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(The following information applies to the questions displayed below.] Now that operations for outdoor clinics and TEAM events are running smoothly, Suzie thinks of another area for business expansion. She notices that a few clinic participants wear multiuse (MU) watches. Beyond the normal timekeeping features of most watches, MU watches are able to report temperature, altitude, and barometric pressure. MU watches are waterproof, so moisture from Kayaking, rain, fishing, or even diving up to 100 feet won't damage them. Suzie decides to have MU watches available for sale at the start of each clinic. The following transactions relate to purchases and sales of watches during the second half of 2022. All watches are sold for $560 each Jul. 17 Purchased 59 watches for $8,850 ($150 per watch) on account. Jul. 31 Sold 46 watches for $25,760 cash Aug. 12 Purchased 46 watches for $7,360 ($160 per watch) cash. Aug. 22 Sold 36 watches for $20,160 on account. Sep. 19 Paid for watches purchased on July 17. Sep. 27 Receive cash of $12,096 for watches sold on account on August 22. Oct. 27 Purchased 95 watches for $16,150 ($170 per watch) cash. Nov. 20 Sold 96 watches for $53,760 cash. Dec. 4 Purchased 106 watches for $19,080 ($180 per watch) on account. Dec. 8 Sold 46 watches for $25,760 on account. Late in December, the next generation of multiuse (MU II) watches is released. In addition to all of the features of the MU watch, the MU II watches are equipped with a global positioning system (GPS) and have the ability to download and play songs and videos off the Internet. The demand for the original MU watches is greatly reduced. As of December 31, the estimated net realizable value of MU watches is only $100 per watch. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet 1. Record each of the transactions listed above in the 'General Journal' tab, assuming Suzie uses FIFO to account for inventory. 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 December 31, 2022, in the 'General Journal' tab. 3. Review the adjusted 'Trial Balance' as of December 31, 2022, in the 'Trial Balance' tab. 4. Prepare a multiple-step income statement for the period ended December 31, 2022, in the 'Income Statement' tab. 5. Prepare a classified balance sheet as of December 31, 2022, in the 'Balance Sheet' tab. 6. Record the closing entries in the 'General Journal' tab. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Notice the dropdown below that gives the options to select the unadjusted, adjusted or post-closing trial balance. The option you choose will be the values used to populate the income statement and balance sheet tabs. Unadjusted GREAT ADVENTURES, INC. Trial Balance December 08, 2022 Account Title Debit Credit Cash 36,860 27,000 Accounts Receivable Allowance for Uncollectible Accounts 2,700 48,000 25,500 3,400 900 14,800 36,000 21,305 34,200 46,000 380 Equipment Accumulated Depreciation Accounts Payable Interest Payable Income Tax Payable Notes Payable Common Stock Retained Earnings Service Revenue Sales Discounts Interest Revenue Depreciation Expense Supplies Expense Salaries Expense Bad Debt Expense Interest Expense Rent Expense Income Tax Expense Insurance Expense Total 135 17.500 800 27,000 2,700 2,100 2,700 14,800 5,100 184,940 $ $ 184,940 Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Choose the appropriate accounts to complete the company's income statement. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Unadjusted GREAT ADVENTURES, INC. Income Statement For the Period Ended December 31, 2022 Revenues $ 0 0 0 0 Net Sales Gross Profit $ 0 Operating Expense: 0 0 0 0 0 0 0 0 Total Operating Expenses Operating Income (Loss) 0 0 0 Income Before Income Taxes 0 0 $ 0 Journal entry worksheet Purchased 59 watches for $8,850 ($150 per watch) on account. Record the purchase of inventory on account. Note: Enter debits before credits. Date General Journal Debit Credit Jul 17 Purchases 8,850 Accounts Payable 8,850 Record entry Clear entry View general journal Journal entry worksheet Sold 46 watches for $25,760 cash. Record the sale of inventory on account. Note: Enter debits before credits. Date General Journal Debit Credit Jul 31 Accounts Receivable 25,760 Cost of Goods Sold 25,760 Record entry Clear entry View general journal Sold 46 watches for $25,760 cash. Record the cost of inventory sold. Purchased 46 watches for $7,360 ($160 per watch) cash. Record the purchase of inventory for cash. Sold 36 watches for $20,160 on account. Record the sale. Sold 36 watches for $20,160 on account. Record the cost of the sale. Paid for watches purchased on July 17. Record the payment of cash. Receive cash of $12,096 for watches sold on account on August 22. Record the receipt of cash for the sale. Purchased 95 watches for $16,150 ($170 per watch) cash. Record the purchase of inventory for cash. Sold 96 watches for $53,760 cash. Record the sale of inventory for cash. Purchased 106 watches for $19,080 ($180 per watch) on account. Record the purchase of inventory on account. Sold 46 watches for $25,760 on account. Record the sale of inventory on account. Sold 46 watches for $25,760 on account. Record the cost of inventory sold. Record the closure of revenue accounts. 10 11 12 13 14 15 16 17 Record the closure of expense accounts. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Prepare a classified balance sheet as of December 31, 2022. Choose the appropriate accounts to complete the company's balance sheet. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Unadjusted GREAT ADVENTURES, INC. Balance Sheet December 31, 2022 Assets Liabilities Current Assets: Current Liabilities: $ 0 $ 0 0 0 0 0 0 0 0 Total Current Liabilities 0 0 0 Total Current Assets 0 0 Total Liabilities Stockholders' Equity Long-term Assets: 0 0 0 0 0 0 0 Total Stockholders' Equity 0 Total Liabilities and Stockholders' Equity Total Assets $ $ 0