On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances:

Accounts	Debit	Credit
Cash	$24,700
Accounts Receivable	43,500
Allowance for Uncollectible Accounts		$3,100
Inventory	44,000
Land	82,600
Accounts Payable		28,200
Notes Payable (9%, due in 3 years)		44,000
Common Stock		70,000
Retained Earnings		49,500
Totals	$194,800	$194,800

The $44,000 beginning balance of inventory consists of 440 units, each costing $100. During January 2024, Big Blast Fireworks had the following inventory transactions:

January 3	Purchase 1,250 units for $133,750 on account ($107 each).
January 8	Purchase 1,350 units for $151,200 on account ($112 each).
January 12	Purchase 1,450 units for $169,650 on account ($117 each).
January 15	Return 170 of the units purchased on January 12 because of defects.
January 19	Sell 4,200 units on account for $630,000 The cost of the units sold is determined using a FIFO perpetual inventory system.
January 22	Receive $617,000 from customers on accounts receivable.
January 24	Pay $420,000 to inventory suppliers on accounts payable.
January 27	Write off accounts receivable as uncollectible, $2,300.
January 31	Pay cash for salaries during January, $133,000.

The following information is available on January 31, 2024.

1. 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.]
2. The company records an adjusting entry for $3,800. for estimated future uncollectible accounts.
3. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31.
4. The company accrues income taxes at the end of January of $13,700.

Choose the appropriate accounts to complete the company's income statement. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Prepare a classified balance sheet as of January 31,2024 . Choose the appropriate accounts to complete the company's balance sheet. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. a) Calculate the inventory turnover ratio for the month of January. If the industry average of the inventory turnover ratio for the month of January is 13.3 imes, is the company managing its inventory more or less efficiently than other companies in the same industry? The inventory turnover ratio is: s the company managing its inventory more or less efficiently than other companies in the same industry? b) Calculate the gross profit ratio for the month of January. If the industry average gross profit ratio is 27%, is the company more or less profitable per dollar of sales than other companies in the same industry? 'c) Used together, what might the inventory turnover ratio and gross profit ratio suggest about Big Blast Fireworks' business strategy? Is the company's trategy to sell a higher volume of less expensive items or does the company appear to be selling a lower volume of more expensive items? 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.)