Freedom Fireworks

Using the General Ledger, complete the appropriate multi-step income statement and balance sheet. After, complete the analysis.

(adjusted balances given below)

(post-closing balances given below)

Require... | Journal Ledger Balance Statem... Sheet Analysis Each journal entry is posted automatically to the general ledger. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Adjusted General Ledger Account Cash Debit No. Credit No. Accounts receivable Date Debit Credit Dec 31 Jan 09 20,400 Jan 22 / 18,600 Balance 48,500 68,900 50,300 46,000 2 7 20,900 18,500 1 4 5 6 7 8 9 10 Date Jan 01 Jan 02 Jan 12 Jan 15 Jan 21 Jan 22 Jan 29 Jan 30 Jan 31 Balance 44,700 90,700 69,800 51,300 102,400 121,000 116,760 133,560 89,560 51,100 18,600 4,240 16,800 44,000 Supplies Debit Credit Equipment Debit Credit No. No. Date Jan 01 Balance 84,000 3 12 Date Dec 31 Jan 10 Jan 31 6,900 1 Balance 9,500 16,400 7,100 9,300 No. Accumulated depreciation Date Debit Credit Dec 31 Jan 31 2,000 No. Balance 11,000 13,000 Accounts payable Date | Debit Credit Dec 31 Jan 10 6,900 Jan 15 18,500 Balance 16,600 23,500 5,000 13 3 5 Income taxes payable Date | Debit Credit No. Utilities payable Debit Credit Balance 0 1 8,2008 ,200 No. Balance Date Dec 31 Jan 31 11 14 Jan 31 3 ,100 3,100 Common stock Debit Credit Treasury stock Debit Credit No. No. Balance Date Dec 31 Jan 02 Balance 20,000 22,300 Date Dec 31 Jan 12 Jan 30 1 2,300 4 9 20,900 15,200 20,900 5,700 No. No. Paid-in capital-excess of par Date Debit Credit Balance Jan 01 100,000 Jan 02 43,700 143,700 Jan 30 1,600 145,300 Retained earnings Date Debit Credit Dec 31 Balance 39,100 1 9 Dividends Debit Credit Service revenue Debit Credit No. No. Balance Date Dec 31 Jan 29 Balance 0 1 4,240 8 4,240 2 6 Date Dec 31 Jan 09 Jan 21 20,400 51,100 20,400 71,500 Depreciation expense Date Debit Credit Dec 31 Jan 31 2,000 Supplies expense Debit Credit No. Balance No. Balance Date Dec 31 Jan 31 13 2,000 12 9,300 9,300 Salaries expense Debit Credit Utilities expense Debit Credit No. Balance No. Balance Date Dec 31 Jan 31 Date Dec 31 Jan 31 0 10 4 4,000 44,000 11 8,200 8,200 No. Balance Income tax expense Date Debit Credit Dec 31 Jan 31 3,100 14 3,100 C. Journal | Ledger Balance Statem... | Sheet Each journal entry is posted automatically to the general ledger. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Post-closi General Ledger Account Cash Debit No. No. Accounts receivable Date Debit Credit Dec 31 Jan 09 20,400 Jan 22 18,600 Balance 48,500 68,900 50,300 46,000 2 7 1 4 5 6 7 8 9 10 Date Jan 01 Jan 02 Jan 12 Jan 15 Jan 21 | Jan 22 Jan 29 Jan 30 Jan 31 Credit Balance 44,700 90,700 20,90069,800 18,500 51,300 102,400 121,000 4,240 116,760 133,560 44,000 89,560 51,100 18,600 16,800 Supplies Debit Credit Equipment Debit Credit No. No. Date Jan 01 Balance 84,000 Date Dec 31 Jan 10 Jan 31 Balance 9,500 16,400 7,100 6,900 3 12 9,300 Accumulated depreciation Date Debit Credit Dec 31 Jan 31 2,000 Accounts payable Debit Credit No. No. Balance 11,000 13,000 Date Dec 31 Jan 10 Jan 15 Balance 16,600 23,500 5,000 13 6,900 3 5 18,500 Utilities payable Debit Credit Income taxes payable Date Debit Credit No. Balance No. Date Dec 31 Jan 31 Balance 0 3,100 11 8,200 8,200 14 Jan 31 3 ,100 Common stock Debit Credit Treasury stock Debit Credit No. No. Balance Date Dec 31 