Required information The following information applies to the questions displayed below! Tony and Suzie graduate from college in May 2021 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 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, 2021. Tony and Surie organize their new company as a corporation, Great Adventures Inc. The articles of Incorporation state that the corporation will sell 31000 shares of common stock for $1 each Each share of stock represents a unit of ownership. Tony and Sule will act as co presidents of the company. The following transactions occur from July through December 31 2011 515,500 of common steek te sexie Jul. 1 Set 115,500 of common work to Tony Jul. Pirchase one-year insurance policy for $5.00 (+90 per months to cover injuries to participants during outdoor inte Jul. 2 ray legal fees of $1,900 coated with incorporation Jul. Purchase office supplies of $1,100 on account. ou pay for advertising of $200 to a local newspaper for an upcoming mountain biking line to be sold July 15. Attendees will be charged $60 on the day of the elite. ul. Phase 10 mountain bikes, paying $11,400 cash Jul 15 on the day of the clinic, Great Adventures receives cash of $3,000 from 50 bars. Tony conducte the mountain biking elit. Jul 22 decuse of the success of the first mountain bikin linie, Tony Molde another mountain biking clinie and the company receives $2.500. Jal. 20 Pay 5120 to a local radio station for advertising to appear immediately. A kayaking line will be held on August 10, and attendees can pay $150 in advance or 5200 on the day of the clinic Jal. Great Adventures receive cash of $10,500 in advance from 70 bayar to the upcoming kayak clinic s. 1 Grest Adventures obtain a $47.000 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 annual interest is de each year on July 31. MagThe company purchases 14 kayaks, paying $19,500 cash. Mag. 10 Twenty additional kayakers pay $4.000 8200 each), in addition to the $10.500 that was paid is Aug. 17 Tony conducte second kayak elini, and the company receives $11,500 cash advance on July , on the day of the clinic. Tony conduct the first layak cinte. Aug. 24 office supplies of $3,100 purchased on July 4 are paid in full. Sep. To provide better storage of mountain bikes and kayaks when not in use, the company re&ore shed for one year, paying $2.520 15210 per month) in advance Sep. 21 Tony conducte roekelimbing olinie. The company receives 614,100 cash oct. 17 Tony conducte en orienteering clinte. Participants practice how to understand topographical map read an altinete, a compars, and orient through twily wooded areas. The company receive 519,00 ca. Dec. Tomy decide to hold the conpany's first adventure tee on December 1. Four person team will race trom checkpoint to checkpoint wing combination of mountain biking, kayaking orientering, trast Tandreek elimbing skills. The first team is each category to complete all checkpoint is erder is. The entry fee for each team is 5640 Dec. s te help organize and promote the re, Tony tres his college roomate, Victor. Vieter will be paid 5461 tary for them that competes in the race. Helary will be paid after the race. Dec. amount is recorded as a leende. The company as 12.000 to purchase pernit from a state park where the race will be held. The Dec. 12 The company parchases racing sopplies for $2.700. account due in 3 days. Supplies include trophies for the top finishing teams in each category, promotional shirts, shack foods and drink for participants, and field markera to prepare the racecourse. Dec. 15 The company receives $25,00 cash from a total of forty tend the rece hald. Dec. 16 The company pays victor's salary of $1.co. Dec. 31 The company pays dividend of $5,000 ($1,500 to Tony and $1.500 to Suri) Dec.31 Using his personal money, Tony purch dimond ring for $4,400. Tony surprise Sutie by peoposing that they get married. Gusse accepts and they get married The following information relates to year-end adjusting entries as of December 31 2021 Depreciation of the mountain bikes purchased on July and kayaks purchased on August 4 totals $8,200 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 has expired. e Interest expense on the $47.000 toan obtained from the city council on August 1 should be recorded of the $2.700 of racing supplies purchased on December 12, 5230 remains Suzie calculates that the company owes $13,800 in income taxes 4. Prepare an adjusted trial balance as of December 31, 2021 4. Prepare an adjusted trial balance as of December 31, 2021. GREAT ADVENTURES, Inc. Adjusted Trial Balance December 31, 2021 Accounts Debit Credit Cash Prepaid Insurance Prepaid Rent Supplies (Office) Supplies (Racing) Equipment (Bikes) Equipment (Kayaks) Accumulated Depreciation Accounts Payable Income Tax Payable Interest Payable Notes Payable Common Stock Dividends Service Revenue (Clinic) Service Revenue (Racing) Advertising Expense Depreciation Expense Income Tax Expense Insurance Expense Interest Expense Legal Fees Expense Miscellaneous Expense Rent Expense Salries Expense Supplies Expense (Office) Supplies Expense (Racing) Totals