On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances: Accounts Debit Credit Cash $23,300 Accounts Receivable 40,000 Allowance for Uncollectible Accounts $4,500 Inventory 37,000 Land 72,100 Accounts Payable 28,900 Notes Payable (6%, due in 3 years) 37,000 Common Stock 63,000 Retained Earnings 39,000 Totals $172,400 $172,400 The $37,000 beginning balance of inventory consists of 370 units, each costing $100. During January 2024, Big Blast Fireworks had the following inventory transactions: January 3 Purchase 1,600 units for $168,000 on account ($105 each). January 8 Purchase 1,700 units for $187,000 on account ($110 each). January 12 Purchase 1,800 units for $207,000 on account ($115 each). January 15 Return 135 of the units purchased on January 12 because of defects. January 19 Sell 5,200 units on account for $780,000. The cost of the units sold is determined using a FIFO perpetual inventory system. January 22 Receive $753,000 from customers on accounts receivable. January 24 Pay $520,000 to inventory suppliers on accounts payable. January 27 Write off accounts receivable as uncollectible, $3,200. January 31 Pay cash for salaries during January, $121,000. The following information is available on January 31, 2024. a. At the end of January, the company estimates that the remaining units of inventory purchased on January 12 are expected to sell in February for only $100 each. [Hint: Determine the number of units remaining from January 12 after subtracting the units returned on January 15 and the units assumed sold (FIFO) on January 19.] b. The company records an adjusting entry for $3,300 for estimated future uncollectible accounts. c. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31. d. The company accrues income taxes at the end of January of $13,000. Required: 1. Record each of the transactions listed above, assuming a FIFO perpetual inventory system. (If no entry is required for transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 Record purchase of 1,600 units for $168,000 on account ($105 each). Note: Enter debits before credits. Date January 03 110 General Journal Debit Credit > View general journal Record entry Clear entry a. At the end of January, the company estimates that the remaining units of inventory purchased on January 12 are expected to sell in February for only $100 each. [Hint: Determine the number of units remaining from January 12 after subtracting the units returned on January 15 and the units assumed sold (FIFO) on January 19.] b. The company records an adjusting entry for $3,300 for estimated future uncollectible accounts. c. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31. d. The company accrues income taxes at the end of January of $13,000. 2. Record adjusting entries on January 31 for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet c. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31. d. The company accrues income taxes at the end of January of $13,000. 5. Prepare a classified balance sheet as of January 31, 2024. (Amounts to be deducted should be indicated with a minus sign.) BIG BLAST FIREWORKS Classified Balance Sheet January 31, 2024 Assets 0 Total current assets 0 Total current liabilities Liabilities 0 Total liabilities 0 Stockholders' Equity Total stockholders' equity 0 $ 0 Total assets Total liabilities and stockholders' equity $ 0 b. The company records an adjusting entry for $3,300 for estimated future uncollectible accounts. c. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31. d. The company accrues income taxes at the end of January of $13,000. 6. Record closing entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet