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On January 1, 2021, the general ledger of Freedom Fireworks includes the following account balances: Credit Accounts Cash Accounts Receivable Inventory Land Buildings Allowance for
On January 1, 2021, the general ledger of Freedom Fireworks includes the following account balances: Credit Accounts Cash Accounts Receivable Inventory Land Buildings Allowance for Uncollectible Accounts Accumulated Depreciation Accounts Payable Common Stock Retained Earnings Totals Debit $ 13, 100 37,880 153,980 86,30 139, eee $ 3,700 11,500 38,60 219,000 157,3ee $430, 100 $430, 100 During January 2021, the following transactions occur January Borrow $119,000 from Captive Credit Corporation. The installment note bears interest at 6% annually and matures 1 in 5 years. Payments of $2,301 are required at the end of each month for 68 months. January Receive $32,900 from customers on accounts receivable. 10 January Pay cash on accounts payable, $30,000 January Pay cash for salaries, $30,800. 15 January Firework sales for the month total $210,800. Sales include $66,908 for cash and $143,908 on account. The cost 30 of the units sold is $122,000. January Pay the first monthly installment of $2,301 related to the $119, eee borrowed on January 1. Round your interes 31 calculation to the nearest dollar. 4. Prepare a multiple-step income statement for the period ended January 31, 2021. Freedom Fireworks Multiple-Step Income Statement For the month ended January 31, 2021 Gross Profit Expenses: Total Operating Expenses
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