RWP3-1 (Algo) Great Adventures Continuing Problem Part 6

6. Record closing entries as of December 31, 2024 and post them to the T-accounts in Req 3 and 7. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

RWP3-1 (Algo) Great Adventures Continuing Problem [The following information applies to the questions displayed below.] 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 29,000 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. The following information relates to year-end adjusting entries as of December 31, 2024 . kayakers on the day of the clinic. August 17 Tony and Suzie conducts a second kayak clinic, and the company receives $12,200 cash. August 24 Office supplies of $1,700 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 $3,120 (\$260 per month) in advance. September 21 Tony and Suzie conduct a rock-climbing clinic. The company receives $13,400 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 $18,400 cash. December 1 Tony and Suzie decide to hold the company's 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 $530. December 5 To help organize and promote the race, Tony hires his college roommate, Victor. Victor will be paid $70 in salary for each team that competes in the race. His salary will be paid after the race. December 8 The company pays $1,100 to purchase a permit from a state park where the race will be held. The December 12 amount is recorded as a miscellaneous expense. The company purchases racing supplies for $2,700 on account due in 30 days. Supplies include trinks for participants, and field markers to prepare the racecourse. December 15 The company receives $21,200 cash from a total of forty teams, and the race is held. December 16 The company pays Victor's salary of $2,800. December 31 The company pays a dividend of $4,100($2,050 to Tony and $2,050 to Suzie). December 31 Using his personal money, Tony purchases a diamond ring for $3,600. 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. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,000. 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 $1,700 of office supplies purchased on July 4,$350 remains. e. Interest expense on the $45,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,700 of racing supplies purchased on December 12,$150 remains. g. Suzie calculates that the company owes $13,900 in income taxes. 6. Record closing entries as of December 31, 2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the revenue accounts. Note: Enter debits before credits. RWP3-1 (Algo) Great Adventures Continuing Problem Part 6 6. Record closing entries as of December 31,2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the expense accounts. Note: Enter debits before credits. 6. Record closing entries as of December 31, 2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the dividends account. Note; Enter debits before credits. RWP3-1 (Algo) Great Adventures Continuing Problem [The following information applies to the questions displayed below.] 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 29,000 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. The following information relates to year-end adjusting entries as of December 31, 2024 . kayakers on the day of the clinic. August 17 Tony and Suzie conducts a second kayak clinic, and the company receives $12,200 cash. August 24 Office supplies of $1,700 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 $3,120 (\$260 per month) in advance. September 21 Tony and Suzie conduct a rock-climbing clinic. The company receives $13,400 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 $18,400 cash. December 1 Tony and Suzie decide to hold the company's 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 $530. December 5 To help organize and promote the race, Tony hires his college roommate, Victor. Victor will be paid $70 in salary for each team that competes in the race. His salary will be paid after the race. December 8 The company pays $1,100 to purchase a permit from a state park where the race will be held. The December 12 amount is recorded as a miscellaneous expense. The company purchases racing supplies for $2,700 on account due in 30 days. Supplies include trinks for participants, and field markers to prepare the racecourse. December 15 The company receives $21,200 cash from a total of forty teams, and the race is held. December 16 The company pays Victor's salary of $2,800. December 31 The company pays a dividend of $4,100($2,050 to Tony and $2,050 to Suzie). December 31 Using his personal money, Tony purchases a diamond ring for $3,600. 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. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $8,000. 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 $1,700 of office supplies purchased on July 4,$350 remains. e. Interest expense on the $45,000 loan obtained from the city council on August 1 should be recorded. f. Of the $2,700 of racing supplies purchased on December 12,$150 remains. g. Suzie calculates that the company owes $13,900 in income taxes. 6. Record closing entries as of December 31, 2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the revenue accounts. Note: Enter debits before credits. RWP3-1 (Algo) Great Adventures Continuing Problem Part 6 6. Record closing entries as of December 31,2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the expense accounts. Note: Enter debits before credits. 6. Record closing entries as of December 31, 2024 and post them to the T-accounts in Req 3 and 7 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the entry to close the dividends account. Note; Enter debits before credits