PLEASE CAN YOU HELP ME SOLVE MY MISTAKES. YOU DON'T NEED TO DO EVERYTHING JUST WHERE YOU SEE RED X WHICH MEANS WRONG. THANK YOU!!

On January 1, 2021, the general ledger of TNT Fireworks includes the following account balances: Credit Debit $ 59,900 27,400 $ 3,400 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Notes Receivable (5%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 37,500 26,400 167,000 16,000 232,000 66,800 $ 318,200 $ 318,200 During January 2021, the following transactions occurred: January 1 Purchased equipment for $20,700. The company estimates a residual value of $2,700 and a six-year service life. January 4 Paid cash on accounts payable, $10,700. January 8 Purchased additional inventory on account, $94,900. January 15 Received cash on accounts receivable, $23, 200 January 19 Paid cash for salaries, $31,000. January 28 Paid cash for January utilities, $17,700. January 30 Firework sales for January totaled $232,000. All of these sales were on account. The cost of the units sold was $121,000 The following information is available on January 31, 2021. a. Depreciation on the equipment for the month of January is calculated using the straight-line method. b. At the end of January, $4,200 of accounts receivable are past due, and the company estimates that 50% of these accounts will not be collected. Of the remaining accounts receivable, the company estimates that 3% will not be collected. The note receivable of $26,400 is considered fully collectible and therefore is not included in the estimate of uncollectible accounts. C. Accrued interest revenue on notes receivable for January. d. Unpaid salaries at the end of January are $33,800. e. Accrued income taxes at the end of January are $10,200. General Journal Credit No 1 Date Jan 01 Debit 20,700 Equipment Cash 20,700 Jan 04 10,700 Accounts payable Cash 10,700 Jan 08 94,900 Inventory Accounts payable 94,900 Jan 15 23,200 Cash Accounts receivable 23,200 Jan 19 31,000 Salaries expense Cash 31,000 6 Jan 28 17,700 Utilities expense Cash 17,700 Jan 30 232,000 Accounts receivable Sales revenue 232,000 Jan 30 121,000 Cost of goods sold Inventory 121,000 Jan 31 250 Depreciation expense Accumulated depreciation 250 10 Jan 31 Bad debt expense 9,060 Allowance for uncollectible accounts 9,060 X 11 Jan 31 110 Interest receivable Interest revenue 110 12 Jan 31 33.800 Salaries expense Salaries payable 33,800 13 Jan 31 10,200 Income tax expense Income tax payable 10,200 14 Jan 31 Sales revenue Interest revenue Retained earnings 000 232,000 250 % 232,250 X 15 Jan 31 189,210 X Retained earnings Cost of goods sold Salaries expense Utilities expense Depreciation expense Bad debt expense Income tax expense 121,000 31,000 17,700 250 9,060 10.200 Using the information from the requirements above, complete the 'Analysis'. (Round final answers to 1 decimal place.) Analyze how well TNT Fireworks manages its assets: (a) Calculate the return on assets ratio for the month of January. If the average return on assets for the industry in January is 2%, is the company more or less profitable than other companies in the same industry? The return on assets ratio is: 2.0 X % The company is more profitable. (True or False) True (b) Calculate the profit margin for the month of January. If the industry average profit margin is 5%, is the company more or less efficient at converting sales to profit than other companies in the same industry? The profit margin is: 3.9 X % The company is more efficient at converting sales to profit. (True or False) True (c) Calculate the asset turnover ratio for the month of January. If the industry average asset turnover is 0.4 times per month, is the company more or less efficient at producing revenues with its assets than other companies in the same industry? The asset turnover ratio is: 0.5 times The company is more efficient at producing revenues with its assets. (True or False) True