the general ledger of Grand Finale Fireworks includes the following account balances:
Need help with this assignment?Get an original answer from a qualified tutor — from $10/page.
Get it written →
The following information applies to the questions displayed below.]
On January 1, 2024, the general ledger of Grand Finale Fireworks includes the following account balances:
| Accounts | Debit | Credit |
|---|---|---|
| Cash | $42,700 | |
| Accounts Receivable | 44,500 | |
| Supplies | 7,500 | |
| Equipment | 64,000 | |
| Accumulated Depreciation | $9,000 | |
| Accounts Payable | 14,600 | |
| Common Stock, $1 par value | 10,000 | |
| Additional Paid-in Capital | 80,000 | |
| Retained Earnings | 45,100 | |
| Totals | $158,700 | $158,700 |
During January 2024, the following transactions occur:
| January 2 | Issue an additional 2,000 shares of $1 par value common stock for $40,000. |
|---|---|
| January 9 | Provide services to customers on account, $14,300. |
| January 10 | Purchase additional supplies on account, $4,900. |
| January 12 | Purchase 1,000 shares of treasury stock for $18 per share. |
| January 15 | Pay cash on accounts payable, $16,500. |
| January 21 | Provide services to customers for cash, $49,100. |
| January 22 | Receive cash on accounts receivable, $16,600. |
| January 29 | Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint:Grand Finale Fireworks had 10,000 shares outstanding on January 1, 2024, and dividends are not paid on treasury stock.) |
| January 30 | Resell 600 shares of treasury stock for $20 per share. |
| January 31 | Pay cash for salaries during January, $42,000. |
- Unpaid utilities for the month of January are $6,200.
- Supplies at the end of January total $5,100.
- Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $10,000.
- Accrued income taxes at the end of January are $2,000
A/ Prepare an adjusted trial balance as of January 31, 2024
B/Prepare a classified balance sheet as of January 31, 2024. (Amounts to be deducted should be indicated by a minus sign.)
Get a plagiarism-free answer to this question
Send us your instructions and we’ll match you with the best writer in your subject.
- 100% human-written, zero AI
- Turnitin report included
- Confidential — we never share your data
- Free revisions & refunds