[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'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 enthuslasts. On July 1, 2024, Tony and Suzle organize their new company as a corporation, Great Adventures Incorporated The articles of incorporation state that the corporation will sell 32,000 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 1 Sell $10,600 of comnon stock to Suzie. July 1 Sell $10,600 of comnon stock to Tony. July 1 Purchase a one-year insurance policy for $4,800 ( $409 per nonth) to cover injuries to participants durins outdoor clinics. July 2 Pay legal fees of $1,500 associated with incorporation. July 4 Purchase office supplies of $1,800 on account. July 7 Pay $330 to a local newspaper for advertising to appear immediately for an upcoming nountain biking clinic July 8 Purchase 10 mountain bikes, paying 312 , e0e cash. July 15 On the day of the clinic, Great Adventures receives cash of $2, e9e in total from 40 bikers. lony and Suzie July 22 conduct the mountain biking clinic. Because of the success of the first mountain biking clinic, tony and Suzie bold another nountain biking clinic and the company receives 52,300. July 24 Pay $700 to a local radio station for advertising to appear immediately. A kayoking clinic will be held on August 10, and attendes cam pay s1ee in advance on $150 on the day of the clinic. July 30 Great Adventures receives total cash of 44,600 in advance from 40 kayakers for the upcoming kayak clinic. the following transactions occur over the remainder of 2024. August 1 Great Adventures obtains a $30,600 low-interest loan for the company from the city counci1, which has. recently passed an initlative encouragine business dovelopent related to outdoor artivities. The loan is due in three years, and 65 arewai interest is due each year on 341y31. August a The compary purchases 14 kayaks, payine 528,000 cash. August 4 The company purchases 14 kayaks, paying. $28,090 cash. August 19 Tony and Suzie conduct the first kayak clinic. In addition to the 54 , 0e that was received in advance froo kayakers on July 30 , the company receives additional cash of $3,069 froe 26 new kayakers on the day of the citinic. August 17 Tony and Suzie conduct a second kayak clinic, and the conpany receives $10,590 cash. August 24 Office supplies of $1, 8ee purchased on July a are paid in full. September 1 To provide better storage of nountain bikes and kayaks when not in use, the company rents a storage shed for one year, paying $2,46B ( $200 per month) in advance. September 21 Tony and Suzie conduct a rock-cliebing clinic. The company receives \$13,200 casti. October 17 Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a topographical. map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $17,900 cash. December 1 Tony and Suzie decide to hold the coepany"s first adventure race on Decenber is. Four-person teams wil1 race fron checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The fiest team in each category to complete all checkpoints in order wins. The entry fee for each team is $59 s. 2 Deceeber 5 To help organize and promote the race, Tony hires his college roomate. Victor. Victor will be paid sse in salary for each tean that competes in the race. His salary Will be paid atter the race. December 5 . The compary pays $1,200 to purchase a permit fron a state park where the race will be held. The anount is recorded as a miscellaneous expense. Decenber 12 . The company purchases racing supplies for $2,308 on account due in 30 days. 5 applies include trophies ton the top-finishing teans in each categony, pronotional shirts, snack foods and deinks for participants, and field markers to propare the racecourse. Decenber 15 The company receives $20,000 cash from a total of forty teams, and the race is held. Decenber 16 The company pays Victorts salary of $2,690. Decesber 31 The company pays a dividend of $4,009 (\$2,000 to Tony and $2,000 to 5uzie). Decenber 31 Usine his personal noney, Tony purchases a dianund ring for s4, soo. Iony surprises suzie by proposinut that they get mareied. Suzie accepts and they get marmiedt 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 $8.000 b. Six months' of the one-year insurance policy purchased on July 1 has explred. c. Four months of the one-yeat rental agreement purchased on September 1 has expired. d. Of the $1,800 of office supplies purehased on July 4,$300 remalne. 6. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. d. Of the $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplies purchased on December 12,$200 remains. g. Suzie calculates that the company owes $14,000 in income taxes. 8. Prepare a post-closing trial balance as of December 31,2024 . 