The following information applies to the questions displayed below.j On July 1, 2018, Tony and Suzie organize their new company as a corporstion, Great Adventures Inc. The following transactions occur from August 1 through December 31. Also, the bslances are provided for the month ended July 31. The articles of incorporation stste that the corporstion will sell 27,000 shares of common stock for $1 esch. Each share of stock represents a unit of ownership. Tony and Suzie will sct as co-presidents of the company. The following business octivities occur during July for Grest Adventures. Jul. 1 Sell $13,500 of common stock to Suzie. Jul.1Sell $13,500 of common stock to Tony. Jul.1 Purchase a one-yesr insurance policy for $5,520 (5460 per month) to cover injuries to participants during outdoor clinics. Jul. 2 Pay legal fees of $1,200 associated with incorporation. Jul.4 Purchsse office supplies of $1,000 on account Jul. 7 Pay for advertising of $330 to a local newspaper for an upcoming mountsin biking clinc to be held on July 15. Attendees will be charged $40 the day of the clinic. Jul. 8 Purchsse 10 mountain bikes, paying $14,800 cash. Jul. 15 On the day of the clinic, Grest Adventures receives cash of $2,000 from 50 bikers. Tony conducts the mountain biking clinic. Jul. 22 Because of the success of the first mountain biking clinic. Tony holds snother mountain biking cnic and the company receives $2,600. Jul. 24 Pay for advertising of $850 to a local radio station for a kaysking clinic to be held on August 10. Attendees can psy $130 in advance or $180 on the day of the clinic. Jul. 30 Grest Adventures receives cash of $6,500 in advance from 50 kayakers for the upcoming kayak clinic. Aug. 1 Great Adventures obtains$35,000 low-interest loon for the company from the city council, which has recently passed an initistive 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, Aug. 4 The company purchases 14 kayaks, paying $12,000 cash. Aug. 10 Twenty additional kayakers pay $3,600 ($180 esch), in sddition to the $6,500 that wes paid in advance on July 30, on the day of the clinic. Tony conducts the first ksyak clinic. Aug. 17 Tony conducts a second kayak clinic, and the company receives $11,100 cash. Aug. 24 Office supplies of $1,000 purchased on July 4 are paid in full. Sep. 1To provide better storage of mountain bikes and kayaks when not in use, the compony rents a storage shed, purchasing s one-year rental policy for $3,720 (5310 per month). Sep. 21 Tony conducts a rock-climbing clinic. The compsny receives $15,100 cash. Oct 17 Tony conducts an orienteering clinic. Participants practice how to understand a topographical map, resd an altimeter, use a compsss, and orient through heavily wooded areas. The compsny receives $18,600 cash. Dec. 1 Tony decides to hold the company's first adventure race on December 15. Four-person teams will rsce from checkpoint to checkpoint using a combination of mountain biking, kaysking, 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.Dec 5 To help organize and promote the race, Tony hires his college roommate, Victor. Victor will be psid S50 in salary for esch team that competes in the race. His salary will be paid after the race Dec 8 The company pays $1,700 to purchase a permit from a state park where the race will be held. The amount is recorded as a miscellaneous expense.Dec. 12 The company purchases racing supplies for $3,000 on account due in 30 dsys. Supplies include trophies for the top-finishing teams in each category, promotional shirts, snack foods and drinks for participants, and field markers to prepsre the racecourse Dec. 15 The company receives $20,000 cash from a total of forty teams, and the race is held Dec. 16 The company pays Victor's salary of $2,000. Dec. 31 The company psys a dividend of $4,900 ($2450 to Tony and $2,450 to Suzie). Dec. 31 Using his personal money. Tony purchases a diamond ring for $4,600. Tony surprises Suzie by proposing that they get married. Suzie accepts and they get married! The following information relstes to year-end adjusting entries as of December 31, 2018. a. Depreciation of the mountain bikes purchssed on July 8 and kayaks purchased on August 4 totsls $7,400. b. Six months' worth of insursnce has expired. C. Four months' worth of rent has expired. d. Of the $1,000 of office supplies purchased on July 4, $330 remains. e. Interest expense on the $35,000 loan obtained from the city council on August 1 should be recorded. f. Of the S3,000 of rscing supplies purchased on December 12, $180 remains. g. Suzie calculates that the company owes $14,900 in income taxes. Assume the following ending balances for the month of July. $15.400 5,520 1,000 14,800 1,000 6,500 27,000 Prepaid insurance Supplies (Office) Equipment (Bikes) s payable Deferred revenue Common stock Service revenue (Clinic) Advertising expense Legal fees expense 1180 1,200 3. Post transactions from August 1 through December 31 and adjusting entries on December 31 to T-accounts. (Be sure to Ino beginning balances In the T-accounts.) Beg. Bal Beg. Bal End. Bal End. Bal ld Re Beg. Bal Beg. Bal End. Bal End. Ball B (Racing Equipment (Bike8) Beg. Bal Beg. Bal End. Bal End. Ball Accumulated Depreclation Equipment (Kayaks) Beg. Bal Beg. Bal End. Bal End. Ball Revenue Beg. Bal Beg. Bal End. Bal End. Ball e Tax Payable Beg. Bal Beg. Bal End. Bal End. Ball e Payable Stock Beg. Bal Beg. Bal End. Bal End. Ball Revenue (Clinic) Beg. Bal Beg. Bal End. Bal End. Bal g Expense Beg. Bal Beg. Bal End. Bal End. Bal Miacellaneous Expenae Beg. Bal Beg. Bal End. Bal End. Bal n Expenee Beg. Bal Beg. Bal End. Bal End. Bal Beg. Bal Beg. Bal End. Bal End. Bal Supplles Expense (otrice) Expenee (Racing Beg. Bal Beg. Bal End. Bal End. Bal Beg. Bal Beg. Bal End. Bal End. Bal