5-b. For the period July 1 to December 31, 2018, prepare a statement of stockholders' equity. All account balances on July 1 were zero. 5-c. Prepare a classied balance sheet as of December 31, 2018. [A mounts to be deducted should be indicated with minus sign} Total curre nt liabilities Total current assets Stockholders' Equity Total assets 6. Record closing entries as of December 31, 2018. [If no entry is required for a transactionlevent, select "No journal entry required" in the rst account eld.) View transaction list Journal entry worksheet Record the closing of revenue accounts. Note: Enter debits before credits. Dec 31, 2018 Record entry Clear entry View general journal Great Adventures Problem 3-1 Part 5 E-a. For the period July '1 to December 31, 218, prepare an income statement. Revenues: Total revenues Expenses: Total expense Great Adventures Problem 3-1 [The {cl/owing inrormarion applies to rhe quesmms displayed below] On July 1,2010, Tony and SuZle organize their new company as a corporation, Great Adventures inc The followlrlg transactions occur From August 1 through Decemper 31 Alsu, the balances are provided for the month ended July 31 The anicles oi incorporation state that the corporation will sell 30,000 shares oi common stock tor $1 each. Each share oi stock represents a unit of ownership Tony and Suzie will act as copresidents of the campany. The lollowrng business activities occur dun ng July for Glea'l Adventures Jul. 1 Sell $15,000 o1 common stock to Suzie. Jul. 1 Sell $15,000 o1 common stock to Tony. Jul. 1 Purchase a oneyear insurance policylor $5,750 ($480 permonth: to cover lnluliesm participants during outdoor clinics Jul. 2 Pay legal lees ol$2,000 associated with incorporation Jul. 4 Pulchase ofce supplies of $1,500 on accounl. Jul. 7 Pay lpr advenising ol$390 to a local newspaper Tor an upcoming mountain biking clinic to he held on July'lS. Attendees will be charged $40 the day oithe clinic Jul. 0 Purchase 10 mountain bikes, paying $10,500 cash Jul. 15 On the day oi the clinic, GrealAdvemures receives cash oi $2.000 from 50 hikers. Tony conducts the mountain biking clinic. Jul. 22 Because oi the success otthe rsl mountain biking clinic, Tony holds another mountain oiking clinic and the company receives $2,550 Jul. 24 Pay for advertising oi$960 to a local radio station iora kayaking clinic to be held on August 10 Attendees can pay $130 in advance or $100 on the day olthe clinic Jul. 30 Great Adventures receives cash or$9,100 in advance lrorn 7o kayakers fol the upcoming kayak clinic. Aug 10reat Adventures optains a $33000 Icwsll'lleresl loan for the company lrom the city council, which has recently passed an initiative encouraging business development related to outdoor activities. The loan is due in three years, and 5% annual interest is due each year on July 31. Aug 4The company purchases 14 kayaks, paying $12,100 cash Aug 10 Twenty additional kayakers pay 5150015180 each), in addnion to the $9.100 that was paid in advance on July :10, on the day oithe clinic Tony conducts the lirst kayak clinic Aug 17 Tony conducts a second kayak clinic, and the company receives $12400 cash. Aug 24ch supplies ol$1,500 purchased on July 4are paid in full. Sep l To provide laerter storage of mountain bikes and kayaks when not in use,the company rents a storage shed. purchasing a oneyear rental policyior $4,440 ($370 permonth). Sep. 21 Tony conductsa rocksclimblng clinic. The company receives $15,100 cash. Oct 17 Tony conducts an oriemeering cllrlic. Panicipants practice how to understand atopographical map, read an altimeter, use a compass, and orient through heavrly wooded areas. The company receives $10,500 cash Dec 1 Tony decides to hold the campany's hrst adventure race on Decemper l5 Fourperson teams wlll race from checkpoint to checkpoint using a combination otmountain hiking, kayaking, orienteering,trail running, and rock-cllmblng skills The hrstteam in each category to complete all checkpoints in order wins The emry lee lor each team is $570.0ec. 5 To help organize and promotethe race,Tony hires his college roommate, victor Viclol vvill be paid $40 in salaryier each team that competes in the race His salary will he paid alterthe race Dec 0 The company pays $1,400 to purchase a permit flonl a state park where the race Will be held. The amount is recorded asa miscellaneous expense.0ec.12 The company purchases racing supplies lor $2,500 on account due in 30 days Supplies include trophies fol the (cpsnlshlng teams in each category, promotional shirts. snack toods and drinks tor participants, and lield markers to prepare the racecoursenec 15 The company receives $22000 cash flom a total oilorty teams, and the race is heldDec 15 The company pays Victor's salary of $1,500 Dec 31 The company pays a dividend ol $3,000 [$1.800 to Tony and $1,300 to Suzie) Dec. 31 Using his personal money, Tony purchases a diamond ring lor $3.700 Tony surprises Suzie by proposing thatthey getrnarried. Suzie accepts and they get marriedi The iollovving inlorm ation relates to yea rend adjusting entries as ofDecerrlber 31, 2010 a. Depreciation oi the mountain blkes purchased on July arid kayaks purchased on August 4 totals $3,100 o. Slx months' worth ol insurance has explled c. Foul momhs' worlh of rent has expired d. Ofllle $1.600 oi olhce supplies purchased on July A, $250 remains. a lnterest expense on the $313,000 loan ohtained from the city council on August 1 should he recolded. f. mthe $2500 of racing supplies purchased on 0ecemper12,$130 lemalns. g. Suzle calculates that the company owes $14,000 in income taxes 4. Prepare an adjusted trial balance as of December 31' 2013. [The items in me Trial Balance should be grouped as follows: Assets, Contra-asset accounts. Liabilities, Equity, Dividends, Revenues, and Expenses.) counsesewsee ' repaid insurance resident eeelsessomese sesesenszwes: essesesszessees) . cumulaied depreciation esesesseee nesseesesele eNlce revenue (Rating) erwce revenue (Clinic) nsuseeeeeesees wernsseexeenss Iepreclallun expense neeseeeense egal fees expense lscellaneeus expense sen-eseeese m upplies expense [Ofce] upplies expense (Racing) emexeense 5 122031] 5 147275 \fvalue: 5.00 points Great Adventures Problem 3-1 Part 2 2. Record adjusting entries as of December 31, 2018. (If no entry is required for a transactionievent, select "No journal entry required" in the first account eld.) View transaction list Journal entry worksheet Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,100. Note: Enter debits before credits. Dec 31, 2018 lepreciation expense Accumulated depreciation RECON! entry Clear entry View general it!" [at