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, orlenteering, 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 32,000 shares of common stock for $1 each. Each share of stock represents a unit of ownership. Tony and Suzle will act as co-presidents of the company. The following business activities occur during July for Great Adventures. July 1 Sell $10,800 of common stock to Suzie. July 1 Sol1 $10,600 of common stock to Tony. July 1 Purchase o one-year insurance policy for $4,800 (\$4e0 per month) to cover injuries to participants during July 2 Pay legal fees of $1,590 associated With incorporation. July 4 Purchase office supplies of $1,800 on account. July 7 Pay $300 to a local newspaper for advertising to appear innediately for an upconing mountain biking clinic Tuly be held on July 15. Attendees will be charged \$5e the day of the clinic. July 15 Purchase 10 nountain bikes, paying $12,000 cash. Y 15 On the day of the clinic, Great Adventures receives cash of $2,000 in total fron 40 bikers. Tony and 5uzie July 22 conduct the mountain biking clinic July 24 Plinic and the company receives $2,300. August 10, and attendees can pay $100 in advance or $150 on the day of the clinic. July 30 Great Adventures receives total cash of $4,000 in advance fron 40 kayakers for the upcoming kayak clinic: The following transactions occur over the remainder of 2024 . August 1 Great Adventures obtains a $30,000 low-interest loan for the coepany from the city counci1, 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 A The company purchases 14 kayaks, paying 528,000 cash. August 10 Tony and Suzie conduct the first kayak elinic. In addition to the $4,000 that was received in advance from kayakers of July 30, the coepany receives additional cash of $3,000 from 20 new kayakers on the day of the clinic. August 17 Tony and Suzie conduct a second kayak clinic, and the company receives $10,500 cash. August 24 office supplies of $1,800 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 stocage shed for one year, paying $2,400 (\$200 per month) in advance. September 21 Tony and Suzie conduct a rock-climbing clinic. The company receives $13,2 cash. October 17 Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a topographical map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $17,900 cash. December 1 Tony and Suzie decide to hold the company's first adventure race on December 15. Four-person teams will race from checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The first team in each category to complete all checkpoints in order wins. The entry fee for each team is $500. December 5 To help organize and pronote the race, Tony hires his college roommate, Victor. Victor will be paid 350 in salary for each team that competes in the race. His salary will be paid after the race. December 8 The company pays $1,200 to purchase a permit from a state park where the race will be held. The amount is recorded as a miscellaneous expense. December 12 The company purchases racing supplies for $2,800 on account due in 30 days. Supplies include trophies for the top-finishing teans in each category, promotional shirts, snack foods and drinks for participants, and field markers to prepare the raceco December 15 The company receives $2,090 cash from a total of forty teams, and the race is held. December 16 The company pays Victor's salary of $2,090. December 31 The company pays a dividend of $4,000 (\$2,000 to Tony and $2,000 to suzie). Decenber 31 Using his personal money, Tony purchases a diamond ring for \$4,500. 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 $8,000. 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 $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30.000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplles purchased on December 12,$200 remains. 9. Suzie calculates that the company owes $14.000 in income taxes. December 16 The company pays Victor's salary of $2,000. December 31 The company pays a dividend of $4,600($2,000 to Tony and $2,000 to Suzie). December 31 Using his personal money, Tony purchases a diamond ring for $4,500. Tony surprises Suzie by propo they get married. Suzie accepts and they get married The following information relates to year-end adjusting entrles as of December 31, 2024. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,000. 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 explred. d. Of the $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplies purchased on December 12,$200 remains. 9. Suzie calculates that the company owes $14,000 in income taxes. 8. Prepare a post-closing trial balance as of December 31, 2024. 