[The following information applies to the questionsdisplayed below.]
On January 1, 2018, the general ledger of 3D Family Fireworksincludes the following account balances:
| Â Â Accounts | Debit | Credit |
| Â Â Cash | $ | 26,700 | | | | |
| Â Â Accounts Receivable | | 15,000 | | | | |
| Â Â Allowance for Uncollectible Accounts | | | | $ | 3,600 | |
| Â Â Supplies | | 3,900 | | | | |
| Â Â Notes Receivable (6%, due in 2 years) | | 18,000 | | | | |
| Â Â Land | | 80,300 | | | | |
| Â Â Accounts Payable | | | | | 8,500 | |
| Â Â Common Stock | | | | | 98,000 | |
| Â Â Retained Earnings | | | | | 33,800 | |
| | | | | | |
| Â Â Â Â Â Â Â Totals | $ | 143,900 | | $ | 143,900 | |
| | | | | | |
|
During January 2018, the following transactions occur:
 Â
January 2 Provide services to customers for cash, $49,100.
January 6 Provide services to customers on account, $86,400.
January 15 Write off accounts receivable as uncollectible,$3,300.
January 20 Pay cash for salaries, $32,800.
January 22 Receive cash on accounts receivable, $84,000.
January 25 Pay cash on accounts payable, $6,900.
January 30 Pay cash for utilities during January, $15,100.
Record each of the transactions listed above.
a. The company estimates future uncollectible accounts. Thecompany determines $4,300 of accounts receivable on January 31 arepast due, and 20% of these accounts are estimated to beuncollectible. The remaining accounts receivable on January 31 arenot past due, and 5% of these accounts are estimated to beuncollectible.
b. Supplies at the end of January total $950.
c. Accrued interest revenue on notes receivable for January.Interest is expected to be received each December 31.
d. Unpaid salaries at the end of January are $34,900.
2. Record adjusting entries on January 31 forthe above transactions.
3. Prepare an adjusted trial balance as ofJanuary 31, 2018.
