! Required Information [The following information applies to the questions displayed below.) On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Accounts Payable Common Stock, $1 par value Additional Paid - in Capital Retained Earnings Totals Debit Credit $ 42,789 44,500 7,500 64,000 $ 9,000 14,600 10,000 80,000 45, 100 $158,799 $158,700 During January 2021, the following transactions occur January 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000 January 9 Provide services to customers on account, $14,300. January 10 Purchase additional supplies on account, $4,900 January 12 Purchase 1,800 shares of treasury stock for $18 per share. January 15 Pay cash on accounts payable, $16,500 January 21 Provide services to customers for cash, $49, 100. January 22 Receive cash on accounts receivable, $16,600. January 29 Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 10,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.) January 30 Resell Gee shares of treasury stock for $20 per share. January 31 Pay cash for salaries during January, $42,080. GRAND FINALE FIREWORKS Income Statement For the month ended January 31, 2021 Revenues Expenses Income Before Taxes 0 $ 0 a-1. Calculate the return on equity for the month of January Return on Equity Ratio Choose Denominator Choose Numerator Return on Equity Ratio Return on equity a-2. If the average return on equity for the industry for January is 2.5%, is the company more or less profitable than other the same industry? O More profitable O Less profitable How many shares of common stock are outstanding as of January 31, 2021? Number of common stock outstanding C-1. Calculate earnings per share for the month of January (Hint: To calculate average shares of common stock outstanding take the beginning shares outstanding plus the ending shares outstanding and divide the total by 2.) Earnings Per Share Choose Denominator Choose Numerator Earnings Per Share Earnings Per Share