8. Prepare a post-closing trial balance as of December 31,2024. \begin{tabular}{|l|l|} \hline Notes Payable \\ \hline Common Stock \\ \hline Retained Earnings \\ \hline Dividends \\ \hline Service Revenue (Clinic) \\ \hline Service Revenue (Racing) \\ \hline Advertising Expense & \\ \hline Depreciation Expense & \\ \hline Income Tax Expense & \\ \hline Insurance Expense & \\ \hline Interest Expense & \\ \hline Legal Fees Expense & \\ \hline Miscellaneous Expense & \\ \hline Rent Expense & \\ \hline Salaries Expense & \\ \hline Supplies Expense (Office) \\ \hline Supplies Expense (Racing) \\ \hline Totals \\ \hline \end{tabular} [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'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 enthuslasts. On July 1, 2024, Tony and Suzle organize their new company as a corporation, Great Adventures Incorporated The articles of incorporation state that the corporation will sell 32,000 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 1 Sell $10,600 of comnon stock to Suzie. July 1 Sell $10,600 of comnon stock to Tony. July 1 Purchase a one-year insurance policy for $4,800 ( $409 per nonth) to cover injuries to participants durins outdoor clinics. July 2 Pay legal fees of $1,500 associated with incorporation. July 4 Purchase office supplies of $1,800 on account. July 7 Pay $330 to a local newspaper for advertising to appear immediately for an upcoming nountain biking clinic July 8 Purchase 10 mountain bikes, paying 312 , e0e cash. July 15 On the day of the clinic, Great Adventures receives cash of $2, e9e in total from 40 bikers. lony and Suzie July 22 conduct the mountain biking clinic. Because of the success of the first mountain biking clinic, tony and Suzie bold another nountain biking clinic and the company receives 52,300. July 24 Pay $700 to a local radio station for advertising to appear immediately. A kayoking clinic will be held on August 10, and attendes cam pay s1ee in advance on $150 on the day of the clinic. July 30 Great Adventures receives total cash of 44,600 in advance from 40 kayakers for the upcoming kayak clinic. the following transactions occur over the remainder of 2024. August 1 Great Adventures obtains a $30,600 low-interest loan for the company from the city counci1, which has. recently passed an initlative encouragine business dovelopent related to outdoor artivities. The loan is due in three years, and 65 arewai interest is due each year on 341y31. August a The compary purchases 14 kayaks, payine 528,000 cash. August 4 The company purchases 14 kayaks, paying. $28,090 cash. August 19 Tony and Suzie conduct the first kayak clinic. In addition to the 54 , 0e that was received in advance froo kayakers on July 30 , the company receives additional cash of $3,069 froe 26 new kayakers on the day of the citinic. August 17 Tony and Suzie conduct a second kayak clinic, and the conpany receives $10,590 cash. August 24 Office supplies of $1, 8ee purchased on July a are paid in full. September 1 To provide better storage of nountain bikes and kayaks when not in use, the company rents a storage shed for one year, paying $2,46B ( $200 per month) in advance. September 21 Tony and Suzie conduct a rock-cliebing clinic. The company receives \$13,200 casti. October 17 Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a topographical. map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $17,900 cash. December 1 Tony and Suzie decide to hold the coepany"s first adventure race on Decenber is. Four-person teams wil1 race fron checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The fiest team in each category to complete all checkpoints in order wins. The entry fee for each team is $59 s. 2 Deceeber 5 To help organize and promote the race, Tony hires his college roomate. Victor. Victor will be paid sse in salary for each tean that competes in the race. His salary Will be paid atter the race. December 5 . The compary pays $1,200 to purchase a permit fron a state park where the race will be held. The anount is recorded as a miscellaneous expense. Decenber 12 . The company purchases racing supplies for $2,308 on account due in 30 days. 5 applies include trophies ton the top-finishing teans in each categony, pronotional shirts, snack foods and deinks for participants, and field markers to propare the racecourse. Decenber 15 The company receives $20,000 cash from a total of forty teams, and the race is held. Decenber 16 The company pays Victorts salary of $2,690. Decesber 31 The company pays a dividend of $4,009 (\$2,000 to Tony and $2,000 to 5uzie). Decenber 31 Usine his personal noney, Tony purchases a dianund ring for s4, soo. Iony surprises suzie by proposinut that they get mareied. Suzie accepts and they get marmiedt 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 $8.000 b. Six months' of the one-year insurance policy purchased on July 1 has explred. c. Four months of the one-yeat rental agreement purchased on September 1 has expired. d. Of the $1,800 of office supplies purehased on July 4,$300 remalne. 6. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. d. Of the $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplies purchased on December 12,$200 remains. g. Suzie calculates that the company owes $14,000 in income taxes. 8. Prepare a post-closing trial balance as of December 31,2024 . 