80.2K

Verified Solution

Link Copied!

Please help me understand how to get 12 & 13 (Circled In Red)

On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances: Credit Debit $ 25,100 14,200 $ 2,000 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Supplies Notes Receivable (6%, due in 2 years) Land Accounts Payable Common Stock Retained Earnings Totals 3,100 26,000 77,600 9,000 102,000 33,000 $146,000 $146,000 During January 2021, the following transactions occur: January 2 Provide services to customers for cash, $41,100. January 6 Provide services to customers on account, $78,400. January 15 Write off accounts receivable as uncollectible, $1,600. January 20 Pay cash for salaries, $32,000. January 22 Receive cash on accounts receivable, $76,000. January 25 Pay cash on accounts payable, $6,100. January 30 Pay cash for utilities during January, $14,300. The following information is available on January 31, 2021. a. The company estimates future uncollectible accounts. The company determines $5,600 of accounts receivable on January 31 are past due, and 20% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 5% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.) b. Supplies at the end of January total $1,000. 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 $34,100 NO Date Jan 02, 2021 General Journal 1 Credit Cash Service Revenue Debit 41,100 41,100 2 Jan 06, 2021 Accounts Receivable Service Revenue 78,400 78.400 3 Jan 15, 2021 Allowance for Uncollectible Accounts Accounts Receivable 1,600 > 1,600 Jan 20, 2021 Salaries Expense Cash 32,000 > 32,000 o 5 Jan 22, 2021 Cash Accounts Receivable . 76,000 76.000 6 Jan 25, 2021 Accounts Payable Cash 6,100 6,100 7 Jan 30, 2021 Utilities Expense Cash 14,300 14,300 lan 31 2021 Rad Debt Fxpense > 1 190 Prou 8 Jan 31, 2021 Bad Debt Expense Allowance for Uncollectible Accounts 1,190 1.190 9 Jan 31, 2021 2,100 Supplies Expense Supplies 2,100 10 Jan 31, 2021 Interest Receivable 130 Interest Revenue 130 11 Jan 31, 2021 > 34,100 Salaries Expense Salaries Payable 34,100 12 Jan 31, 2021 Cash 13 Jan 31, 2021 No Journal Entry Required Requirement General Ledger >

Answer & Explanation Solved by verified expert

See Answer