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Posted on Aug 01, 2024

At the end of 2022, the following information is available for Great Adventures. Additional interest for five months needs to be accrued on the $30,000,

At the end of 2022, the following information is available for Great Adventures.

Additional interest for five months needs to be accrued on the $30,000, 6% loan obtained on August 1, 2021. Recall that annual interest is paid each July 31.
Assume that $10,000 of the $30,000 loan discussed above is due next year.
By the end of the year, $20,000 in gift cards have been redeemed. The company had sold gift cards of $25,000 during the year and recorded those as Deferred Revenue.
Great Adventures is a defendant in litigation involving a biking accident during one of its adventure races. The company believes the likelihood of payment occurring is probable, and the estimated amount to be paid is $12,000.
For sales of MU watches, Great Adventures offers a warranty against defect for one year. At the end of the year, the company estimates future warranty costs to be $4,000

Please correct the following..

General Entry:

6)Record entry to close the revenue accounts.
7)Record entry to close the expense accounts.

Seved Check my work mode: This shows what is correct or incorrect for the work you have completed so General Journal Credit Date Dec 31 Debit 750 Interest Expense Interest Payable 750 Dec 31 10,000 Notes Payable (Long-term) Notes Payable (Current) 10.000 Dec 31 Deferred Revenue Sales Revenue 20,000 20,000 Dec 31 12 000 Loss Contingent Liability 12,000 Dec 31 . Warranty Expense Warranty Liability OOO 00000000000 4,000 4000 Dec 31 Service Revenue Interest Revenue Sales Revenue 44,500 750 Dec 31 Supplies Expense Salaries Expense Interest Expense 500 X 24 000 1.800 Dec 31 4000 Warranty Expense Warranty Labity 4.000 Dec 31 Service Revenge 44,500 750 Interest Revenue Sales Revenue Dec 31 Supplies Expense 5003 24,000 1,800 14,500 OOOOOOOOOOOOO Salaries Expense Interest Expense Income Tax Expense Insurance Expense Warranty Expense Depreciation Expense Bad Det Expense Rent Expense Repairs and Maintenance Expenne and Eng 5.700 4,000 17 250 2.400 2.400 000 Check my work mode: This shows what is correct or incorrect for the work Dates: Dec 31 Post-closing GREAT ADVENTURES, INC. Income Statement For the Period Ended December 31, 2022 Revenues Service Revenue $ 89,000 Interest Revenue X 870 Sales Revenue 120,000 Sales Discounts (350) Net Sales 209,520 Cost of Goods Sold 38,500 Gross Profit Operating Expenses Depreciation Expense Supplies Expense Salarios Expense Bad Debt Expense Rent Expense Insurance Expense Repairs and Maintenance Expense Warranty Expense Interest Expense Loss 12 000 171.020 OOOOOOO --OOO Ooo Balance Sheet December 31, 2022 Assets Liabilities Current Assets 9 Prepaid Insurance Accounts Receivable Current Limites Accounts Payable interest Payable Income Tax Payable 89070 000 50,000 20.800 750 14.500 0 20,000 0 Notes Payablo (Long-term) 0 0 0 0 139 970 3 Total Current Liabilities Notes Payable (Current) T L Stockholders' Equity Common Stock Retained Earnings 56.050 10000 05050 Total Current Assets Long-term Assets Eggers Accumulated Depreciation 000 05250) 20 000 119 520 3 176 720 Total Stockholders' Equity e s and StockholdersEquity Tot 139.520 205 STO (Income Statement At the end of 2022. The following information is valable for Great Adventures Additional interest for the mo n eeds to be accrued on the $30.000, % loan obtained on August 1, 2021. Recall that anual trest is paid each July 31. Assume that $10,000 of 30,000 landssed above is due next year . By the end of the year, 120,000 in it cards have been redeemed. The company had sold gift cards of $25.000 during the year and recorded those as Demed even Great Adventures is a defendant initiation involving a baing accident during one of its adventure races. The company believes the hood of payment occurring is probabile and the estimated amount to be paid is $12.000 For sales of MU watches Ort Adventures offers a warranty against defect for one year, Alte end of the year, the company matuture warranty cost to be 34.000 Balance Sheet Notice the dropdown below that gives the options to select the adjusted, adjusted or post-dosing trial balance. The option you choose will be the values used to populate the income statement and balance sheet tabs Post-dosing - to Dec 31 - Dates: Dec 31 GREAT ADVENTURES, INC. Trial Balance December 31, 2022 Accide OTO 50.000 25.250 20.000 