On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: Credit Debit $ 27,700 15,500 $ 4,600 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Supplies Notes Receivable (6%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 4,400 23,000 80,800 9,500 103,000 34,300 $151,400 $151,400 During January 2021, the following transactions occur: January 2 Provide services to customers for cash, $54,100. January 6 Provide services to customers on account, $91,400. January 15 Write off accounts receivable as uncollectible, $4,300. January 20 Pay cash for salaries, $33,300. January 22 Receive cash on accounts receivable, $89,000. January 25 Pay cash on accounts payable, $7,400. January 30 Pay cash for utilities during January, $15,600. The following information is available on January 31, 2021. a. The company estimates future uncollectible accounts. The company determines $4,800 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 nonoral lodnorl 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 $900. 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 $35,400. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis 1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1-7). Review the "General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions the account balances. 2. Record the adjusting entries in the 'General Journal' tab (these are shown as items 8-11). 3. Review the adjusted 'Trial Balance' as of January 31, 2021, in the 'Trial Balance' tab. 4. Prepare an income statement for the period ended January 31, 2021, in the 'Income Statement' tab. 5. Prepare a classified balance sheet as of January 31, 2021 in the 'Balance Sheet' tab. 6. Record the closing entries in the 'General Journal' tab (these are shown as items 12 and 13). 7. Using the information from the requirements above, complete the 'Analysis' tab. 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 $900. 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 $35,400. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Prepare the journal entries for transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Provide services to customers for cash, $54,100. Note: Enter debits before credits. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Each journal entry is posted automatically to the general ledger. Notice the dropdown below that gives the options to select the unadjusted, adjusted or post-closing account balance. The option you choose will be the values used to populate the trial balance, income statement and balance sheet tabs. Unadjusted General Ledger Account Cash Accounts Receivable Debit Credit No. Debit Credit No. Date Date Jan 01, 2021 Balance 27,700 Balance 15,500 Jan 01, 2021 Notes Receivable No. Allowance for Uncollectible Accounts Date Debit Credit Jan 01, 2021 No. Balance 4,600 Debit Credit Date Jan 01, 2021 Balance 23,000 Land Supplies Debit No. Credit Balance No. Debit Credit Date Jan 01, 2021 Date Jan 01, 2021 Balance 80,800 4,400 Accounts Payable Common Stock No. Date Debit Credit Balance No. Date Debit Credit Balance Cash Accounts Receivable Debit Credit No. Debit Credit No. Date Jan 01, 2021 Balance 27,700 Date Jan 01, 2021 Balance 15,500 Notes Receivable Debit Credit No. Allowance for Uncollectible Accounts Date Debit Credit Jan 01, 2021 Balance No. Date Jan 01, 2021 Balance 23,000 4,600 Supplies Land No. Debit Credit No. Debit Credit Date Jan 01, 2021 Balance 4,400 Date Jan 01, 2021 Balance 80,800 Accounts Payable Common Stock Debit Credit No. Debit Credit No. Balance Date Jan 01, 2021 Balance 9,500 Date Jan 01, 2021 103,000 Retained Earnings Debit Credit No. Balance Date Jan 01, 2021 34,300 > Requirement Journal Ledger Trial Balance Statement Balance Sheet Analysis Notice the dropdown below that gives the options to select the unadjusted, adjusted or post-closing trial balance. The option you choose will be the values used to populate the income statement and balance sheet tabs. Unadjusted 3D Family Fireworks Trial Balance January 30, 2021 Account Title Debit Credit S 27,700 15,500 4,600 23,000 4,400 Cash Accounts Receivable Allowance for Uncollectible Accounts Notes Receivable Supplies Land Accounts Payable Common Stock Retained Earnings Total 80,800 9,500 103,000 34,300 151,400 S 151,400 $ Requirement General 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. Unadjusted 3D Family Fireworks Income Statement For Month Ended January 31, 2021 Revenue: Total Revenue Expenses: Total Expenses Trial Balance Balance Sheet > Unadjusted 3D Family Fireworks Balance Sheet January 31, 2021 Assets Liabilities Current Assets: Current Liabilities: Total Current Liabilities Total Current Assets Total Liabilities Long-term assets: Stockholders' Equity Total Stockholders' Equity Total Liabilities & Stockholders' Equity Total Assets Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Analysis Enter your Accounts Receivable turnover value in 1 decimal place and Ratio of Allowance for Uncollectible Accounts in Whole number. Analyze how well 3D Family Fireworks manages its receivables (a) 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 5.4 times, is the company collecting cash from customers more or less efficiently than other companies in the same industry? Accounts Receivable turnover: times The company is collecting more efficiently. (true or false) (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?