On January 1, 2018, the general ledger of Redbud Company includes the following account balances:

1.		Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1 - 10) assuming a FIFO perpetual inventory system. Review the 'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances.
2.		Record adjusting entries on January 31. in the 'General Journal' tab (these are shown as items 11-14).
3.		Review the adjusted 'Trial Balance' as of January 31, 2018, in the 'Trial Balance' tab.
4.		Prepare a multiple-step income statement for the period ended January 31, 2018, in the 'Income Statement' tab.
5.		Prepare a classified balance sheet as of January 31, 2018, in the 'Balance Sheet' tab.
6.		Record the closing entries in the 'General Journal' tab (these are shown as items 15 and 16).

On January 1, 2018, the general ledger of Redbud Company includes the following account balances: Accounts Debit Credit Cash Accounts Receivable Inventory Land $24,100 42,000 41,000 78,100 Allowance for Uncollectible Accounts Accounts Payable Notes Payable (12%, due in 3 years) Common Stock Retained Eamings 2,500 29,700 41,000 67,000 45,000 Totals S 185,200 S 185,200 The $41,000 beginning balance of inventory consists of 410 units, each costing $100. During January 2018, Redbud had the following inventory transactions: January 3 Purchase 2,000 units for $218,000 on account ($109 each). January 8 Purchase 2,100 units for $239,400 on account ($114 each). January 12 Purchase 2,200 units for $261,800 on account ($119 each). January 15 Return 155 of the units purchased on January 12 because of defects. January 19 Sell 6,400 units on account for $960,000. The cost of the units sold is determined using a FIFO perpetual inventory system. January 22 Receive $950,000 from customers on accounts receivable. January 24 Pay $680,000 to inventory suppliers on accounts payable. January 27 Write off accounts receivable as uncollectible, $2,000. January 31 Pay cash for salaries during January, $125,000 The following information is available on January 31, 2018 a. At the end of January, the company estimates that the remaining units of inventory are expected to sell in February for only $100 each. b. The company estimates future uncollectible accounts. The company determines $5,100 of accounts receivable on January 31 are past due, and 40% 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.) c. Accrued interest expense on notes payable for January. Interest is expected to be paid each December 31 d. Accrued income taxes at the end of January are $13,400