On January 1, 2018, the general ledger of 3D Family Fireworks includes the following account balances: Accounts Cash Debit $25,300 Credit Accounts Receivable 14,300 Allowance for Uncollectible Accounts $ 2,200 Supplies 3,200 Notes Receivable (6%, due in 2 years) 27,000 Land 77,700 Accounts Payable Common Stock Retained Earnings Totals 9,200 103,000 33,100 $147,500 $147,500 During January 2018, the following transactions occur: January 2 Provide services to customers for cash, $42,100. January 6 Provide services to customers on account, $79,400. January 15 Write off accounts receivable as uncollectible, $1,800. January20 Pay cash for salaries, $32,100. January22 Receive cash on accounts receivable, $77,000. January25 Pay cash on accounts payable, $6,200. January30 Pay cash for utilities during January, $14,400. The following information is available on January 31, 2018. a. The company estimates future uncollectible accounts. The company determines $5,700 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.) b. Supplies at the end of January total $600. 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 $34,200. No Date 1 Jan 02 Cash Service revenue 2 Jan 06 Accounts receivable Service revenue General Journal Debit Credit 42,100 42,100 79,400 79,400 3 Jan 15 Allowance for uncollectible accounts 1,800 Accounts receivable 1,800 4 Jan 20 Salaries expense Cash 5 Jan 22 Cash Accounts receivable 6 Jan 25 Accounts payable Cash 7 Jan 30 Utilities expense Cash 32,100 32,100 77,000 77,000 6,200 6,200 14,400 14,400 8 Jan 31 Bad debt expense 1,200 Allowance for uncollectible accounts 1,200 9 Jan 31 Supplies expense Supplies 2,600 2,600 10 Jan 31 Interest receivable Interest revenue 11 Jan 31 Salaries expense Salaries payable 135 135 34,200 34,200 9 Jan 31 Supplies expense 10 Jan 31 Supplies Interest receivable Interest revenue 11 Jan 31 Salaries expense Salaries payable 12 Jan 31 Service revenue Interest revenue Retained earnings 13 Jan 31 Retained eamings Salaries expense Utilities expense Bad debt expense Supplies expense 2,600 135 34,200 121,500 135 2,600 135 34,200 121,635 84,500 66,300 14,400 1,200 2,600 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 $34,200. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Enter your Accounts Receivable turnover value in one decimal place and Ratio of Allowance for Uncollectible Accounts in Whole number. Analyze how well 3D Family Fireworks manages its receivables 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 4.6 times, is the company collecting cash from customers more or less efficiently than other companies in the same industry? Accounts Receivable turnover: The company is collecting more efficiently. (true or false) times (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? Ratio of Allowance for Uncollectible Accounts to Accounts Receivable Should the company expect improving or worsening conditions? % < Balance Sheet Analysis > General Requirement Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Choose the appropriate accounts to complete the company's balance sheet. Make sure to select 'adjusted' from the dropdown, which will then populate the balances in those accounts from the adjusted trial balance. Post-closing Assets Current Assets: Total Current Assets Noncurrent Assets: 3D Family Fireworks Balance Sheet January 31, 2018 Current Liabilities: Liabilities Total Current Liabilities 0 0 Total Liabilities 0 Stockholders' Equity: Total Stockholders' Equity 0 Total Assets $ 0 Total Liabilities & Stockholders' Equity $ 0 General Requirement Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Choose the appropriate accounts to complete the company's income statement. Select 'adjusted' from the dropdown, which will then populate the balances in those accounts from the adjusted trial balance. Post-closing Revenue Service revenue Interest revenue Total Revenue Expenses Supplies expense Salaries expense Utilities expense Bad debt expense Total Expenses Net income 3D Family Fireworks Income Statement For Month Ended January 31, 2018 $ 0 0 $ 0 0 0 0 0 < Trial Balance 0 $ 0 Balance Sheet >