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 Comon Stock, 31 par value Additional Pald-in Capital Retained Earnings Totals Debit Credit $44,400 47,900 9,200 81,090 $ 19,700 16,300 17,000 97,000 41,500 $182,500 3162,500 During January 2021. the following transactions occur January 2 Issue an additional 2,100 shares of $1 par value common stock for $12,000. January Provide services to customers on account, 319,300. January 10 Purchase additional supplies on account, 56,600 January 12 Purchase 1,200 shares of treasury stock for $20 per Share January 15 Pay cash on accounts payable, $18,200 January 21 Pravide services to customers for cash, 350,000 January 22 Receive cash on accounts receivable, $18,300 January 29 Declare a cash dividend of $0.28 per Share to all shares outstanding on January 20, the dividend payable on February 15. Hint Orand Finale Fireworks had 17,000 shares outstanding on Manuary 2021 and dividends are not paid on treasury stock, January 10 Retels 500 shares of treasury stock for $22 per Share: January 31 Pay cash for salaries aurteanuary $43,700 isted aboveW no entry is required for a transaction levent, select No Journal entry required in 1. Record each of the transaction the first account field.) a. Unpaid utilities for the month of January are $7.900 b. Supplies at the end of January total $6,800.. c. Depreciation on the equipment for the month of January is calculated using the straightline method At the time the equipment was purchased the company estimated a service life of three years and a residual value of S11700. . Accrued income taxes at the end of January are $2,800. 2. Record the adjusting entries on January 31, 2021 for the above transactions. (If no entry is required for a transaction levent, select "No journal entry required" in the first account field.) a. Unpaid utilities for the month of January are $7,900 b. Supplies at the end of January total $6,800, c. Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $11700. d. Accrued Income taxes at the end of January are $2,800 3. Prepare an adjusted trial balance as of January 31, 2021 4. Prepare an income statement for the period ended January 31, 2021. GRAND FINALE FIREWORKS 1 21, dhe on February 15. (Hint: Grand Finale Fireworks had 2.0 Shares Outstanding on dividends are not paid on treasury stock.) January 30 Resell 500 shares of treasury stock for $22 per share. January 31 Pay cash for salaries during January, $43,700. 5. Prepare a classified balance sheet as of January 31, 2021 (Amounts to be deducted should be indicated by a minus sign.) January 30 Resell 500 shares of treasury stock for $22 per share. January 31 Pay cash for salaries during January, $43,700. 6. Record closing entries. Of no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
