Exercise $8-19($Algo$)$ Complete the accounting cycle $($LO$8-1,8-2,8-4,8-6)$

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On January $1,2024,$ the general ledger of ACME Fireworks includes the following account balances:

Accounts Debit Credit

Cash $$25,700$

Accounts Receivable $47,400$

Allowance for Uncollectible Accounts $$4,800$

Inventory $20,600$

Land $52,000$

Equipment $18,000$

Accumulated Depreciation $2,100$

Accounts Payable $29,100$

Notes Payable $(6\%,$ due April $1,2025)56,000$

Common Stock $41,000$

Retained Earnings $30,700$

Totals $$163,700$ $$163,700$

During January $2024,$ the following transactions occur:

January $2$ Sold gift cards totaling $$9,200.$ The cards are redeemable for merchandise within one year of the purchase date.

January $6$ Purchase additional inventory on account, $$153,000.$ ACME uses the perpetual inventory system.

January $15$ Firework sales for the first half of the month total $$141,000.$ All of these sales are on account. The cost of the units sold is $$76,800.$

January $23$ Receive $$126,000$ from customers on accounts receivable.

January $25$ Pay $$96,000$ to inventory suppliers on accounts payable.

January $28$ Write off accounts receivable as uncollectible, $$5,400.$

January $30$ Firework sales for the second half of the month total $$149,000.$ Sales include $$13,000$ for cash and $$136,000$ on account. The cost of the units sold is $$82,500.$

January $31$ Pay cash for monthly salaries, $$52,600.$

Exercise $8-19($Algo$)$ Part $5$

$5.$ Prepare a classified balance sheet as of January $31,2024$