extent was Francis Equipment Co. able to show a more favorable balance sheet at December 31 by holding its cash book open? Assume that the balance sheet that was prepared by the company showed the following amounts:(Round ratios to 1 decimal place, e.g. 4.5.)

Dr.

Cr.

Cash $42,160 Accounts receivable 50,910 Inventory 76,280 Accounts payable $49,650 Other current liabilities15,700