On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances: Credit Accounts Debit $44,100 47,300 8,900 78,000 Cash Accounts Rece ivable Supplies Equipment Accumulated Depreciation Accounts Payable Common Stock, $1 par value Additional Paid-in Capital Retained Earnings 10,400 16,000 14,000 94,000 43,900 $178,300 $178,300 Totals During January 2021, the following transactions occur: January January January 10 Purchase additional supplies on account, $6,300. January 12 Purchase 1,100 shares of treasury stock for $21 per share. January 15 Pay cash on accounts payable, $17,900. January 21 Provide services to customers for cash, $50,500. January 22 Receive cash on accounts receivable, $18,000. January 29 Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000. 9 Provide services to customers on account, $18,200. February 15. (Hint: Grand Finale Fireworks had 14,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.) on January 30 Resell 800 shares of treasury stock for $23 per share January 31 Pay cash for salaries during January, $43,400 The following information is available on January 31, 2021. a. Unpaid utilities for the month of January are $7,600 b. Supplies at the end of January total $6,500. c. Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $11,400. d. Accrued income taxes at the end of January are $2,500. General General Income Balance Sheet Trial Balance Requirement Analysis Ledger Journal Statement 1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1 - 10) assuming a FIFO perpetual inventory system. Review the 'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances. 2. Record adjusting entries on January 31. in the 'General Journal' tab (these are shown as items 11-14) 3. Review the adjusted 'Trial Balance' as of January 31, 2021, in the 'Trial Balance' tab. 4. Prepare a multiple-step 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 15-17) 7. Using the information from the requirements above, complete the 'Analysis' tab Salaries Expense Jan 31 10 43,400 Cash 43,400 Utilities Expense Jan 31 7,600 11 Utilities Payable 7,600 Jan 31 Supplies Expense 2,400 Supplies 2,400 Depreciation Expense Accumulated Depreciation 13 Jan 31 Income Tax Expense 14 Jan 31 Income Tax Payable Jan 31 Service Revenue Retained Earnings Retained Earnings Jan 31 16 Supplies Expense Salaries Expense Depreciation Expense Income Tax Expense Utilities Expense Retained Earnings 17 Jan 31 Dividends General Ledger Requirement 12 15 Analyze the following for Grand Finale Fireworks: (a) Calculate the return on equity for the month of January. If the average return on equity for the industry for January is 2.40%, is the company more or less profitable than other companies in the same industry? The return on equity is: % Is the company more or less profitable than other companies? (b) How many shares of common stock are outstanding as of January 31, 2021? The number of common shares outstanding as of January 31, 2021 is (c) Calculate earnings per share for the month of January. (Hint: To calculate average shares of common stock outstanding take the beginning shares outstanding plus the ending shares outstanding and divide the total by 2.) If earnings per share was $3.60 last year (i.e., an average of $0.30 per month), is earnings per share for January 2021 better or worse than last year's average? Earnings per share is: Is earnings per share for January 2021 better or worse than last year's average