Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1.2024, the general ledger of ACME Fireworks includes the following account batances: During January 2024, the following transactions occur: date. the unite nold

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
On January 1.2024, the general ledger of ACME Fireworks includes the following account batances: During January 2024, the following transactions occur: date. the unite nold is 803 , 160 . January 23 kecelve $127,400 fcon euptoners on sobounts recelvable. Jahuiry 31 on account, the cont of the unity nold in $59,500. The following informationis avalable on January 31. a. Depreciation on the equipment for the month of January is calculated using the straight-line method. At the time the equipment was putchased, the company estimated a residual value of 55,200 and o two-year service life. b. The company records an adjusting entry for $17,340 for estimated future uncollectible arecoints: d. The campary has accrusdincome takes at the end of Jancory of $15,000 e. By the end of sanuary, $5,000 of the gift cards sold on January 2 hive been redeemed (lanore cost of goods sold). Post-closing \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ ACME Fireworks } \\ \hline \multicolumn{1}{|c|}{ Income Statement } \\ \hline For the Month Ended January 31, 2024 \\ \hline & & \\ \hline Gross Profit & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total Operating Expenses & & \\ \hline Operating Income & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Post-closing \begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ ACME Fireworks } \\ \hline \multicolumn{4}{|c|}{ Classified Balance Sheot } \\ \hline \multicolumn{4}{|c|}{ January 31, 2024} \\ \hline \multicolumn{2}{|l|}{ Assets } & \multicolumn{2}{|l|}{ Liabilities } \\ \hline Current Assets: & & Current Liabilities: & \\ \hline & s & & \\ \hline & 0 & & \\ \hline & 0 & & \\ \hline & 0 & & + \\ \hline & & & \\ \hline & 0 & Total Current Liablities & 0 \\ \hline & 0 & Long-term Llabilities: & \\ \hline & 0 & & \\ \hline & 0 & * & \\ \hline & 0 & 3 & \\ \hline Total Current Assets & 0 & Total Liabilities & 0 \\ \hline Property. Plant and Equipment: & & Stockholders' E & \\ \hline & & & 0 \\ \hline & & + & 0 \\ \hline & & & \\ \hline & & Total Stockholders' Equity & 0 \\ \hline Total Assots & s & Total Liabilities \& Stockholders' Equily & $ \\ \hline \end{tabular} Income statement Analysis Using the information from the requirements above, complete the 'Analysis' tab. (Calculate the ratios to the nearest 2 places.) On January 1.2024, the general ledger of ACME Fireworks includes the following account batances: During January 2024, the following transactions occur: date. the unite nold is 803 , 160 . January 23 kecelve $127,400 fcon euptoners on sobounts recelvable. Jahuiry 31 on account, the cont of the unity nold in $59,500. The following informationis avalable on January 31. a. Depreciation on the equipment for the month of January is calculated using the straight-line method. At the time the equipment was putchased, the company estimated a residual value of 55,200 and o two-year service life. b. The company records an adjusting entry for $17,340 for estimated future uncollectible arecoints: d. The campary has accrusdincome takes at the end of Jancory of $15,000 e. By the end of sanuary, $5,000 of the gift cards sold on January 2 hive been redeemed (lanore cost of goods sold). Post-closing \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ ACME Fireworks } \\ \hline \multicolumn{1}{|c|}{ Income Statement } \\ \hline For the Month Ended January 31, 2024 \\ \hline & & \\ \hline Gross Profit & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total Operating Expenses & & \\ \hline Operating Income & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Post-closing \begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ ACME Fireworks } \\ \hline \multicolumn{4}{|c|}{ Classified Balance Sheot } \\ \hline \multicolumn{4}{|c|}{ January 31, 2024} \\ \hline \multicolumn{2}{|l|}{ Assets } & \multicolumn{2}{|l|}{ Liabilities } \\ \hline Current Assets: & & Current Liabilities: & \\ \hline & s & & \\ \hline & 0 & & \\ \hline & 0 & & \\ \hline & 0 & & + \\ \hline & & & \\ \hline & 0 & Total Current Liablities & 0 \\ \hline & 0 & Long-term Llabilities: & \\ \hline & 0 & & \\ \hline & 0 & * & \\ \hline & 0 & 3 & \\ \hline Total Current Assets & 0 & Total Liabilities & 0 \\ \hline Property. Plant and Equipment: & & Stockholders' E & \\ \hline & & & 0 \\ \hline & & + & 0 \\ \hline & & & \\ \hline & & Total Stockholders' Equity & 0 \\ \hline Total Assots & s & Total Liabilities \& Stockholders' Equily & $ \\ \hline \end{tabular} Income statement Analysis Using the information from the requirements above, complete the 'Analysis' tab. (Calculate the ratios to the nearest 2 places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions