On January 1, 2021, the general ledger of Big Blest Fireworks includes the following account balances: Accounts Debit Credit Cash Accounts Receivable Allowance for Uncollectible Accounts $ 23, 300 48,...


On January 1, 2021, the general ledger of Big Blest Fireworks includes the following account balances:<br>Accounts<br>Debit<br>Credit<br>Cash<br>Accounts Receivable<br>Allowance for Uncollectible Accounts<br>$ 23, 300<br>48, e00<br>$ 4, 580<br>Inventory<br>Land<br>Accounts Payable<br>Notes Payable (6%, due in 3 ycars)<br>37, 200<br>72,188<br>28,980<br>37,000<br>63, 0ee<br>39, 0ee<br>Common Stock<br>Retained Earnings<br>Totals<br>$172,400 $172,480<br>The $37,000 beginning balance of inventory consists of 370 units, eoch costing $100. During Janusry 2021, Big Blast<br>Fireworks had the following inventory transections:<br>January 3 Purchase 1,62e units for $168, 800 on account ($1es cach).<br>January 8 Purchase 1,7e8 units for $187,800 on account ($118 cach).<br>January 12 Purchase 1,88e units for $207, 8ee on account ($115 cach).<br>January 15 Return 135 of the units purchased on January 12 because of defects.<br>January 19 Sell 5,200 units on account<br>for $780,eee. The cost of the units sold is deternined using a FIFO perpetual<br>inventory systen.<br>January 22 Receive $753, eee from custoners on accounts receivable.<br>January 24 Pay $520, 8ee to inventory supplicrs on accounts payable.<br>January 27 Mrite off accounts receivable as uncollectible, $3,200.<br>January 31 Pay cash for salaries during January, $121,e00.<br>The following information is available on January 31, 2021.<br>a. At the end of Jenuary, the company estimstes that the remsining units of inventory are expected to sell in February for<br>only $100 each.<br>b. The company estimates future uncollectible sccounts. The company determines $4,700 of accounts receivable on<br>January 31 are psst due, and 35% of these accounts are estimated to be uncollectible. The remaining accounts<br>receivable on January 31 are not past due, and 5% of these accounts ere estimsted to be uncollectible. (Hint: Use the<br>January 31 accounts receiveble balance calculated in the general ledger.)<br>c. Accrued interest expense on notes payable for January. Interest is expected to be paid esch December 31.<br>d. Accrued income taxes at the end of January are $13,000.<br>equired:<br>Record esch of the transactions listed above, assuming a FIFO perpetual inventory system. (If no entry Is required for a<br>ansaction/event, select

Extracted text: On January 1, 2021, the general ledger of Big Blest Fireworks includes the following account balances: Accounts Debit Credit Cash Accounts Receivable Allowance for Uncollectible Accounts $ 23, 300 48, e00 $ 4, 580 Inventory Land Accounts Payable Notes Payable (6%, due in 3 ycars) 37, 200 72,188 28,980 37,000 63, 0ee 39, 0ee Common Stock Retained Earnings Totals $172,400 $172,480 The $37,000 beginning balance of inventory consists of 370 units, eoch costing $100. During Janusry 2021, Big Blast Fireworks had the following inventory transections: January 3 Purchase 1,62e units for $168, 800 on account ($1es cach). January 8 Purchase 1,7e8 units for $187,800 on account ($118 cach). January 12 Purchase 1,88e units for $207, 8ee on account ($115 cach). January 15 Return 135 of the units purchased on January 12 because of defects. January 19 Sell 5,200 units on account for $780,eee. The cost of the units sold is deternined using a FIFO perpetual inventory systen. January 22 Receive $753, eee from custoners on accounts receivable. January 24 Pay $520, 8ee to inventory supplicrs on accounts payable. January 27 Mrite off accounts receivable as uncollectible, $3,200. January 31 Pay cash for salaries during January, $121,e00. The following information is available on January 31, 2021. a. At the end of Jenuary, the company estimstes that the remsining units of inventory are expected to sell in February for only $100 each. b. The company estimates future uncollectible sccounts. The company determines $4,700 of accounts receivable on January 31 are psst due, and 35% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 5% of these accounts ere estimsted to be uncollectible. (Hint: Use the January 31 accounts receiveble balance calculated in the general ledger.) c. Accrued interest expense on notes payable for January. Interest is expected to be paid esch December 31. d. Accrued income taxes at the end of January are $13,000. equired: Record esch of the transactions listed above, assuming a FIFO perpetual inventory system. (If no entry Is required for a ansaction/event, select "No journal entry required" In the first account field.) View transaction let Journal entry worksheet < 1="" 2="" 3="" 6="" 7="" 8="" 9="" 10="" 4="" record="" purchase="" of="" 1,800="" units="" for="" $207,000="" on="" account="" ($115="" each).="" note:="" enter="" debits="" before="" crecits.="" date="" general="" journal="" debit="" сrеdit="" january="" 12="" record="" entry="" clear="" entry="" vew="" general="">
Record the return of the 135 units purchased on January 12 because of<br>defects.<br>Note: Enter debits before crecits.<br>Date<br>General Jounal<br>Debit<br>Credit<br>January 15<br>Record entry<br>Clear ontry<br>Vew general jourmal<br>

Extracted text: Record the return of the 135 units purchased on January 12 because of defects. Note: Enter debits before crecits. Date General Jounal Debit Credit January 15 Record entry Clear ontry Vew general jourmal
Jun 11, 2022
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