Required information Great Adventures Problem AP5-1 [The following information applies to the questions displayed below.] Tony and Suzie are ready to expand Great Adventures even further in 2022. Tony believes that many groups in the community (for example, Boy Scouts, church groups, civic groups, and local businesses) would like to hold one-day outings for their members. Groups would engage in outdoor activities such as rock climbing, fishing, capture the flag, paintball, treasure hunts, scavenger hunts, nature hikes, and so on. The purpose of these one-day events would be for each member of the group to learn the importance of TEAM (Together Everyone Achieves More). Tony knows that most people are not familiar with these types of activities, so to encourage business he allows groups to participate in the event before paying. He offers a 6% quick-payment discount to those that pay within 10 days after the event. He also guarantees that at least eight hours of outdoor activities will be provided or the customer will receive a 20% discount. For the first six months of the year, the following activities occur for TEAM operations. Jan. 24 Great Adventures purchases outdoor gear such as ropes, helmets, harnesses, compasses, and other miscellaneous equipment for $5,500 cash. Feb. 25 Mr. Kendall's Boy Scout troop participates in a one-day TEAM adventure. Normally, Tony would charge a group of this size $4,000, but he wants to encourage kids to exercise more and enjoy the outdoors so he charges the group only $3,500. Great Adventures provides these services on account. Feb. 28 The Boy Scout troop pays the full amount owed, less the 68 quick-payment discount. Mar. 19 Reynold's Management has its employees participate in a one-day TEAM adventure. Great Adventures provides services on account for $4,500, and Reynold's agrees to pay within 30 days. 27 Reynold's pays the full amount owed, less the 68 quick-payment discount. Apr. 7 Several men from the Elks Lodge decide to participate in a TEAM adventure. They pay $8,000, and the event is scheduled for the following week. Apr 14 The TEAM adventure is held for members of the Elks Lodge. Apr. 30 Myers Manufacturing participates a TEAM adventure. Great Adventures provides services on account for $6,500, and Myers agrees to pay within 30 days. May 31 Myers Manufacturing fails to pay the amount owed within the specified period and agrees to sign a three-month, 98 note receivable to replace the existing account receivable. Jun. 15 Several MBA groups participate in TEAM adventures. Great Adventures provides services on account for $26,500 to these groups, with payment due in July. Mar. Great Adventures Problem AP5-1 Part 1 Required: 1. Record TEAM adventure transactions occurring during the first six months of 2022. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 > Great Adventures purchases outdoor gear such as ropes, helmets, harnesses, compasses, and other miscellaneous equipment for $5,500 cash. Note: Enter debits before credits Date General Journal Debit Credit Jan. 24, 2022 Record entry Clear entry View general Journal View transaction list Journal entry worksheet Record adjusting entry for uncollectible accounts. Note: Enter debits before credits. Date General Journal Debit Credit Jun 30, 2022 Record entry Clear entry View general Journal b. Accrue one month of interest on the note receivable from Myers Manufacturing. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the accrued interest revenue. Note: Enter debits before credits. Date General Journal Debit Credit Jun 30, 2022 Record entry Clear entry View general Journal c. Prepare a partial balance sheet showing the net accounts minus sign.) ceivable section. (Amounts to should ind ated by a GREAT ADVENTURES, INC. Partial Balance Sheet June 30, 2022 Assets Current Assets Net Accounts Receivable Great Adventures Problem AP6-1 Part 1 Required: 1-a. Calculate sales revenue, cost of goods sold, and ending inventory as of December 31, 2022, assuming Suzie uses FIFO to account for inventory. Sales Revenue Cost of Goods Sold Ending Inventory 1-b. Prepare the gross profit section of a partial income statement for transactions related to MU watches. GREAT ADVENTURES, INC. Partial Income Statement For the Year Ended December 31, 2022 Gross profit Great Adventures Problem AP6-1 Part 2 2. Late in December, the next generation of multiuse (MU II) watches is released. In addition to all of the features of the MU watch, the MU II watches are equipped with a global positioning system (GPS) and have the ability to download and play songs and videos off the Internet. The demand for the original MU watches is greatly reduced. As of December 31, the estimated net realizable value of MU watches is only $90 per watch. a. Record any necessary adjustment on December 31, 2022, related to this information. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the adjustment for inventory. Note: Enter debits before credits. Date General Journal Debit Credit Dec. 31, 2022 Record entry Clear entry View general Journal b. For what amount would MU inventory be reported in the December 31, 2022, balance sheet? MU Inventory c. Prepare an updated gross profit section of a partial income statement accounting for this additional information. GREAT ADVENTURES, INC. Partial Income Statement For the Year Ended December 31, 2022 Gross Profit Required: 1. Record the expenditures related to the vehicle on July 1, 2022. Note: The capitalized cost of the vehicle is recorded in the Equipment account. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 > Record the expenditures related to the new vehicle. Note: Enter debits before credits. General Journal Debit Credit Date Jul 01, 2022 Record entry Clear entry View general Journal Great Adventures Problem AP7-1 Part 3 3. Prepare a depreciation schedule using the straight-line method. GREAT ADVENTURES End of Year Amounts Depreciation Accumulated Expense Depreciation Year Book Value 2022 2023 2024 2025 2026 2027 Total Great Adventures Problem AP7-1 Part 4 4. Record the depreciation expense and any other adjustments related to the vehicle on December 31, 2022. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the depreciation expense for the vehicle. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31, 2022 Record entry Clear entry View general Journal