! Required information Exercise 8-19 (Algo) Complete the accounting cycle (LO8-1, 8-2, 8-4, 8-6) [The following information applies to the questions displayed below] On January 1, 2024, the general ledger of ACME Fireworks includes the following account balances: Accounts Debit Credit Cash $26,000 Accounts Receivable 48,000 Allowance for Uncollectible Accounts $5,100 Inventory 20,900 Land 55,000 Equipment 19,500 Accumulated Depreciation 2,400 Accounts Payable 29,400 Notes Payable (6%, due April 1, 2025) 59,000 Common Stock 44,000 Retained Earnings 29,500 Totals $169,400 $169,400 During January 2024, the following transactions occur: January 2 Sold gift cards totaling $9,800. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account, $156,000. ACME uses the perpetual inventory system. January 15 Firework sales for the first half of the month total $144,000. All of these sales are on account. The cost of the units sold is $78,300. January 23 Receive $126,300 from customers on accounts receivable. January 25 Pay $99,000 to inventory suppliers on accounts payable. January 28 Write off accounts receivable as uncollectible, $5,700. January 30 Firework sales for the second half of the month total $152,000. Sales include $12,000 for cash and $140,000 on account. The cost of the units sold is $84,000. January 31 Pay cash for monthly salaries, $52,900. Exercise 8-19 (Algo) Part 3 3. Prepare an adjusted trial balance as of January 31, 2024.
! Required information Exercise 8-19 (Algo) Complete the accounting cycle (LO8-1, 8-2, 8-4, 8-6) [The following information applies to the questions displayed below] On January 1, 2024, the general ledger of ACME Fireworks includes the following account balances: Accounts Debit Credit Cash $26,000 Accounts Receivable 48,000 Allowance for Uncollectible Accounts $5,100 Inventory 20,900 Land 55,000 Equipment 19,500 Accumulated Depreciation 2,400 Accounts Payable 29,400 Notes Payable (6%, due April 1, 2025) 59,000 Common Stock 44,000 Retained Earnings 29,500 Totals $169,400 $169,400 During January 2024, the following transactions occur: January 2 Sold gift cards totaling $9,800. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account, $156,000. ACME uses the perpetual inventory system. January 15 Firework sales for the first half of the month total $144,000. All of these sales are on account. The cost of the units sold is $78,300. January 23 Receive $126,300 from customers on accounts receivable. January 25 Pay $99,000 to inventory suppliers on accounts payable. January 28 Write off accounts receivable as uncollectible, $5,700. January 30 Firework sales for the second half of the month total $152,000. Sales include $12,000 for cash and $140,000 on account. The cost of the units sold is $84,000. January 31 Pay cash for monthly salaries, $52,900. Exercise 8-19 (Algo) Part 3 3. Prepare an adjusted trial balance as of January 31, 2024.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
Question
Transcribed Image Text:!
Required information
Exercise 8-19 (Algo) Complete the accounting cycle (LO8-1, 8-2, 8-4, 8-6)
[The following information applies to the questions displayed below.)
On January 1, 2024, the general ledger of ACME Fireworks includes the following account balances:
Accounts
Cash
Debit
$26,000
Credit
Accounts Receivable
48,000
Allowance for Uncollectible Accounts
$5,100
Inventory
20,900
Land
55,000
Equipment
19,500
Accumulated Depreciation
2,400
Accounts Payable
29,400
Notes Payable (6%, due April 1, 2025)
59,000
Common Stock
44,000
Retained Earnings
29,500
Totals
$169,400
$169,400
During January 2024, the following transactions occur:
January 2 Sold gift cards totaling $9,800. The cards are redeemable for merchandise within one year of the
purchase date.
January 6 Purchase additional inventory on account, $156,000. ACME uses the perpetual inventory system.
January 15 Firework sales for the first half of the month total $144,000. All of these sales are on account.
The cost of the units sold is $78,300.
January 23 Receive $126,300 from customers on accounts receivable.
January 25 Pay $99,000 to inventory suppliers on accounts payable.
January 28 Write off accounts receivable as uncollectible, $5,700.
January 30 Firework sales for the second half of the month total $152,000. Sales include $12,000 for cash
and $140,000 on account. The cost of the units sold is $84,000.
January 31 Pay cash for monthly salaries, $52,900.
Exercise 8-19 (Algo) Part 3
3. Prepare an adjusted trial balance as of January 31, 2024.
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