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, theyll 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 incorporation state that the corporation will sell $27,000$ shares of common stock for $$1$ each. Each share of stock represents a unit of ownership. Tony and Suzie will act as co$-$presidents of the company. The following business activities occur during July for Great Adventures. July $1$Sell $$13,500$ of common stock to Suzie.July $1$Sell $$13,500$ of common stock to Tony.July $1$Purchase a one$-$year insurance policy for $$4,920($$$410$ per month$)$ to cover injuries to participants during outdoor clinics.July $2$Pay legal fees of $$1,400$ associated with incorporation.July $4$Purchase office supplies of $$1,300$ on account.July $7$Pay $$380$ to a local newspaper for advertising to appear immediately for an upcoming mountain biking clinic to be held on July $15.$ Attendees will be charged $$50$ the day of the clinic.July $8$Purchase $10$ mountain bikes, paying $$18,400$ cash.July $15$On the day of the clinic, Great Adventures receives cash of $$2,000$ in total from $40$ bikers. Tony and Suzie conducts the mountain biking clinic.July $22$Because of the success of the first mountain biking clinic, Tony and Suzie holds another mountain biking clinic and the company receives $$2,350.$July $24$Pay $$820$ to a local radio station for advertising to appear immediately. A kayaking clinic will be held on August $10,$ and attendees can pay $$110$ in advance or $$160$ on the day of the clinic.July $30$Great Adventures receives total cash of $$5,500$ in advance from $50$ kayakers for the upcoming kayak clinic.The following transactions occur over the remainder of $2024.$August $1$Great Adventures obtains a $$34,000$ low$-$interest loan for the company from the city council, which has recently passed an initiative encouraging business development related to outdoor activities. The loan is due in three years, and $6\%$ annual interest is due each year on July $31.$August $4$The company purchases $14$ kayaks, paying $$14,300$ cash.August $10$Tony and Suzie conduct the first kayak clinic. In addition to the $$5,500$ that was received in advance from kayakers on July $30,$ the company receives additional cash of $$3,200$ from twenty new kayakers on the day of the clinic.August $17$Tony and Suzie conducts a second kayak clinic, and the company receives $$12,000$ cash.August $24$Office supplies of $$1,300$ 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 storage shed for one year, paying $$4,200($$$350$ per month$)$ in advance.September $21$Tony and Suzie conduct a rock$-$climbing clinic. The company receives $$14,000$ cash.October $17$Tony and Suzie conduct an orienteering clinic. Participants practice how to understand a topographical map, read an altimeter, use a compass, and orient through heavily wooded areas. The company receives $$19,800$ cash.December $1$Tony and Suzie decide to hold the companys 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 $$690.$December $5$To help organize and promote the race, Tony hires his college roommate, Victor. Victor will be paid $$60$ in salary for each team that competes in the race. His salary will be paid after the race.December $8$The company pays $$1,900$ to purchase a permit from a state park where the race will be held. The amount is recorded as a miscellaneous expense.December $12$The company purchases racing supplies for $$2,700$ on account due in $30$ days. Supplies include trophies for the top$-$finishing teams in each category, promotional shirts, snack foods and drinks for participants, and field markers to prepare the racecourse.December $15$The company receives $$27,600$ cash from a total of forty teams, and the race is held.December $16$The company pays Victors salary of $$2,400.$December $31$The company pays a dividend of $$4,700($$$2,350$ to Tony and $$2,350$ to Suzie$).$December $31$Using his personal money, Tony purchases a diamond ring for $$5,100.$ Tony surprises Suzie by proposing that they get married. Suzie accepts and they get married! The following information relates to year$-$end adjusting entries as of December $31,2024.$Depreciation of the mountain bikes purchased on July $8$ and kayaks purchased on August $4$ totals $$8,600.$Six months of the one$-$year insurance policy purchased on July $1$ has expired.Four months of the one$-$year rental agreement purchased on September $1$ has expired.Of the $$1,300$ of office supplies purchased on July $4,$ $$380$ remains.Interest expense on the $$34,000$ loan obtained from the city council on August $1$ should be recorded.Of the $$2,700$ of racing supplies purchased on December $12,$ $$250$ remains.Suzie calculates that the company owes $$13,700$ in income taxes