On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: Credit Debit $ 26,100 14,700 $ 3,000 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Supplies Notes Receivable (6%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 3,600 15,000 80,000 7,900 95,000 33,500 $139,400 $139,400 During January 2021, the following transactions occur: January 2 Provide services to customers for cash, $46,100. January 6 Provide services to customers on account, $83,400. January 15 Write off accounts receivable as uncollectible, $2,500. January 20 Pay cash for salaries, $32,500. January 22 Receive cash on accounts receivable, $81,000. January 25 Pay cash on accounts payable, $6,600. January 30 Pay cash for utilities during January, $14,800. The following information is available on January 31, 2021. a. The company estimates future uncollectible accounts. The company determines $4,000 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 $800. 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 $34,600. View transaction list View journal entry worksheet General Journal Credit No 1 Date Jan 02, 2021 Debit 46,100 Cash Service Revenue 46,100 2 Jan 06, 2021 83,400 Accounts Receivable Service Revenue 83,400 3 Jan 15, 2021 2,500 Allowance for Uncollectible Accounts Accounts Receivable 2,500 4 Jan 20, 2021 32,500 Salaries Expense Cash 32,500 5 Jan 22, 2021 81,000 Cash Accounts Receivable 81,000 6 Jan 25, 2021 6,600 Accounts Payable Cash 6,600 7 Jan 30, 2021 14,800 Utilities Expense Cash 14,800 8 Jan 31, 2021 830 Bad Debt Expense Allowance for Uncollectible Accounts 830 Jan 31, 2021 2,800 Supplies Expense | Supplies 2,800 Cash 14,800 8 Jan 31, 2021 830 Bad Debt Expense Allowance for Uncollectible Accounts 830 9 Jan 31, 2021 2,800 Supplies Expense Supplies 2,800 10 Jan 31, 2021 Interest Receivable Interest Revenue 11 Jan 31, 2021 34,600 Salaries Expense Salaries Payable 34,600 12 Jan 31, 2021 Service Revenue Interest Revenue Retained Earnings 129,500 75 129,575 13 Jan 31, 2021 Retained Earnings Salaries Expense Utilities Expense Bad Debt Expense Supplies Expense 67,100 14,800 830 2,800 Requirement General Journal General Ledger Trial Balance Income 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. Post-closing 3D Family Fireworks Trial Balance January 31, 2021 Account Title Credit Debit 99,300 14,600 1,330 15,000 75 800 Cash Accounts Receivable Allowance for Uncollectible Accounts Notes Receivable Interest Receivable Supplies Land Accounts Payable Salaries Payable Common Stock Retained Earnings Total 80,000 1,300 34,600 95,000 163,075 $ 209.775 S 295,305 Choose the appropriate accounts to complete the company's income statement. Select will then populate the balances in those accounts from the adjusted trial balance. Post-closing 3D Family Fireworks Income Statement For Month Ended January 31, 2021 Revenue: Total Revenue Expenses: Total Expenses Post-closing 3D Family Fireworks Balance Sheet January 31, 2021 Assets Liabilities Current Assets: Current Liabilities: | 0 Total Current Liabilities 0 Total Current Assets Long-term assets: Total Liabilities 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 4.4 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? Balance Sheet Analysis