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On January 1, 2018, the general ledger of TNT Fireworks includes the following account balances: Debit Cash Accounts Receivable $ 59,100 25.,800 38,700 16,800 Notes

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On January 1, 2018, the general ledger of TNT Fireworks includes the following account balances: Debit Cash Accounts Receivable $ 59,100 25.,800 38,700 16,800 Notes Receivable (5%, due in 2 years) Land 159,000 2.600 Accounts Payable Common Stock Retained Eaming 5,200 224,000 55,600 Totals 297 400 $297.400 During January 2018, the following transactions occur: January 1 Purchase equipment for $18,900. The company estmates a residual value of $1,900 and a five-year service ife January 4 Pay cash on accounts payable, $9,900 January 8 Purchase additsional inventory on account $86,900 January 15 Receive cash on acoounts recelivable, $22,400 January 19 Pay cash for salaries, January 28 Pay cash for January ubilities, $16,900 $30,200 January 30 Frework sales for January total $224,000. All of these sales are on account. The cost of the units sold is $117,000 The following information is available on January 31, 2018 a. Depreciation on the equipment for the month of January is calculated using the stralight-line method b. The company estimates future uncollectible accounts. At he end of January, consider ng the otal or ng balance ofthe accou nts recevable account, 400 now ast due ok e than 90 days), while te remainder of the balance is orrent less than 90 days old) The company estr atos that 50% of the past due balance will be rootectible and om, 3% of the current balance will become uncollectible c. Accrued interest revenue on notes receivable for January d. Unpaid salaries at the end of January are $33,000 e. Accrued income taxes at the end of January are $9,400 Journal entry worksheet 0 0 12 14 15 Prepare the adjusting entry for depreciation. Note: Enter debits before credits. Date Account Title Debit Credit Jan 31 Depreciation expense Accumulated depreciation Record entry Clear entry View general journal Journal entry worksheet 8 9 10 12 13 14 15 Prepare the adjusting entry for uncollectible accounts. Note: Enter debits before credits Date Account Title Debit Credit Jan 31Bad debt expense Allowance for uncollectible accounts Record entry Clear entry View general journal View transaction list Journal entry worksheet 9 10 12 13 14 15 Prepare the adjusting entry for interest. Note: Enter debits before credits. Date Account Title Credit Jan 31 Interest receivable nterest revenue Record entry Clear entry View general journal Requirement General Ledger If no entry is required for a transaction/event, select "No journal entry required" in the first account field View transaction list Journal entry worksheet 10 1 12 1 14 15 8 13 Prepare the adjusting entry for salaries. Note: Enter debits before credits. Date Account Title Debit Credit Jan 31Salaries expense Salaries payable Record entry Clear entry View general journal GeneralTrial Balance Statement Income Balance Sheet Requirement Genera Journal If no entry is required for a transaction/event, select "No journal entry required" in the first account fie View transaction list Journal entry worksheet D O O O | 131 14 15 8 9 10 12 Prepare the adjusting entry for income tax. Note: Enter debits before credits. Date Account Title Debit Credit income tax expense Income tax payable Jan 31 Record entry Clear entry View general journal General Trial Balance Statement Income Balance Sheet General Requirement Journal If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 10 12 13 15 8 Prepare the closing entry for revenue. Note: Enter debits before credits Debit Credit Account Title Date Jan 31 View general journal Record entry Clear entry RequirementJournal Ledger rial Balance Statement Balance Sheet If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 9 10 12 13 14 15 Prepare the closing entry for expenses. Note: Enter debits before credits. Date Account Title Debit Credit Jan 31 Record entry Clear entry View general journal GeneralTrial Balance Statement Ledger Income Balance Sheet Journal Choose the appropriate accounts to complete the company's income statement. Select 'adj will then populate the balances in those accounts from the adjusted trial balance Unadjusted TNT Fireworks Multiple-Step Income Statement For the year ended January 31, 2018 224,000 (117.000) Sales revenue Cost of goods sold $ 107,000 Gross profit Salaries expense Utilities expense Depreciation expense Bad debt expense Salaries expense Income tax expense Total operating expenses 30,200 16,900 30,200 77,300 29,700 Operating income Income after taxes 29,700 Interest revenue Net loss $ 29,700 Choose the appropriate accounts to complete the company's balance sheet. Make sure to select 'adjusted' fr dropdown, which will then populate the balances in those accounts from the adjusted trial balance. Adjusted TNT Fireworks Balance Sheet January 31, 2018 Assets Liabilities Current Assets: Current Liabilities: Total Current Liabilities Total Current Assets 0 Total Liabilities Noncurrent Assets: Stockholders' Equity Total Stockholders' Equity 0 Total Liabilities &Stockholders' Equity Total Assets

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