Answered step by step
Verified Expert Solution
Question
1 Approved Answer
PLEASE show me what I am missing in the balance sheet thank you that's all begin{tabular}{|c|c|c|c|} hline multicolumn{4}{|c|}{ Answer is complete and correct. }
PLEASE show me what I am missing in the balance sheet thank you that's all
\begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ Answer is complete and correct. } \\ \hline \multicolumn{4}{|c|}{ BIG BLAST FIREWORKS } \\ \hline \multicolumn{4}{|c|}{ Multiple-Step Income Statement } \\ \hline \multicolumn{4}{|c|}{ For the Month Ended January 31, 2024} \\ \hline Sales revenue & $ & $600,000 & \\ \hline Cost of goods sold & & 438,500 & \\ \hline Gross profit & & & $161,500 \\ \hline Salaries expense & 2 & 128,000 & \\ \hline Bad debt expense & ) & 3,000 & \\ \hline Total operating expens & & & 131,000 \\ \hline Operating income ( & & & 30,500 \\ \hline Interest expense & & & 200 \\ \hline Income before taxe & 2 & & 30,300 \\ \hline Income tax expense & 2 & & 12,300 \\ \hline Net income & & & 18,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ Answer is complete and correct. } \\ \hline \multicolumn{4}{|c|}{ BIG BLAST FIREWORKS } \\ \hline \multicolumn{4}{|c|}{ Adjusted Trial Balance } \\ \hline \multicolumn{4}{|c|}{ January 31, 2024} \\ \hline Accounts & & Debit & Credit \\ \hline Cash & s & $63,900 & \\ \hline Accounts receivable & ? & 54,000 & \\ \hline Allowance for uncolle & & & 3,600 \\ \hline Inventory & & 10,000 & \\ \hline Land & & 61,600 & \\ \hline Accounts payable & & & 40,900 \\ \hline Interest payable & & & 200 \\ \hline Income tax payable & & & 12,300 \\ \hline Notes payable & & & 30,000 \\ \hline Common stock & & & 56,000 \\ \hline Retained earnings & & & 28,500 \\ \hline Sales revenue & & & 600,000 \\ \hline Cost of goods sold & & 438,500 & \\ \hline Salaries expense & & 128,000 & \\ \hline Interest expense & & 200 & \\ \hline Income tax expense & & 12,300 & \\ \hline Bad debt expense & & 3,000 & \\ \hline & $ & $771,500 & $771,500 \\ \hline \end{tabular} Required information On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances: The $30,000 beginning balance of inventory consists of 300 units, each costing $100. During January 2024 , Big Blast Fireworks had the following inventory transactions: January 3 Purchase 1,200 units for $126,000 on account ( $105 each). January 8 Purchase 1,300 units for $143,000 on account ( $110 each). January 12 Purchase 1,400 units for $161,000 on account ( $115 each). January 15 Return 100 of the units purchased on January 12 because of defects. January 19 Sell 4,000 units on account for $600,000. The cost of the units sold is determined using a FIFo perpetual inventory system. January 22 Receive $580,000 from customers on accounts receivable. January 24 Pay $410,000 to inventory suppliers on accounts payable. January 27 Write off accounts receivable as uncollectible, \$2,500. January 31 Pay cash for salaries during January, $128,000. 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 $3,000 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 $12,300. 6. Record closing entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ Answer is not complete. } \\ \hline \multicolumn{5}{|c|}{ BIG BLAST FIREWORKS } \\ \hline \multicolumn{5}{|c|}{ Classified Balance Sheet } \\ \hline \multicolumn{5}{|c|}{ January 31, 2024} \\ \hline \multicolumn{3}{|l|}{ Assets } & \multicolumn{2}{|l|}{ Liabilities } \\ \hline Cash & & $63,900 & Accounts payable & $40,900 \\ \hline Inventory & & 10,000 & Interest payable & 200 \\ \hline Accounts receivable & & 54,000 & Income tax payable & 12,300 \\ \hline Less: Allowance & (3,600) & (3,600) & & \\ \hline Total current assets & & 124,300 & Total current liabilities & 53,400 \\ \hline \multirow[t]{6}{*}{ Land } & & 61,600 & Notes payable & 30,000 \\ \hline & & & Total liabilities & 83,400 \\ \hline & & & Stockholders' Equity & \\ \hline & & & Common stock & 56,000 \\ \hline & & & Retained earnings & 46,500 \\ \hline & & & Total stockholders' equity & 102,500 \\ \hline Total assets & & $185,900 & Total liabilities and stockholders' equity & $185,900 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ Answer is complete and correct. } \\ \hline No & Date & General Jou & & Debit & Credit \\ \hline \multirow[t]{2}{*}{1} & January 31 & Cost of Goods Sold & 2 & 1,500 & \\ \hline & & Inventory & ( ) & & 1,500 \\ \hline \multirow[t]{2}{*}{2} & January 31 & Bad Debt Expense & & 3,000 & \\ \hline & & Allowance for Uncollectible Accounts & 2 & & 3,000 \\ \hline \multirow[t]{2}{*}{3} & January 31 & Interest Expense & & 200 & \\ \hline & & Interest Payable & 2 & & 200 \\ \hline \multirow[t]{2}{*}{4} & January 31 & Income Tax Expense & & 12,300 & \\ \hline & & Income Tax Payable & & & 12,300 \\ \hline \end{tabular}
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started