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Exercise 8-18 Complete the accounting cycle (LO8-1, 8-2, 8-4, 8-6)

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On January 1, 2021, the general ledger of ACME Fireworks includes the following account balances:

Accounts	Debit				Credit
Cash	$	26,700
Accounts Receivable		49,400
Allowance for Uncollectible Accounts					$	5,800
Inventory		21,600
Land		62,000
Equipment		23,000
Accumulated Depreciation						3,100
Accounts Payable						30,100
Notes Payable (6%, due April 1, 2022)						66,000
Common Stock						51,000
Retained Earnings						26,700
Totals	$	182,700			$	182,700

During January 2021, the following transactions occur:

January		2		Sold gift cards totaling $11,200. The cards are redeemable for merchandise within one year of the purchase date.
January		6		Purchase additional inventory on account, $163,000.
January		15		Firework sales for the first half of the month total $151,000. All of these sales are on account. The cost of the units sold is $81,800.
January		23		Receive $127,000 from customers on accounts receivable.
January		25		Pay $106,000 to inventory suppliers on accounts payable.
January		28		Write off accounts receivable as uncollectible, $6,400.
January		30		Firework sales for the second half of the month total $159,000. Sales include $13,000 for cash and $146,000 on account. The cost of the units sold is $87,500.
January		31		Pay cash for monthly salaries, $53,600

Adjusted Trial Balance January 31, 2021 Accounts Debit Credit Cash $ 18,300 Accounts Receivable 213,000 Allowance for Uncollectible Accounts 15,300 62,000 Inventory Land Equipment Deferred Revenue 23,000 Accumulated Depreciation Accounts Payable Notes Payable 87,100 66,000 Common Stock 51,000 26,700 Retained Earnings Salaries Expense 53,600 169,300 Cost of Goods Sold Sales Revenue 310,000 330 330 Income Tax Payable Interest Expense Interest Payable Depreciation Expense Bad Debt Expense Income Tax Expense Totals 750 16,140 13,100 584,820 $ $ 546,930 Adjusted Trial Balance January 31, 2021 Accounts Debit Credit Cash $ 18,300 Accounts Receivable 213,000 Allowance for Uncollectible Accounts 15,300 62,000 Inventory Land Equipment Deferred Revenue 23,000 Accumulated Depreciation Accounts Payable Notes Payable 87,100 66,000 Common Stock 51,000 26,700 Retained Earnings Salaries Expense 53,600 169,300 Cost of Goods Sold Sales Revenue 310,000 330 330 Income Tax Payable Interest Expense Interest Payable Depreciation Expense Bad Debt Expense Income Tax Expense Totals 750 16,140 13,100 584,820 $ $ 546,930