$[$I ne tollowing intormation appiles to the questions aisplayea below.$]$

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 $27,000$ 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 $$13,500$ of common stock to Suzie.

July $1$ Sell $$13,500$ of common stock to Tony.

July $1$ Purchase a one$-$year insurance policy for $$5,880($ $$490$ per month$)$ to cover injuries to

participants during outdoor clinics

July $4$

Pay legal fees of $$1,100$ associated with incorporation.

Purchase office supplies of $$1,700$ on account.

Pay $$260$ to a local newspaper for advertising to appear immediately for an upcoming mountain

biking clinic to be held on July $15.$ Attendees will be charged $$70$ the day of the clinic.

July $8$

Purchase $10$ mountain bikes, paying $$11,300$ cash.

July $15$ On the day of the clinic, Great Adventures receives cash of $$5,600$ in total from $80$ bikers. Tony

July $24$ mayntain biking clinic and the company receives $$5,900.$

July $30$

be held on August $10,$ and attendees can pay $$130$ in advance or $$180$ on the day of the clinic.

Great Adventures receives total cash of $$6,500$ in advance from $50$ kayakers for the upcoming

kayak clinic.

The following transactions occur over the remainder of $2024.$

August $1$ Great Adventures obtains a $$42,000$ low$-$interest loan for the company from the city council,

which has recently passed an initiative encouraging business development related to outdoor

activities. The loan is due in three years, and $6\%$ annual interest is due each year on July $31.$

August $4$

The company purchases $14$ kayaks, paying $$21,600$ cash.

August $10$

Tony and Suzie conduct the first kayak clinic. In addition to the $$6,500$ that was received inAugust $4$

August $10$

activities. The loan is due in three years, and $6\%$ annual interest is due each year on July $31.$

The company purchases $14$ kayaks, paying $$21,600$ cash.

Tony and Suzie conduct the first kayak clinic. In addition to the $$6,500$ 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 clinic.

Tony and Suzie conducts a second kayak clinic, and the company receives $$11,500$ cash.

Office supplies of $$1,700$ purchased on July $4$ are paid in full.

August $17$

August $24$

Office supplies of $$1,700$ purchased on July $4$ are paid in full.

To provide better storage of mountain bikes and kayaks when not in use, the company rents a

storage shed for one year, paying $$2,760($ $$230$ per month$)$ in advance.

September $1$ storage shed for one year, paying $$2,760($ $$230$ per month$)$ in advance. Tony and Suzie conduct a rock$-$climbing clinic. The company receives $$14$

September $21$ Tony and Suzie conduct a rock$-$climbing clinic. The company receives $$14,000$ cash.

October $17$ Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a

topographical map, read an altimeter, use a compass, and orient through heavily wooded areas.

The company receives $$18,000$ cash.

December $1$ Tony and Suzie decide to hold the company's first adventure race on December $15.$ Four$-$person

teams will race from checkpoint to checkpoint using a combination of mountain biking, kayaking,

orienteering, trail running, and rock$-$cl