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August 4 The company purchases 14 kayaks, paying $19,200 cash. August 10 Tony and suzie conduct the first kayak elinic. In addition to the $7,800

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August 4 The company purchases 14 kayaks, paying $19,200 cash. August 10 Tony and suzie conduct the first kayak elinic. In addition to the $7,800 that was received in advance from kayakers on July 30 , the company receives additional cash of $3,600 from twenty new kayakers on the day of the elinie. Auguat 17 Tony and Suzie conducts a second kayak elinic, and the conpany receives $12,000 cash. August 24 office supplies of $1,100 purchased on July 4 are paid in full. September 1 To provide better storage of mountain bikes and kayaks when not in use, the conpany rents a storage shed for one year, paying $3,240 ( $270 per month) in advance. September 21 Tony and Suzie condact a rock-climbing elinie. The company receives $14,600cash. october 17 Tony and Suzie conduct an orienteering elinic. Participants practice how to understand a topographical map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $18,400 cash. December 1 Tony and suzie decide to hold the company's first adventure race on December 15 . Four-person teans wi11 race from checkpoint to checkpoint using a conbination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The first team in each category to conplete all checkpoints in order wins. The entry fee for each team in $530. December 5 To help organize and pronote the race, Tony hires his college roomate, Victor. Victor will be paid $50 in salary tor each team that competes in the race. His salary will be paid after the race. December 8 The conpany pays $1,600 to purchase a permit from a state park where the race wi11 be beld. The amount is recorded as a miscellaneous expense. December 12 The company purchases raeing supplies for $3,000 on account due in 30 days. supplies include trophies for the top-finishing teams in each eategory, pronotional shirts, snack foods and drinks for participants, and field markers to prepare the racecourse. December 15 The oompany receives $21,200 cash from a total of forty teans, and the race is held. December 16 The coepany pays Victor's salary of $2,000. Decenber 31 The company pays a dividend of $3,100($1,550 to Tony and $1,550 to $4zie). December 31 Using his personal money, Tony purchases a diamond ring for $4,300. Tony surprisen suzie by proposing that they get married. Suzie accepts and they get narried! The following information relates to year-end adjusting entries as of December 31, 2024. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $5,900. b. Six months' of the one-year insurance policy purchased on July 1 has expired. c. Four months of the one-year rental agreement purchased on September 1 has expired. d. Of the $1,100 of office supplies purchased on July 4,$250 remains. e. Interest expense on the $36,000 loan obtained from the city council on August 1 should be recorded. f Of the $3,000 of racing supplies purchased on December 12,$120 remains. g. Suzie calculates that the company owes $13,300 in income taxes. 1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1 to 27). Review the 'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances. 2. Record the adjusting entries in the 'General Journal' tab (these are shown as items 28 to 34 ). 3. Review the adjusted 'Trial Balance' as of December 31,2024. 4. Prepare an income statement for the period ended December 31, 2024, in the 'Income Statement' tab. 5. Prepare a statement of stockholder's equity for the period ended December 31, 2024, in the 'Statement of Stockholder's Equity' tab. 6. Prepare a classified balance sheet as of December 31, 2024 in the 'Balance Sheet' tab. 7. Record the closing entries in the 'General Journal' tab (these are shown as items 35 to 37 ). Tony and Suzie graduate from college in May 2024 and begin developing their new business. They begin by offering clinics for basic outdoor activities such as mountain biking or kayaking. Upon developing a customer base, they'll hold their first adventure races. These races will involve four-person teams that race from one checkpoint to the next using a combination of kayaking, mountain biking, orienteering, and trail running. In the long run, they plan to sell outdoor gear and develop a ropes course for outdoor enthusiasts. On July 1, 2024, Tony and Suzie organize their new company as a corporation, Great Adventures Incorporated The articles of incorporation state that the corporation will sell 30,000 shares of common stock for $1 each. Each share of stock represents a unit of ownership. Tony and Suzie will act as co-presidents of the company. The following business activities occur during July for Great Adventures. July 1 Sell $15,000 of comen stoek to suzie. July 1 Sell $15,000 of conmon stoek to Tony. July 1 Purchase a one-year insurance policy for $4,320 ( $360 per month) to cover injuries to participants during July 2 Pay legal fees of $1,200 associated with thcorporation. July 4 Purchase office supplies of $1,100 on account. July 7 Pay $350 to a local newspaper for advertising to appear imadiately for an upconing nountain biking elinic July9Purebase10mountainbikes,paying510,300cash.tobeheldonJuly15.Attendeesvillbecharged July 15 On the day of the olinic, Great Adventures receives cash of $2,000 in total fron 50 bikers. Tony and suzie July 22 conducts the mountain biking elinie. llecause of the auccess of the first nountain biking elinic, Tony and suzie holds another mountain biking clinic and the company receives $2,500. July 24 Pay $790 to a local radio station for advertising to appear immediately. A kayaking olinic will be held on Augunt 10 , and attendees can pay $130 in advance or $180 on the day of the elinic. July 30 Great Adventures recelves total cash of $7,800 in advance froe 60 kayakers for the upcoming kayak elinic. The following tranbsction occur over the resainder of 2024 . Muguat 1 Great Adventures obtaina a 536,000 low-interest loan for the company from the eity council, which has recestly passed an initiative encouraging business developent related to outdoor activitien. The loan is due in three years, and 64 annual interent is due each year on July 31 . Auguat 4 The company purchases 14 kayaks, paying 519,200 cash

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