Great Adventures Company, Inc., specializes in supplies, gears and equipment for sports and outdoor adventures. The products it sells range from tennis balls, gloves to skiing gears, and off-road motorcycles. The company purchases its products from manufactures worldwide and sells them to a large network of independent retail shops and dealers in North America. Business is booming as the population becomes more health-conscious and more people participate in sports and outdoor adventures. In addition to its main business, the company is planning to diversify its business into running ski resorts and out-door parks. The company's stock is actively traded on the New York Stock Exchange. At the end of the first quarter of the year 2022, the company's CFO is in the process of preparing financial statements for filing with the SEC and reporting to shareholders at the coming stockholder's conference late April. The CFO has obtained summarized information on the company's business activities from the controller's office. The CFO asks for your assistance to analyze the information and come up with a draft of quarterly financial statements with a brief analysis. Summary of Business Activities in the First Quarter 2022 All dollar amounts are in thousands (000) except the per-share values. 1. To finance business expansion, the company signed an agreement with a national bank in December 2021 to obtain a $30,000 three-year loan. The amount was deposited into the company's bank account on January 1, 2022. The interest on the loan is due semiannually and carries a 12% annual interest rate. 2. On January 20, Great Adventures reached an agreement to purchase a large plot of land in a mountainous area in Vermont as the site for the future ski resort. In this share-based transaction, the company agreed to issue 500,000 shares of its common stock as a way of payment. The common stock has a $1 par value per share. The transaction was closed on March 1 when stocks were trading at $23 per share. 3. On February 1, the company issued five million shares of its common stock through an investment banker on Wall Street and received $95,760 in cash proceeds.