Chapter 6 general ledger accounting cycleon january 1, 2018, the general ledger of big blast fireworks includes the following account balances: accounts debit credit cash $ 21,900 accounts receivable 36,500 inventory 30,000 land 61,600 allowance for uncollectible accounts $ 3,100 accounts payable 32,400 notes payable (8%, due in 3 years) 30,000 common stock 56,000 retained earnings 28,500 totals $150,000 $150,000the $30,000 beginning balance of inventory consists of 300 units, each costing $100. during january 2018, big blast fireworks had the following inventory transactions: january 3 purchase 1,200 units for $126,000 on account ($105 each).january 8 purchase 1,300 units for $143,000 on account ($110 each).january 12 purchase 1,400 units for $161,000 on account ($115 each).january 15 return 100 of the units purchased on january 12 because of defects. january 19 sell 4,000 units on account for $600,000. the cost of the units sold is determined using a fifo perpetual inventory system. january 22 receive $580,000 from customers on accounts receivable. january 24 pay $410,000 to inventory suppliers on accounts payable. january 27 write off accounts receivable as uncollectible, $2,500.january 31 pay cash for salaries during january, $128,000required: 1.record each of the transactions listed above in the 'general journal' tab (these are shown as items 1 - 10) assuming a fifo perpetual inventory system. review the 'general ledger' and the 'trial balance' tabs to see the effect of the transactions on the account balances.2.record adjusting entries on january 31. in the 'general journal' tab (these are shown as items 11-14).a. at the end of january, the company estimates that the remaining units of inventory are expected to sell in february for only $100 each. b.at the end of january, $4,000 of accounts receivable are past due, and the company estimates that 40% of these accounts will not be collected. of the remaining accounts receivable, the company estimates that 4% will not be collected. c.accrued interest expense on notes payable for january. interest is expected to be paid each december 31.d. accrued income taxes at the end of january are $12,300.