50.1K

Verified Solution

Link Copied!

2nd time uploading because the answers were wrong. Please be detailed!

Now that operations for outdoor clinics and TEAM events are running smoothly, Suzie thinks of another area for business expansion. She notices that a few clinic participants wear multiuse (MU) watches. Beyond the normal timekeeping features of most watches, MU watches are able to report temperature, altitude, and barometric pressure. MU watches are waterproof, so moisture from Kayaking, rain, fishing, or even diving up to 100 feet won't damage them. Suzie decides to have MU watches available for sale at the start of each clinic. The following transactions relate to purchases and sales of watches during the second half of 2022. All watches are sold for $660 each. Jul. 17 Purchased 74 watches for $11,100 ($150 per watch) on account. Jul. 31 Sold 56 watches for $36,960 cash. Aug. 12 Purchased 56 watches for $8,960 ($160 per watch) cash. Aug. 22 Sold 46 watches for $30, 360 on account. Sep. 19 Paid for watches purchased on July 17. Sep. 27 Receive cash of $18, 216 for watches sold on account on August 22. Oct. 27 Purchased 120 watches for $20,400 ($170 per watch) cash. Nov. 20 Sold 106 watches for $69,960 cash. Dec. 4 Purchased 116 watches for $20,880 ($180 per watch) on account. Dec. 8 Sold 56 watches for $36,960 on account. Late in December, the next generation of multiuse (MU II) watches is released. In addition to all of the features of the MU watch, the MU II watches are equipped with a global positioning system (GPS) and have the ability to download and play songs and videos off the Internet. The demand for the original MU watches is greatly reduced. As of December 31, the estimated net realizable value of MU watches is only $100 per watch. Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Prepare the journal entries for transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry in the first account field.) View transaction list Journal entry worksheet Journal entry worksheet Record the closure of expense accounts. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Choose the appropriate accounts to complete the company's income statement. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Unadjusted GREAT ADVENTURES, INC. Income Statement For the Period Ended December 31, 2022 Revenues $ 0 0 0 0 Net Sales 0 0 $ 0 Gross Profit Operating Expense: 0 0 0 0 0 0 0 0 Total Operating Expenses Operating Income (Loss) 0 0 0 Income Before Income Taxes 0 0 Prepare a classified balance sheet as of December 31, 2022. Choose the appropriate accounts to complete the company's balance sheet. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Unadjusted GREAT ADVENTURES, INC. Balance Sheet December 31, 2022 Assets Liabilities Current Assets: Current Liabilities: $ 0 $ $ 0 0 0 0 0 0 O 0 Total Current Liabilities 0 0 0 0 Total Current Assets 0 Total Liabilities Long-term Assets: Stockholders' Equity 0 0 0 0 0 0 0 Total Stockholders' Equity 0 Total Liabilities and Stockholders' Equity Total Assets $ 0

Answer & Explanation Solved by verified expert

See Answer