750 14.500 Accumulated Depreciation Accounts Payable Payable nome Tax Payable Pored Revenue Notes Payable Current Notes Payable (long-term ngent 5,000 10,000 20.000 12,000 - Common Stock Retained Earnings Service Reserve Sales Revenge 20.000 33.450 44 500 120,000 120 Interest Revenue Cost of Goods Sold Depreciation Expense Supplies Expense 38.500 17250 Salaries Expense Bad Debt Expense Interest Expense Rent Expense Income Tax Expense Insurance Expense Repairs and Maintenance Expense Warranty Expense LOSS 24,000 2.400 1,800 2.400 14,500 5,700 400 4,000 12,000 332,770 $ Total S 332,770 (General Ledger Income Statement > Seved Check my work mode: This shows what is correct or incorrect for the work you have completed so General Journal Credit Date Dec 31 Debit 750 Interest Expense Interest Payable 750 Dec 31 10,000 Notes Payable (Long-term) Notes Payable (Current) 10.000 Dec 31 Deferred Revenue Sales Revenue 20,000 20,000 Dec 31 12 000 Loss Contingent Liability 12,000 Dec 31 . Warranty Expense Warranty Liability OOO 00000000000 4,000 4000 Dec 31 Service Revenue Interest Revenue Sales Revenue 44,500 750 Dec 31 Supplies Expense Salaries Expense Interest Expense 500 X 24 000 1.800 Dec 31 4000 Warranty Expense Warranty Labity 4.000 Dec 31 Service Revenge 44,500 750 Interest Revenue Sales Revenue Dec 31 Supplies Expense 5003 24,000 1,800 14,500 OOOOOOOOOOOOO Salaries Expense Interest Expense Income Tax Expense Insurance Expense Warranty Expense Depreciation Expense Bad Det Expense Rent Expense Repairs and Maintenance Expenne and Eng 5.700 4,000 17 250 2.400 2.400 000 Check my work mode: This shows what is correct or incorrect for the work Dates: Dec 31 Post-closing GREAT ADVENTURES, INC. Income Statement For the Period Ended December 31, 2022 Revenues Service Revenue $ 89,000 Interest Revenue X 870 Sales Revenue 120,000 Sales Discounts (350) Net Sales 209,520 Cost of Goods Sold 38,500 Gross Profit Operating Expenses Depreciation Expense Supplies Expense Salarios Expense Bad Debt Expense Rent Expense Insurance Expense Repairs and Maintenance Expense Warranty Expense Interest Expense Loss 12 000 171.020 OOOOOOO --OOO Ooo Balance Sheet December 31, 2022 Assets Liabilities Current Assets 9 Prepaid Insurance Accounts Receivable Current Limites Accounts Payable interest Payable Income Tax Payable 89070 000 50,000 20.800 750 14.500 0 20,000 0 Notes Payablo (Long-term) 0 0 0 0 139 970 3 Total Current Liabilities Notes Payable (Current) T L Stockholders' Equity Common Stock Retained Earnings 56.050 10000 05050 Total Current Assets Long-term Assets Eggers Accumulated Depreciation 000 05250) 20 000 119 520 3 176 720 Total Stockholders' Equity e s and StockholdersEquity Tot 139.520 205 STO (Income Statement At the end of 2022. The following information is valable for Great Adventures Additional interest for the mo n eeds to be accrued on the $30.000, % loan obtained on August 1, 2021. Recall that anual trest is paid each July 31. Assume that $10,000 of 30,000 landssed above is due next year . By the end of the year, 120,000 in it cards have been redeemed. The company had sold gift cards of $25.000 during the year and recorded those as Demed even Great Adventures is a defendant initiation involving a baing accident during one of its adventure races. The company believes the hood of payment occurring is probabile and the estimated amount to be paid is $12.000 For sales of MU watches Ort Adventures offers a warranty against defect for one year, Alte end of the year, the company matuture warranty cost to be 34.000 Balance Sheet Notice the dropdown below that gives the options to select the adjusted, adjusted or post-dosing trial balance. The option you choose will be the values used to populate the income statement and balance sheet tabs Post-dosing - to Dec 31 - Dates: Dec 31 GREAT ADVENTURES, INC. Trial Balance December 31, 2022 Accide OTO 50.000 25.250 20.000 750 14.500 Accumulated Depreciation Accounts Payable Payable nome Tax Payable Pored Revenue Notes Payable Current Notes Payable (long-term ngent 5,000 10,000 20.000 12,000 - Common Stock Retained Earnings Service Reserve Sales Revenge 20.000 33.450 44 500 120,000 120 Interest Revenue Cost of Goods Sold Depreciation Expense Supplies Expense 38.500 17250 Salaries Expense Bad Debt Expense Interest Expense Rent Expense Income Tax Expense Insurance Expense Repairs and Maintenance Expense Warranty Expense LOSS 24,000 2.400 1,800 2.400 14,500 5,700 400 4,000 12,000 332,770 $ Total S 332,770 (General Ledger Income Statement >