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[The following information applies to the questions displayed below.] On January 1, Year 1, the general ledger of a company includes the following account balances:

Accounts	Debit				Credit
Cash	$	60,400
Accounts Receivable		28,400
Allowance for Uncollectible Accounts					$	3,900
Inventory		38,000
Notes Receivable (5%, due in 2 years)		32,400
Land		172,000
Accounts Payable						16,500
Common Stock						237,000
Retained Earnings						73,800
Totals	$	331,200			$	331,200

During January Year 1, the following transactions occur:

January		1		Purchase equipment for $21,200. The company estimates a residual value of $3,200 and a four-year service life.
January		4		Pay cash on accounts payable, $11,200.
January		8		Purchase additional inventory on account, $99,900.
January		15		Receive cash on accounts receivable, $23,700.
January		19		Pay cash for salaries, $31,500.
January		28		Pay cash for January utilities, $18,200.
January		30		Sales for January total $237,000. All of these sales are on account. The cost of the units sold is $123,500.

Information for adjusting entries:

1. Depreciation on the equipment for the month of January is calculated using the straight-line method.
2. The company estimates future uncollectible accounts. The company determines $4,700 of accounts receivable on January 31 are past due, and 50% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 3% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.)
3. Accrued interest revenue on notes receivable for January.
4. Unpaid salaries at the end of January are $34,300.
5. Accrued income taxes at the end of January are $10,700.
6. 

a-1. Calculate the return on assets ratio for the month of January Answer is complete but not entirely correct. Return on Assets Ratio Choose Numerator Net Income 9,100 Choose Denominator Average Total Assets 400,650 Return on Assets Ratio Return on assets 2.3% + Required information b-1. Calculate the profit margin for the month of January Answer is complete but not entirely correct. Choose Numerator Net Sales 237,000 Prett Man Choose Denominator Average Total Assets - 400.650 - Profils Margin Profit Margin 59.29 b-2. If the industry average profit margin is 4%, is the company more or less officient at converting sales to profit than other companies in the same industry? More efficient Less efficient Requirement 3: 6-1. Calculate the asset turnover ratio for the month of January Choose Numerator Asset Turnover Ratio Choose Denominator Asset Turnover Ratio Asset Turnover O times c-2. If the industry average asset turnover is 0.4 times per month, is the company more or less efficient at producing revenues with its assets than other companies in the same industry? More efficient Less efficient

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