Jan 02 Balance 20,000 22,300 Date Dec 31 Jan 12 Jan 30 1 2,300 4 Jan 20,900 9 15,200 20,900 5,700 No. No. Paid-in capital-excess of par Date Debit Credit Balance Jan 01 100,000 Jan 02 43,700 143,700 Jan 30 | 1,600 145,300 Retained earnings Date Debit Credit Dec 31 Jan 31 | 71,500 Jan 31 66,600 Balance 39,100 110,600 44,000 1 9 15 16 Dividends Debit Credit Service revenue Debit Credit No. Balance No. Balance Date Dec 31 Jan 29 8 4,240 4,240 2 6 15 Date Dec 31 Jan 09 Jan 21 Jan 31 20,400 51,100 20,400 71,500 0 71,500 Supplies expense Debit Credit No. Balance Depreciation expense Date | Debit Credit Dec 31 Jan 31 2.000 Jan 31 1 2,000 No. 1 13 16 0 Balance 0 2,000 0 Date Dec 31 Jan 31 Jan 31 9,300 12 16 9,300 9,3000 Utilities expense Debit Credit Balance No. Balance Salaries expense No. | Date Debit Credit Dec 31 10 Jan 3144,000 16 Jan 31 44,000 ol 44,000 0 8, 200 Date Dec 31 Jan 31 Jan 31 11 16 8 8,200 ,200 0 Balance Income tax expense No. Date Debit Credit | Dec 31 14 Jan 31 3,100 16 Jan 31 3,100 3,100 0 General General Require... **** | Journal | Ledger Trial Balance Income Balance Statem... Sheet Analysis Prepare an income statement for the period ended January 31, 2021. Choose the appropriate accounts to complete the company's income statement. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Show less Adjusted Freedom Fireworks Multiple-Step Income Statement For the Month ended January 31, 2021 Total revenue $ 0 Total operating expenses Require... General General Trial Income Balance Analysis Journal Ledger Balance Statem... Sheet Prepare a classified balance sheet as of January 31, 2021. Choose the appropriate accounts to complete the company's balance sheet. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Show less Adjusted Freedom Fireworks Classified Balance Sheet January 31, 2021 Liabilities Current Liabilities: Assets Current Assets: 0 Total Current Assets Noncurrent Assets: Total Current Liabilities Stockholders' Equity Total Stockholders' Equity Total Liabilities & Stockholders' Equity Total Assets General General Require... || Journal | Ledger Trial Balance Income Balance Statem... || Sheet Analysis Using the information from the requirements above, complete the 'Analysis'. (Round "Return on Equity" value to 1 decimal place and "Earnings per share" value to 2 decimal places.) Analyze the following for Grand Finale Fireworks: l(a) Calculate the return on equity for the month of January. If the average return on equity for the industry for January is 2.5%, is the company more or less profitable than other companies in the same industry? The return on equity is: % Is the company more or less profitable than other companies? (b) How many shares of common stock are outstanding as of January 31, 2021? The number of common shares outstanding as of January 31, 2021 is (c) Calculate earnings per share for the month of January. (Hint: To calculate average shares of common stock outstanding take the beginning shares outstanding plus the ending shares outstanding and divide the total by 2.) If earnings per share was $2.4 last year (i.e., an average of $0.2 per month). is earnings per share for January 2021 better or worse than last year's average? Earnings per share is: Is earnings per share for January 2021 better or worse than last year's average? Balance Sheet Analysis)