Great Adventures Problem AP8-1 (GL) At the end of 2022, the following information is available for Great Adventures. Additional interest for five months needs to be accrued on the $32,200, 6% loan obtained on August 1, 2021. Recall that annual interest is paid each July 31. Assume that $12,200 of the $32,200 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 $27,200 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 $14,200. 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 $6,200. Journal entry worksheet Record the closing entry for revenue accounts. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Sales Revenue 142,000 Service Revenue Interest Revenue Record the closing entry for expense and loss accounts. lote: Enter debits before credits. Date General Journal Debit Credit Dec 31 Retained Earnings Supplies Expense Salaries Expense Interest Expense Income Tax Expense Insurance Expense Warranty Expense Great Adventures Problem AP8-1 (GL) At the end of 2022, the following information is available for Great Adventures. Additional interest for five months needs to be accrued on the $32,200, 6% loan obtained on August 1, 2021. Recall that annual interest is paid each July 31. Assume that $12,200 of the $32,200 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 $27,200 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 $14,200. 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 $6,200. Journal entry worksheet Record the closing entry for revenue accounts. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Sales Revenue 142,000 Service Revenue Interest Revenue Record the closing entry for expense and loss accounts. lote: Enter debits before credits. Date General Journal Debit Credit Dec 31 Retained Earnings Supplies Expense Salaries Expense Interest Expense Income Tax Expense Insurance Expense Warranty Expense