On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances:
On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: Accounts Debit Credit Cash $ 26,300 Accounts Receivable 14,800 Allowance for Uncollectible Accounts $3,200 Supplies 3,700 Notes Receivable (64, due in 2 years) 16,000 Land 80, 100 Accounts Payable 1 8,100 Common Stock 96,000 Retained Earnings 33,600 Totals $140,900 $140,900 During January 2021, the following transactions occur January 2 Provide services to customers for cash, $47,100. January 6 Provide services to customers on account, $84,400. January 15 Write off accounts receivable as uncollectible, $2,900. January 20 Pay cash for salaries, $32,600. January 22 Receive cash on accounts receivable, $82,000. January 25 Pay cash on accounts payable, 56,700. January 30 Pay cash for utilities during January, $14,900. The following information is available on January 31, 2021. a. The company estimates and records bad debt expense (and adds to the Allowance account through this journal entry) at the end of each month. At the end of January, the company determines that determines $4,100 of the total Accounts Receivable account is over 90 days old, with the remaining A/R balance being current (Hint use the A/R balance in the General Ledger Tob). 20% of the A/R older than 90 days is estimated to be uncollectible, and 5% of the current balance is estimated to be uncollectible. Please calculate the amount that needs to be added to the Allowance account and Bad Debt Expense and complete the journal entry. Watch video tutorial on this subject https://imeo.com/edivideo/review/254531867/7c9cc20218) b. Supplies at the end of January total $850. 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 $34,700. On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: Accounts Debit Credit Cash $ 26,300 Accounts Receivable 14,800 Allowance for Uncollectible Accounts $3,200 Supplies 3,700 Notes Receivable (64, due in 2 years) 16,000 Land 80, 100 Accounts Payable 1 8,100 Common Stock 96,000 Retained Earnings 33,600 Totals $140,900 $140,900 During January 2021, the following transactions occur January 2 Provide services to customers for cash, $47,100. January 6 Provide services to customers on account, $84,400. January 15 Write off accounts receivable as uncollectible, $2,900. January 20 Pay cash for salaries, $32,600. January 22 Receive cash on accounts receivable, $82,000. January 25 Pay cash on accounts payable, 56,700. January 30 Pay cash for utilities during January, $14,900. The following information is available on January 31, 2021. a. The company estimates and records bad debt expense (and adds to the Allowance account through this journal entry) at the end of each month. At the end of January, the company determines that determines $4,100 of the total Accounts Receivable account is over 90 days old, with the remaining A/R balance being current (Hint use the A/R balance in the General Ledger Tob). 20% of the A/R older than 90 days is estimated to be uncollectible, and 5% of the current balance is estimated to be uncollectible. Please calculate the amount that needs to be added to the Allowance account and Bad Debt Expense and complete the journal entry. Watch video tutorial on this subject https://imeo.com/edivideo/review/254531867/7c9cc20218) b. Supplies at the end of January total $850. 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 $34,700. Saved A Requirement General Journal General Ledger Trial Balance Income Statement Balance Choose the appropriate accounts to complete the company's income statement. will then populate the balances in those accounts from the adjusted trial balance Adjusted 36:39 3D Family Fireworks Income Statement For Month Ended January 31, 2021 Revenue: ook Total Revenue Expenses: 0 Total Expenses 0 $ 0
