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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

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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'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 2021, Tony and Suzie organize their new company as a corporation, Great Adventures inc. The articles of Incorporation state that the corporation will sell 30,000 shares of common stock for $1 each Each share of stock represents a unit of ownership Tory and Suzie will act as co-presidents of the company. The following transactions occur from July 1 through December 31 Jul. 1 5.11 $15,000 of common stock to Susie. Jul 1 Cell $15,000 ot canoa tack to Tony Jul. Pacche se veut Insurance polloy tor 12.000 6200 per mothy to cover Injuries to participants Jul. ? vay legal of $1,100 Elated with incorporation. Jul Parehase office supplier of $1,000 on account. Jul. July 15. Mtendees will be charged $60 on the day of the clinic. Pay for advertising of 1260 to a local newspaper for upcoming mountain biking cline to be held on Jul. & Purchase 10 U bikes, paying $16,700 cash Jal. 15 on the day of the cline, Great Adventures receives canh of $3,600 from bikers. Tony conduct the mountain biking elinie. Pol. 32 Denuse of the west of the first notare boxing cline, Tony bolde another mountain biking clinic and the company receives $4,100. Jul. 24 pay $700 to local radio station for advertising to appear inmediately. A kayaking elinle will be held on 10, and attendees can pay $330 in advance or 6.80 the day of the ceinte. Jul. Great Adventures receive cash of $3.000 in advance from Kayakers for the upcoming kayak clinic Aug. Great Adventures obtain a $1,000 low-interest loan for the company from the city council, which has recently passed an initiative encouraging buto development related to outdoor activities. The due in three years, and annual Latarut dun each year on July 3 Moy. The company purchase 14 kayaks, paying $16.900 cash. Aug. 1e vesty aditional kayakers pay $3.000 ($180 each, in addition to the $7.00 that was paid in advance no. 17 tony conducts a second kayak elinie, and the company receives $12.200 cash. Sep. 1 to provide better storage of mountain bikes and layake when not in use, the company to storage shed for one year, paying $3.160 (6380 per month in advance Sep. 21 Tony conduct a rok-elimbing elit. The company receives 613,100 ch oct. 17 Tony condote an orienteering elit. Martie gaste praction how to understand a topographical map. read an altineter, use cops, and axle through heavily wooded areas. The company receives tony decided to hold the company that adventure race on receber 15. Your person team will race From checkpoint to checkpoint using a combination of mountain biking, kayaking, orienteering til i, en rock- on skills. The first toon in each category to complete all checkpoints in erder with try toe for each ten is $600 5 10 organize and promote the rece. Tony hires his college roommate. Vietor. Victor will be paid $70 in salary for a ton that compete in the race. Mis salary will be paid after the race Dec. The company pays 81,700 ta parehase a pornit from a state park where the race will be held. The Amount is recorded as a miscellaneous expenses Dec 17 The company purchases racing supplies for $2,800ccount due in a day. Supplies include trophies for the top-finishing teams in each category. romotional shirts, hack toode and drink tot Dec. is the company receives $24,000 cash from a total of forty teme, and the race a hela Dec. 16 The company prys Victor salary of $2,000. Dec. 31 The company pays dividend of 14,700 (02,350 to Tony and $2,350 to Sle) Dec. 31 wing his personal y Tony porch a diamond ring for $4,000. Tony surprise Surse by proposing that they got married. But accepte 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 $8.300 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 1has expired d. Of the $1000 of office supplies purchased on July 4, $200 remains e Interest expense on the $48.000 loan obtained from the city council on August 1should be recorded for the $2.800 of racing supplies purchased on December 12. $210 remains g Sutie calculates that the company owes $13,800 in income taxes Dee help

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