Pharoah Company's balance sheet at December 31, 2021, is presented below. Cash Accounts receivable Allowance for doubtful accounts Inventory Jan. 1 3 8 11 15 17 21 24 27 31 During January 2022, the following transactions occurred. Pharoah uses the perpetual inventory method. Adjustment data: 1. 2. Pharoah Company Balance Sheet December 31, 2021 3. 4. $13,720 20,500 (780) 9,550 $42,990 Accounts payable Common stock Retained earnings $8,680 20,700 13,610 (You may want to set up T-accounts to determine ending balances.) $42,990 Pharoah accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $4,800 account. Pharoah wrote off as uncollectible the accounts of Walter Corporation ($500) and Drake Company ($300). Pharoah purchased $16,380 of inventory on account. Pharoah sold for $25,800 on account inventory that cost $16,470. Pharoah sold inventory that cost $670 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Pharoah by First Bank is 3%. Pharoah collected $21,600 from customers on account. Pharoah paid $17,600 on accounts payable. Pharoah received payment in full ($300) from Drake Company on the account written off on January 3. Pharoah purchased advertising supplies for $1,280 cash. Pharoah paid other operating expenses, $3,260. Interest is recorded for the month on the note from January 1. Bad debts are expected to be 6% of the January 31, 2022, accounts receivable. A count of advertising supplies on January 31, 2022, reveals that $540 remains unused. The income tax rate is 30%. (Hint: Prepare the income statement up to Income before taxes and multiply by 30% to compute the amount; round to whole dollars.)

Pharoah Company's balance sheet at December 31, 2021, is presented below. During January 2022, the following transactions occurred. Pharoah uses the perpetual inwentory method, Jan. Pharoahaccepted a 4 -month, 8% note from Betheny Company in payment of Betheny's $4,800 account. 3 Pharoah wrote off as uncollectible the accounts of Walter Corporation (\$500) and Drake Company (\$300). 8 Pharoah purchased $16,380 of inventory on account. 11 Pharoah sold for $25,800 on account imventory that cost $16,470. 15 Pharoah sold inventory that cost $670 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Pharoah by First Bank is 3% 17 Pharoah collected $21,600 from customers on account. 21 Pharoah paid $17,600 on accounts payable. 24 Pharoah received payment in full ($300) from Drake Company on the account written off on lanuary 3. 27 Pharoah purchased advertising supglies for $1,280 cash. P1. Pharoah paid other operating expenses, $3.260 Adjustment data: 1. Interest is recorded for the month on the note from January 1. 2. Bad debts are expected to be 6% of the January 31. 2022, accounts recelvable. 3. A count of advertising supplies on January 31, 2022, reveals that 5540 remains unused. 4. The income tax rate is 30%. (Hint Prepare the income statement up to income before taxes and multiply by 30 is to compute the amount: round to whole dollars.) (You may want to set up T-accounts to determine ending balances)