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Need help with income statement and balance sheet based on the general journal and probelm. Tony and Suzie see the need for a rugged all-terrain
Need help with income statement and balance sheet based on the general journal and probelm. Tony and Suzie see the need for a rugged all-terrain vehicle to transport participants and supplies. They decide to purchase a used Suburban on July 1, 2022 for $15,600. They expect to use the Suburban for five years and then sell the vehicle for $6,300. The following expenditures related to the vehicle were also made on July 1, 2022: The company pays $2,700 to GEICO for a one-year Insurance policy. The company spends an extra $6,600 to repaint the vehicle, placing the Great Adventures logo on the front hood, back, and both sides, An additional $2,900 is spent on a deluxe roof rack and a trailer hitch. The painting, roof rack, and hitch are all expected to increase the future benefits of the vehicle for Great Adventures. In addition, on October 22, 2022, the company pays $2,200 for basic vehicle maintenance related to changing the oil, replacing the windshield wipers, rotating the tires, and inserting a new air filter, Prepare the journal entries for transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required in account field.) View transaction list View journal entry worksheet Flecer No Date General Journal Debit Credit 1 Jul 01 Prepaid Insurance Equipment Cash 2,700 25,100 27,800 2 Oct 22 2,200 Repairs and Maintenance Expense Cash 2,200 3 Dec 31 1,880 Depreciation Exponse Accumulated Depreciation 1,880 4 Dec 31 1,350 Insurance Expense Prepaid Insurance 1,350 5 Dec 31 6.300 Sales Revenue Retained Earnings 6,300 6 Dec 31 5,430 Retained Earnings Repairs and Maintenance Expense Depreciation Expense Insurance Expense 2,200 1,880 1,350
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