Need Journal Entries

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 34,000 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 24 Pay $670 to a local radio station for advertising to appear imediately. A kayaking clinic will be held on August 10 , and attendees can pay $150 in advance or $209 on the day of the clinic. July 30 Great Adventures receives total cash of $7,500 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 $33,060 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 $15,400 cash. August 10 Tony and Suzie conduct the first kayak clinic. In addition to the $7,500 that was received in advance from kayakers on August 17 Tony and Suzie conducts a second kayak clinic, and the company receives $10,709 cash. August 24 Office supplies of $1,109 purchased on July 4 are paid in full. September 1 To provide better storage of mountain bikes and kayaks when not in use, the company rents a storage shed for one year, paying $3,480 (\$296 per month) in advance. September 21 Tony and Suzie conduct a rock-climbing clinic. The company receives $13,6eecash. October 17 Tony and Suzie conduct an orienteering clinic. Participants practice hou to understand a topographical map, read an altimeter, use a comass, and orient through heavily wooded areas. The company receives $19,6e0 cash. Decenber 1 Tony and Suzie decide to hold the company"s first adventure race on Decenber 15 . Four-person teans will race from checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering, trail running, and rockclimbing skills. The first team in each category to complete all checkpoints in order wins. The entry fee for each to help organize and promote the race, Tony hires his college roomate, victor. Victor will be paid $40 in salary for Deceaber 5 To help organize and promote the race, Tony hires his college roomate, victor December. 8 The company pays $1,50 to purchase a perait from a state park where the race will be held. The anount is recorded as December 12 The company purchases racing supplies for $2,6e0 on account due in 30 days. 5upp1i ins include trophies for the top4inishing teams in each category, promotional shirts, snack, foods and drinks for participants, and field earkers to December 15 The company receives $27,260 cash from a total of forty teams, and the race is held. December 16 The company pays Victor's salary of $1,600. December 31 The company pays a dividend of $4,480($2,28 to Tony and $2,26 to 5uzie). December 31 Using his personal money, Tony purchases a diamond ring for $5,580. Tony surprises Suzie by proposing that they get married. Suzie accepts and they get marriedl The following information relates to year-end adjusting entries as of December 31,2024. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $5.800. b. Six months' of the one-year insurance policy purchased on July 1 has expired. c. Four months of the one-year rental agreement purchased on September 1 has expired. d. Of the $1,100 of office supplies purchased on July 4,$350 remains. e. Interest expense on the $33,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,600 of racing supplies purchased on December 12,$180 remains. 9. Suzie calculates that the company owes $13,900 in income taxes. Prepare the journal entries for transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the firstaccount field.)