Required information [The following information applies to the questions displayed 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'il 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 incciporation 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. 5u1y 1 July 1 July 1 July 2 July 4 fuly 7 July 8 July 15 July 22 Juty 24 5u1y 30 Se11 \$13,500 of coman stock to Suzie. 5011$13,500 of common stock to rony, purchase a ene-year insurance policy for $4,200 (\$350 per month) to cover injuries to participants during outdoor olinies. Pay legal fees of $2,000 associated with incorporation. Purchase office supplies of $1,100 on account. Pay $370 to a local fewspaper for advertising to appear inmediately for an upcoming mountain biking olinic to be held on Jaly 15 . Attendees will bo eharged $50 the day of the olinic. Purchase 10 mountain bikes, paying $18,800 eash. On the day of the elinte, Great Adventures receives cash of $2,500 in total from 50 bikers. Tony and Suzie conducts the mountain biking elinic. Because of the success of the first nountain biking elinie, Tony and suzie holds another mountain biking elinic and the conpany receives $3,050. be held on Rugust 10 , and attendees can pay $140 in adyance or $190 on the day of the olinie. Great Adventures receives total cash of $8,400 in advance from 60 kayakers for the upcoming kayak elinie. The following transactions occur over the remainder of 2024. Tuguat 1 Great Adventures obtains a $44,000 low-interest loan for the conpany from the eity eouncil, which has recently passed an initiative encouraging business development related to outdoor activities. The loan is due in three years, and 6 t annual interest is due each year on July 31 . The cempany purchases 14 kayaks, paying $18,200 cash. Asqust 4 Aggust 10 Tony and Suzie conduct the first kayak olinie. In addition to the $8,400 that was received in advance from kayakers on July 30 , the conpasy receives additional cash of $3,800 froen twenty new kayakers on the day of the clinic. August 17 paytieipante during outdoor elinies. Jaly 2 uly 4 July 7 July a Jaly +5 uly 2 ? July 24 Jaly 30 Pay legal fees of $2,000 associated with incorporation. Purchase office supplies of $1,100 on account. Parchase offtce supplien of a local newspaper for advertising to appear inediately for an upeoniag mountaln Pay $370 to a Local newspaper for advertising to appear irsediateiy tor an upeoniag mowsta Purchase 10 molantain bikes, paying 516,800 cash. Purchase io posntain bikes, paying $16,800 cash. and suzie conducts the nountain biking olinic. becsuse of the suecesn of the fiest mountain biking elinie, Fony and forie holds anocher mountain biking elinio and the company. receives $3,050+ Tay $920 to a local radio atation for advertising to appear iracediatoly, A kayaking elinie will be held on Nugust 10 , and attendees can pay $140 in advance or $190 on the day of the olinie. creat Adventures received total cash of 58,400 in advabee from 60 kayakers for the upconing kayak elinie. The followlag trannactiens occur over the renainder of 2024. Great Adventures obtains a 44,000 low-interest loan for the cospany from the oity eoundesis which has recently passed an initiative encouraging business developeent related to ostdoof which has recentiy passed an initiotiven encouraging basiness developeent ieiated co outdogr Mugust 4 The compasy purchases 14 kayaks, paying. 518,200 cash. Nugust 4 The compasy purchased id kayaks, paying fio, 200 cast, kayakers on the day of the elinle. August 17 Tony and sutio conducts a second kayak elisie, asd the company recelves 510,600 cask. office supplies of 51,100 purchased on July 4 are paid in full. Augunt 24 feptember 1 To provide better storage of mountain bikes and kayakn when not in ube, the company reati a io provide better btorage of mountain bikes and kayaka when not in ube, oeptemer 17 Tony and suzie conduct an orienteering elinie. Participants practice how te understand a The econpany recelves $11, soo eash. Decenber 1 Tony and suzie decide to hold the conpany's firat adventare race on Deceiber is. Four-peraon orienteering, trail running, and roek-elimbing akills, whe first tean in each category to corplete all eheekpoints in order wins, whe entry fee for each tean is 5600. December 5 To belp organile and promote the race, Toby hires his college roomiate, victor, Victor vill be race, December. 6 The conpany pays $1,700 to purchase a pernit from a state park where the race will be held, The anount in recorded all a niscellaneous expense. December 12 The corpany purdhases racing aupplien for 52,800 on aceeunt due in 30 days. Supplies ind lade the coepany pordhases racing auppites for for for the top-finishing teans in each eategory, promational ahirts, anack focds and drinks for partieipants, and field markera to prepare the racecourse. Deceinher 15 The company receives 527,200 cash from a total of forty teans, asd the race is held. Decerber 16 The conpany pay Victor'a nalary of $2,000. Decenber 31 the company pays a dividend of 53,200 (51,600 to Fony and $1,600 to suzie). Decenber 31 Using his porbonal money, Tony purchases a dianond ring for 54,500 . Tony burpeises suzie by proposing that they get narried. Suzje accepts and they get narried! 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 $7,600. 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,$260 remains. e. Interest expense on the $44,000 loan obtained from the city council on August 1 should be recorded f. Of tre $2,800 of racing supplies purchased on December 12,$220 remains. g. Suzie calculates that the company owes $13,700 in income taxes. 2. Record adjusting entries as of December 31,2024 . (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 4567 Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $7,600. required in the first account field.) Journal entry worksheet 345,7 Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $7,600. Note: Enter debits before credits. required" in the first account field.) Journal entry worksheet 56+7 Six months' of the one-year insurance policy purchased on July 1 has expired. Note: Enter debits before credits required" in the first account field.) Journal entry worksheet 56,7 Four months of the one-year rental agreement purchased on September 1 has expired. Notei Enter debits before credits. Journal entry worksheet 567 Of the $1,100 of office supplies purchased on July 4,$260 remains. Note: Enter debits before credits. Journal entry worksheet 1 should be recorded. Note: Enter debits before credits. 2. Record adjusting entries as of December 31,2024. (If no entry is required for a transaction/event, select "No journal entry required " in the first account field.) Journal entry worksheet Of the $2,800 of racing supplies purchased on December 12,$220 remains: Note: fnter debits before credes. 2. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Suzie calculates that the company owes $13,700 in income taxes. Note: Inter debits befare credits