Journal Entries $-$ Problem $7-6($Algo$)$ Comprehensive problem $($LO$7-1,7-4,7-7)$

On January $1,2026,$ the general ledger of TNT Fireworks includes the following account balances:

$\backslash$table$[[$Accounts$,$Debit,Credit$],[$Cash$,\%59,500,],[$Accounts Receivable,$26,603,],[$Allowance for Uncollectible Accousts,,$$3,009],[$Irventory$,37,100,],[$Notes Receivable $(5x,$ due in $2$ years$),21,600,],[$Land$,163,008,],[$Accounts Payable,,$15,609],[$Common Stock,,$228,090],[$Retained Earnings,,$61,290],[$Totals$,$$ $307,809,5397,890]]$

During January $2026,$ the following transactions occur:

Jarnary $1$ Purchase equipeent for $$20,300.$ The compary estimates a residal value of $$2,300$ and a $5-$year service $31fe.$

January $4$ Pay cash on accounts payable, $$10,360.$

January $8$ Purchase additional inventery on account, $890,908.$

Jamary $15$ Receive cash on accounts receivable, $$22,800.$

Jamuary $19$ Pay cash for salaries, $$3$e$,660.$

January $28$ Pay cash for January utilities, $$17,300.$

$3$afrary $30$ Firework sales for Janubry total $$228,600.$ All of these sales are on account. The cost of the units sold is $$119,063.$

Information for adjusting entries:

a$.$ Depreclation on the equipment for the month of January is calculated using the straight$-$line method.

b$.$ At the end of January, $$3,800$ of accounts recelvable are part due, and the company estimates that $50\%$ of these accounts will not be collected. Of the remaining accounts recelvable, the company estimates that $2\%$ will not be collected. The note recelvable of $$21,600$ is considered fully collectible and therefore is not included in the estimate of uncollectible accounts.

c$.$ Accrued interest rewenue on notes recelvable for January.

d$.$ Unpaid salaries at the end of Jandary are $$33,400.$

e$.$ Accrued income taxes at the end of January are $$9\mathrm{.}800.$

Prepare an adjusted trial balance as of January $31,2026$