Required information Exercise 8-19 (Static) 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 Accounts Receivable Allowance for Uncollectible Accounts Inventory Land Equipment Accumulated Depreciation Accounts Payable Notes Payable (6%, due April 1, 2025). Common Stock Retained Earnings Totals Debit $ 25,100 46,200 20,000 46,000 15,000 $ 152,300 Credit $ 4,200 1,500 28,500 50,000 35,000 33,100 $152,300 During January 2024, the following transactions occur; January 2 Sold gift cards totaling $8,000. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account, $147,000. ACME uses the perpetual inventory system. January 15 Firework sales for the first half of the month total $135,000. All of these sales are on account. The cost of the units sold is $73,800. January 23 Receive $125,400 from customers on accounts receivable. January 25 Pay $90,000 to inventory suppliers on accounts payable.. January 28 Write off accounts receivable as uncollectible, $4,800. January 30 Firework sales for the second half of the month total $143,000. Sales include $11,000 for cash and $132,000 on account. The cost of the units sold is $79,500. January 31 Pay cash for monthly salaries, $52,000.
Required information Exercise 8-19 (Static) 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 Accounts Receivable Allowance for Uncollectible Accounts Inventory Land Equipment Accumulated Depreciation Accounts Payable Notes Payable (6%, due April 1, 2025). Common Stock Retained Earnings Totals Debit $ 25,100 46,200 20,000 46,000 15,000 $ 152,300 Credit $ 4,200 1,500 28,500 50,000 35,000 33,100 $152,300 During January 2024, the following transactions occur; January 2 Sold gift cards totaling $8,000. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account, $147,000. ACME uses the perpetual inventory system. January 15 Firework sales for the first half of the month total $135,000. All of these sales are on account. The cost of the units sold is $73,800. January 23 Receive $125,400 from customers on accounts receivable. January 25 Pay $90,000 to inventory suppliers on accounts payable.. January 28 Write off accounts receivable as uncollectible, $4,800. January 30 Firework sales for the second half of the month total $143,000. Sales include $11,000 for cash and $132,000 on account. The cost of the units sold is $79,500. January 31 Pay cash for monthly salaries, $52,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Concept explainers
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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
a3
![(7)
es
!
Required information
Exercise 8-19 (Static) 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
Accounts Receivable
Allowance for Uncollectible Accounts
Inventory
Land
Equipment
Accumulated Depreciation
Accounts Payable
Notes Payable (6%, due April 1, 2025)
Common Stock
Retained Earnings
Totals
Debit
$ 25,100
46,200
20,000
46,000
15,000
$ 152,300
Credit
$ 4,200
1,500
28,500
50,000
35,000
33,100
$152,300
During January 2024, the following transactions occur
January 2 Sold gift cards totaling $8,000. The cards are redeemable for merchandise within one year of the purchase
date..
January 6 Purchase additional inventory on account, $147,000. ACME uses the perpetual inventory system.
January 15 Firework sales for the first half of the month total $135,000. All of these sales are on account. The cost
of the units sold is $73,800.
January 23 Receive $125,400 from customers on accounts receivable.
January 25 Pay $90,000 to inventory suppliers on accounts payable..
January 28 Write off accounts receivable as uncollectible, $4,800.
January 30 Firework sales for the second half of the month total $143,000. Sales include $11,000 for cash and $132,000
on account. The cost of the units sold is $79,500.
January 31 Pay cash for monthly salaries, $52,000.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb8fbaff6-e03b-45e4-b556-77ef81e251b1%2F206deedc-2f47-47ab-a386-72a0a425027f%2Fr1anddg_processed.jpeg&w=3840&q=75)
Transcribed Image Text:(7)
es
!
Required information
Exercise 8-19 (Static) 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
Accounts Receivable
Allowance for Uncollectible Accounts
Inventory
Land
Equipment
Accumulated Depreciation
Accounts Payable
Notes Payable (6%, due April 1, 2025)
Common Stock
Retained Earnings
Totals
Debit
$ 25,100
46,200
20,000
46,000
15,000
$ 152,300
Credit
$ 4,200
1,500
28,500
50,000
35,000
33,100
$152,300
During January 2024, the following transactions occur
January 2 Sold gift cards totaling $8,000. The cards are redeemable for merchandise within one year of the purchase
date..
January 6 Purchase additional inventory on account, $147,000. ACME uses the perpetual inventory system.
January 15 Firework sales for the first half of the month total $135,000. All of these sales are on account. The cost
of the units sold is $73,800.
January 23 Receive $125,400 from customers on accounts receivable.
January 25 Pay $90,000 to inventory suppliers on accounts payable..
January 28 Write off accounts receivable as uncollectible, $4,800.
January 30 Firework sales for the second half of the month total $143,000. Sales include $11,000 for cash and $132,000
on account. The cost of the units sold is $79,500.
January 31 Pay cash for monthly salaries, $52,000.
Transcribed Image Text:7
1
Exercise 8-19 (Static) Part 6
6. Record closing entries. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first ac
field.)
View transaction list
Journal entry worksheet
1
Record the entry to close the revenue accounts.
2
Note: Enter debits before credits.
Date
January 31, 2024
Record entry
General Journal
Clear entry
Debit
Credit
View general journal
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