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, orlenteering, 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 32,000 shares of common stock for $1 each. Each share of stock represents a unit of ownership. Tony and Suzle will act as co-presidents of the company. The following business activities occur during July for Great Adventures. July 1 Sell $10,800 of common stock to Suzie. July 1 Sol1 $10,600 of common stock to Tony. July 1 Purchase o one-year insurance policy for $4,800 (\$4e0 per month) to cover injuries to participants during July 2 Pay legal fees of $1,590 associated With incorporation. July 4 Purchase office supplies of $1,800 on account. July 7 Pay $300 to a local newspaper for advertising to appear innediately for an upconing mountain biking clinic Tuly be held on July 15. Attendees will be charged \$5e the day of the clinic. July 15 Purchase 10 nountain bikes, paying $12,000 cash. Y 15 On the day of the clinic, Great Adventures receives cash of $2,000 in total fron 40 bikers. Tony and 5uzie July 22 conduct the mountain biking clinic July 24 Plinic and the company receives $2,300. August 10, and attendees can pay $100 in advance or $150 on the day of the clinic. July 30 Great Adventures receives total cash of $4,000 in advance fron 40 kayakers for the upcoming kayak clinic: The following transactions occur over the remainder of 2024 . August 1 Great Adventures obtains a $30,000 low-interest loan for the coepany from the city counci1, 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 A The company purchases 14 kayaks, paying 528,000 cash. August 10 Tony and Suzie conduct the first kayak elinic. In addition to the $4,000 that was received in advance from kayakers of July 30, the coepany receives additional cash of $3,000 from 20 new kayakers on the day of the clinic. August 17 Tony and Suzie conduct a second kayak clinic, and the company receives $10,500 cash. August 24 office supplies of $1,800 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 stocage shed for one year, paying $2,400 (\$200 per month) in advance. September 21 Tony and Suzie conduct a rock-climbing clinic. The company receives $13,2 cash. October 17 Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a topographical map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $17,900 cash. December 1 Tony and Suzie decide to hold the company's first adventure race on December 15. Four-person teams will race from checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The first team in each category to complete all checkpoints in order wins. The entry fee for each team is $500. December 5 To help organize and pronote the race, Tony hires his college roommate, Victor. Victor will be paid 350 in salary for each team that competes in the race. His salary will be paid after the race. December 8 The company pays $1,200 to purchase a permit from a state park where the race will be held. The amount is recorded as a miscellaneous expense. December 12 The company purchases racing supplies for $2,800 on account due in 30 days. Supplies include trophies for the top-finishing teans in each category, promotional shirts, snack foods and drinks for participants, and field markers to prepare the raceco December 15 The company receives $2,090 cash from a total of forty teams, and the race is held. December 16 The company pays Victor's salary of $2,090. December 31 The company pays a dividend of $4,000 (\$2,000 to Tony and $2,000 to suzie). Decenber 31 Using his personal money, Tony purchases a diamond ring for \$4,500. 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 $8,000. 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 $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30.000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplles purchased on December 12,$200 remains. 9. Suzie calculates that the company owes $14.000 in income taxes. December 16 The company pays Victor's salary of $2,000. December 31 The company pays a dividend of $4,600($2,000 to Tony and $2,000 to Suzie). December 31 Using his personal money, Tony purchases a diamond ring for $4,500. Tony surprises Suzie by propo they get married. Suzie accepts and they get married The following information relates to year-end adjusting entrles as of December 31, 2024. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,000. 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 explred. d. Of the $1,800 of office supplies purchased on July 4,$300 remains. e. Interest expense on the $30,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,800 of racing supplies purchased on December 12,$200 remains. 9. Suzie calculates that the company owes $14,000 in income taxes. 8. Prepare a post-closing trial balance as of December 31, 2024. 8. Prepare a post-closing trial balance as of December 31,2024. \begin{tabular}{|l|l|} \hline Notes Payable \\ \hline Common Stock \\ \hline Retained Earnings \\ \hline Dividends \\ \hline Service Revenue (Clinic) \\ \hline Service Revenue (Racing) \\ \hline Advertising Expense & \\ \hline Depreciation Expense & \\ \hline Income Tax Expense & \\ \hline Insurance Expense & \\ \hline Interest Expense & \\ \hline Legal Fees Expense & \\ \hline Miscellaneous Expense & \\ \hline Rent Expense & \\ \hline Salaries Expense & \\ \hline Supplies Expense (Office) \\ \hline Supplies Expense (Racing) \\ \hline Totals \\ \hline \end{tabular}