E3-11 Recording Journal Entries and Determining Net Income [LO 3-2, LO 3-3) Pikes Peak is a ski resort in upstate New York. The company sells lift tickets, ski lessons, and ski equipment. It operates several restaurants and rents townhouses to vacationing skiers. The following hypothetical December transactions are typical of those that occur at the resort a Borrowed $725,000 from the bank on December 1, signing a note payable, due in six months. b. Purchased a new snowplow for $42,000 cash on December 31, c Purchased ski supplies for $14,000 on account d. Incurred $23,900 in routine maintenance expenses for the chairlifts; paid cash. e. Received $87,000 for season passes (beginning in the new year). 7 Daily lift passes were sold this month for a total of $81,800 cash. g. Received a $425 deposit on a townhouse to be rented for five days in January h. Pald half the charges incurred on account in (c). Lincurred and paid $27,500 in wages to employees for the month of December Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal s preliminary net income. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the company's preliminary net income. Preliminary Net Income