On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances: These are the questions that I have issues with. I simply cannot find the answers for the life of me. If you could also put some explanation behind answers like the FIFO question that would be very helpful, thanks. On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances: The $41,000 beginning balance of inventory consists of 410 units, each costing $100. During January 2024 , Big Blast Fireworks had the following inventory transactions: January 3 Purchase 2,000 units for $218,000 on account ( $109 each). January 8 Purchase 2,100 units for $239,400 on account ( $114 each). January 12 Purchase 2,200 units for $261,800 on account ( $119 each). January 15 Return 155 of the units purchased on January 12 because of defects. January 19 Sell 6,400 units on account for $960,000 The cost of the units sold is determined using a FIFo perpetual inventory system. January 22 Receive $950,000 from customers on accounts receivable. January 24 Pay $680,000 to inventory suppliers on accounts payable. January 27 Write off accounts receivable as uncollectible, $2,000. January 31 Pay cash for salaries during January, $125,800. The following information is avallable on January 31,2024. a. At the end of January, the company estimates that the remaining units of inventory purchased on January 12 are expected to sell in February for only $100 each. [Hint: Determine the number of units remaining from January 12 after subtracting the units returned on January 15 and the units assumed sold (FIFO) on January 19.] b. The company records an adjusting entry for $3,785. for estimated future uncollectible accounts. c. The company accrues interest on notes payable for January. Interest is expected to be paid each December 31. d. The company accrues income taxes at the end of January of $13,400. a) Calculate the inventory turnover ratio for the month of January. If the industry average of the inventory turnover ratio for the month of January is 20.2 imes, is the company managing its inventory more or less efficiently than other companies in the same industry? The inventory turnover ratio is: s the company managing its inventory more or less efficiently than other companies in the same industry? b) Calculate the gross profit ratio for the month of January. If the industry average gross profit ratio is 30%, is the company more or less profitable per dollar of sales than other companies in the same industry? The gross profit ratio is: s the company more or less profitable per dollar of sales than other companies in the same industry? c) Used together, what might the inventory turnover ratio and gross profit ratio suggest about Big Blast Fireworks' business strategy? Is the company's strategy to sell a higher volume of less expensive items or does the company appear to be selling a lower volume of more expensive items? d. The company ac.

1. On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account
balances:
These are the questions that I have issues with. I simply cannot find the answers for the life of
me. If you could also put some explanation behind answers like the FIFO question that would be
very helpful, thanks. On January 1, 2024, the general ledger of Big Blast Fireworks includes the
following account balances: The $41,000 beginning balance of inventory consists of 410 units,
each costing $100. During January 2024 , Big Blast Fireworks had the following inventory
transactions: January 3 Purchase 2,000 units for $218,000 on account ( $109 each). January 8
Purchase 2,100 units for $239,400 on account ( $114 each). January 12 Purchase 2,200 units for
$261,800 on account ( $119 each). January 15 Return 155 of the units purchased on January 12
because of defects. January 19 Sell 6,400 units on account for $960,000 The cost of the units
sold is determined using a FIFo perpetual inventory system. January 22 Receive $950,000 from
customers on accounts receivable. January 24 Pay $680,000 to inventory suppliers on accounts
payable. January 27 Write off accounts receivable as uncollectible, $2,000. January 31 Pay cash
for salaries during January, $125,800. The following information is avallable on January
31,2024. a. At the end of January, the company estimates that the remaining units of inventory
purchased on January 12 are expected to sell in February for only $100 each. [Hint: Determine
the number of units remaining from January 12 after subtracting the units returned on January 15
and the units assumed sold (FIFO) on January 19.] b. The company records an adjusting entry for
$3,785. for estimated future uncollectible accounts. c. The company accrues interest on notes
payable for January. Interest is expected to be paid each December 31. d. The company accrues
income taxes at the end of January of $13,400.
a) Calculate the inventory turnover ratio for the month of January. If the industry average of the
inventory turnover ratio for the month of January is 20.2 imes, is the company managing its
inventory more or less efficiently than other companies in the same industry? The inventory
turnover ratio is: s the company managing its inventory more or less efficiently than other
companies in the same industry? b) Calculate the gross profit ratio for the month of January. If
the industry average gross profit ratio is 30%, is the company more or less profitable per dollar
of sales than other companies in the same industry? The gross profit ratio is: s the company more
or less profitable per dollar of sales than other companies in the same industry? c) Used together,
what might the inventory turnover ratio and gross profit ratio suggest about Big Blast Fireworks'
business strategy? Is the company's strategy to sell a higher volume of less expensive items or
does the company appear to be selling a lower volume of more expensive items?

2. d. The company accrues income taxes at the end of January of $13,400. Choose the appropriate
accounts to complete the company's income statement. The unadjusted, a balances will appear
for each account, based on your selection.
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Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No Journal in the first account field.) Journal entry worksheet Record
the entry to close the expense accounts. Note: Enter debits before credits.
Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No Journal in the first account field.) Journal entry worksheet Record
the entry to close the revenue accounts. Note: Enter debits before credits.
Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No Journal in the first account field.) Journal entry worksheet Record
the entry to close the revenue accounts. Note: Enter debits before credits.
Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No in the first account field.) Journal entry worksheet (14) 1516> At
the end of January, the company estimates that the remaining units of inventory are expected to
sell in February for only $100 each. Record the adjusting entry for inventory. Note: Enter debits
before credits.
Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No in the first account field.) Journal entry worksheet (14) 1516> At
the end of January, the company estimates that the remaining units of inventory are expected to
sell in February for only $100 each. Record the adjusting entry for inventory. Note: Enter debits
before credits.
Answer is not complete. Prepare the journal entries for transactions. (If no entry is required for a
particular transaction/event, select "No Journal Entr Required" in the first account field.)
Prepare the journal entries for transactions. (If no entry is required for a particular
transaction/event, select "No in the first account field.) Journal entry worksheet 1 (2) (8) .16>
Record the cost of the units sold, which is determined using a FIFO perpetual inventory system.

3. Note: Enter debits before credits.
Prepare a classified balance sheet as of January 31,2024 . Choose the appropriate accounts to
complete the company' sheet. The unadjusted, adjusted, or post-closing balances will appear for
each account, based on your selection.