RWP$2-1($Algo$)$ Great Adventures Problem

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 $39,000$ 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 $$19,500$ of common stock to Suzie.

July $1$ Sell $$19,500$ of common stock to Tony.

July $1$ Purchase a one$-$year insurance policy for $$3,840($ $$320$ per month$)$ to cover injuries to participants during

outdoor clinics.

July $2$ Pay legal fees of $$1,100$ associated with incorporation.

July $4$ Purchase office supplies of $$1,500$ on account.

July $7$ Pay $$280$ 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 $$10,500$ cash.

July $15$ on the day of the clinic, Great Adventures receives cash of $$2,500$ from $50$ bikers. Tony conducts the mountain

biking clinic.

July $22$ Because of the success of the first mountain biking clinic, Tony holds another mountain biking clinic and the

company receives $$2,800.$

July $24$ Pay $$760$ to a local radio station for advertising to appear immediately. A kayaking clinic will be held on

August $10,$ and attendees can pay $$120$ in advance or $$170$ on the day of the clinic.

July $30$ Great Adventures receives cash of $$4,800$ in advance from $40$ kayakers for the upcoming kayak clinic.

Complete this question by entering your answers in the tabs below.

Post each transaction to the appropriate T$-$accounts and calculate the ending balance of each account.