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 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 22 Because of the success of the first mountain biking olinic. Tony and suzie holds another July 24 Pay $760 to a local radio htation for advertining to appear immediately. A kayaking olinie will July 30 be held on August 10 , and attendees can pay $150 in adyance or $200 on the day of the olinio. kreat hak elinie. The following transactions occur over the remainder of 2024 . Augunt 1 Great Adventures obtains a $45,000 low-interest loan for the company from the olty council, which han recently passed an initiative encouraging business development related to outdoor activities. The loan is doe in three years, and 6t annual interest is due each year on July 31. August 4 The conpany purchases 14 kayaks, paying $20,400 cash. August 10 Tony and suzie conduct the first kayak elinic. In addition to the $10,500 that was recelved in advance from kayakere on July 30, the company recelves additional cash of $4,000 from twenty new kayakers on the day of the elinie. Muguat 17 Tony and suzie conduct a second kayak olinio, and the eompany receiven $12,300 cash. Auguat 24 office supplies of $1,400 purchased on July 4 are paid in ful1. fieptember 1 To provide better atorage of mountain bikes and kayake when not in use, the company renti a storage shed for one year, paying $2,400 (\$200 pex month) in advance. Septenber 21 Tony and suzie conduct a rock-elimbing olinie. The conpany recelven $13,800 cash, october 17 Tony and Suzie conduct an orienteering elinie. Vaxtielpant practice how to understand a topographical map, read an altimeter, use a compass, and orlent through heavlly wooded arean. the company recelves $19,800 cash. December 1 Tony and Suzie decide to hold the company's first adventure race on Decenber 15. Your-peraon teazs will race from oheckpoint to eheokooint uaina a combination of mountain bikina. kavakina. December 1 Tony and Suzie deelde to hold the conpany's first adventure race on December 15 . Four-person teami will race from checkpoint to checkpoint using a conbination of mountain biking, kayaking, orienteering, trail running, and rock-eliming gkilis. The firet team in each category to complete al1 checkpoints in order wins. The entry fee for each toam is $580. Decesber 5 To help organize and promote the race, Tony hires his college roomate, Victor. Vietor will be paid \$30 in salary for each team that competen in the race. His nalary will be paid after the race. December 8 The company pays $1,300 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 raeing nupplies for $2,900 on aceount due in 30 days. Supplies include trophien for the top-iiniahing teami in each category, promotional ah ire December 15 The company roceiven $23,200 canh from a total of forty teame, and the race is held. Decenber 16 The company pays Vietor' a nalary of $1,200. December 31 The company paya a dividend of $3,400($1,700 to Tony and $1,700 to 54210). Decenber 31 Using his pernonal noney. Tony purchasen a dianond ring for 54,500 . Tony surprisen 5uzie by proposing that they get married. Suzie acceptn and they get marriedi The following information relates to year-end adjusting entries as of December 31, 2024. a. Depreciation of the mountain blkes 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 cify council on August 1 should be recorded. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. 9. Suzie calculates that the company owes $13,100 in income taxes. 3. Post transactions from July 1 through December 31 and adjusting and closing entries on December 31 to T-accounts. 7. Post the closing entries of retained earnings to the T-account. 3. Post transactions from July 1 through December 31 and adjusting and closing entries on December 31 to T-accounts. 7. Post the closing entries of retained earnings to the T-account. 1) Required intormation 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 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 22 Because of the success of the first mountain biking olinic. Tony and suzie holds another July 24 Pay $760 to a local radio htation for advertining to appear immediately. A kayaking olinie will July 30 be held on August 10 , and attendees can pay $150 in adyance or $200 on the day of the olinio. kreat hak elinie. The following transactions occur over the remainder of 2024 . Augunt 1 Great Adventures obtains a $45,000 low-interest loan for the company from the olty council, which han recently passed an initiative encouraging business development related to outdoor activities. The loan is doe in three years, and 6t annual interest is due each year on July 31. August 4 The conpany purchases 14 kayaks, paying $20,400 cash. August 10 Tony and suzie conduct the first kayak elinic. In addition to the $10,500 that was recelved in advance from kayakere on July 30, the company recelves additional cash of $4,000 from twenty new kayakers on the day of the elinie. Muguat 17 Tony and suzie conduct a second kayak olinio, and the eompany receiven $12,300 cash. Auguat 24 office supplies of $1,400 purchased on July 4 are paid in ful1. fieptember 1 To provide better atorage of mountain bikes and kayake when not in use, the company renti a storage shed for one year, paying $2,400 (\$200 pex month) in advance. Septenber 21 Tony and suzie conduct a rock-elimbing olinie. The conpany recelven $13,800 cash, october 17 Tony and Suzie conduct an orienteering elinie. Vaxtielpant practice how to understand a topographical map, read an altimeter, use a compass, and orlent through heavlly wooded arean. the company recelves $19,800 cash. December 1 Tony and Suzie decide to hold the company's first adventure race on Decenber 15. Your-peraon teazs will race from oheckpoint to eheokooint uaina a combination of mountain bikina. kavakina. December 1 Tony and Suzie deelde to hold the conpany's first adventure race on December 15 . Four-person teami will race from checkpoint to checkpoint using a conbination of mountain biking, kayaking, orienteering, trail running, and rock-eliming gkilis. The firet team in each category to complete al1 checkpoints in order wins. The entry fee for each toam is $580. Decesber 5 To help organize and promote the race, Tony hires his college roomate, Victor. Vietor will be paid \$30 in salary for each team that competen in the race. His nalary will be paid after the race. December 8 The company pays $1,300 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 raeing nupplies for $2,900 on aceount due in 30 days. Supplies include trophien for the top-iiniahing teami in each category, promotional ah ire December 15 The company roceiven $23,200 canh from a total of forty teame, and the race is held. Decenber 16 The company pays Vietor' a nalary of $1,200. December 31 The company paya a dividend of $3,400($1,700 to Tony and $1,700 to 54210). Decenber 31 Using his pernonal noney. Tony purchasen a dianond ring for 54,500 . Tony surprisen 5uzie by proposing that they get married. Suzie acceptn and they get marriedi The following information relates to year-end adjusting entries as of December 31, 2024. a. Depreciation of the mountain blkes 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 cify council on August 1 should be recorded. f. Of the $2,900 of racing supplies purchased on December 12,$280 remains. 9. Suzie calculates that the company owes $13,100 in income taxes. 3. Post transactions from July 1 through December 31 and adjusting and closing entries on December 31 to T-accounts. 7. Post the closing entries of retained earnings to the T-account. 3. Post transactions from July 1 through December 31 and adjusting and closing entries on December 31 to T-accounts. 7. Post the closing entries of retained earnings to the T-account. 1) Required intormation