Vail is one of the largest ski resorts in the United States. Suppose that on October 1, 2021, Vail sells gift cards (lift passes) for $100,000. The gift cards are redeemable for one day of skiing during the upcoming winter season. The gift cards expire on April 1, 2022. Customers redeem gift cards of $20,000 in December, $30,000 in January, $25,000 in February, and $15,000 in March.

Required:

1. Record the sale of gift cards on October 1, 2021.

2. Record the redemption of gift cards as of December 31, 2021.

3. Record the redemption of gift cards in 2022 by preparing a summary entry as of March 31, 2022.

4. Record the expiration (breakage) of gift cards on April 1, 2022.