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 Suzie will act as co-presidents of the company. The following business activities occur during July for Great Adventures. July 30 Great adventures receives total cash of $10,500 in advance from 70 kayakers for the upcoting The following transactions oceur over the renainder of 2024 . Auguat 1 Great Adventures obtains a $45,000 low-interest loan for the conpany fron the oity counoll, which han recently passed an initiative encouraging business developenent related to outdoor activities. The loan is due in three yeara, and 6t annual interest is due each year on July 31. Auguat 4 The company purehasen 14 kayake, paying $20,400 caah. Auguet 10 Tony and suzie conduct the tirat kayak elinio. In addition to the $10,500 that was received in kayakers fron kayakers on July 30 , day of the elinie. Mugust 17 Tony and suzie conduets a second kayak olinic, and the conpany receives $12,300 cash. Augaist 24 of fice supplies of $1,400 purchased on Joly 4 are paid in full. Septenber 1 To provide better atorage of mountain bikes and kayaks when not in use, the company rents a storage ahed for one year, paying $2,400 (\$200 per month) in advance. Septesber 21 Tony and suzle conduct a roek-elinbing olinic. The coopany receives $13,800 canh. october 17 Tony and suzio conduct an orienteering olinio. Farticipants practice hov to understand a topographical mop, read an altimoter, vee a compasen, and orient through heavily wooded areas. The company receives $19,800 eash. Decenber 1 Tony and Suzie deoide to hold the company's firat adventure race on December 15. Four-person teans will race from ebeckpoint to checkpoint uping a conbination of nountain biking, kayoking. December 1 Tony and Suzie decide to hold the company s firgt adventure race on December 15. Four-person teams wil1 race from checkpoint to checkpolnt using a combination of mountain biking, kayaking, orienteering, trail running, and rock-climbing skills. The firat team in each category to complete al1 checkpoints in order wins. The entry fee for each team 1:$580. December 5 To help organize and promote the race, Tony hires his college roommate, Victor. Vietor will be paid $30 in ealary for each team that competes in the race. Hin salary will be paid after the December 8 The company pays $1,300 to purchase a permit from a state park where the race will be held. The December 12 . The company purchases racing supplies for $2,900 on account due in 30 days. 5 upplies include trophies for the top-finishing teams in each category, promotional shit December 15 The company recelves $23,200 eash from a total of forty teans, and the race fer held. December 16 The company pays Vietor's alary of $1,200. Dece-ber 31 The company pays a dividend of $3,400($1,700 to Tony and $1,700 to $4zie). December 31 Uning hin personal money, Tony purchases a diamond ring for $4,500. Tony surpriees 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 $8,600. 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 $1,400 of office supplies purchased on July 4,$370 remains. e. Interest expense on the $45,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 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.) f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. 2. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/event, select " required" in the first account field.) Journal entry worksheet 567 Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,600. Note: Enter debits before credits. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/event equired" in the first account field.) Journal entry worksheet f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/eve equired" in the first account field.) Journal entry worksheet Four months of the one-year rental agreement purchased on September 1 has expired. Note: Enter debits before credits. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. 2. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/ required" in the first account field.) Journal entry worksheet Of the $1,400 of office supplies purchased on July 4,$370 remains. Note: Enter debits before credits. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. 2. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/event, sel required" in the first account field.) Journal entry worksheet Interest expense on the $45,000 loan obtained from the city council on August 1 should be recorded. Note: Enter debits before credits. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. 2. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/evel required" in the first account field.) Journal entry worksheet Of the $2,900 of racing supplies purchased on December 12,$280 remains. Note: Enter debits before credits. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. g. Suzie calculates that the company owes $13,100 in income taxes. Record adjusting entries as of December 31, 2024. (If no entry is required for a transaction/even equired" in the first account field.) Journal entry worksheet Suzie calculates that the company owes $13,100 in income taxes. Note: Enter debits before credits