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The following information appies to the questions displayed below., On July 1, 2018, Tony and Suzie organize their new company as a corporation, Great Adventures Inc. The following transactions occur from August 1 through December 31. Also, the balances are provided for the month ended July 31 The articles of incorporation state that the corporation activities occur during July for Great Adventures. will sell 37000 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 ul.1 Sell $18,500 of common stock to Suzie. Jul. 1 Sell $18,500 of common stock to Tony. Jul. 1Purchase a one-year insurance policy for $5,760 (5480 per month) to cover injuries to participents during outdoor clinics. Jul. 2 Pay legal fees of $1,600 associated with incorporation. Jul. 4 Purchase office supplies of $1,700 on account Jul. 7 Pay for advertising of $290 to a local newspaper for an upcoming mountain biking clinic to be held on July 15. Attendees will be charged S50 the day of the clinic Jul. 8 Purchase 10 mountain bikes, paying $13,800 cash. Jul. 15 On the day of the clinic, Great Adventures receives cash of $3,500 from 70 bikers. Tony conducts the mountain biking clinic. Jul. 22 Because of the success of the first mountain biking clinic, Tony holds another mountain biking clinic and the company receives $3,900. Jul. 24 Pay for advertising of $770 to a local radio station for a kayaking clinic to be held on August 10. Attendees can pay $120 in advance or $170 on the day of the clinic. Jul. 30 Great Adventures receives cash of $6,000 in advance from 50 kayakers for the upcoming kyok clinic. Aug. 1 Great Adventures obtains a S39,00 low-interest loan or the company rom the city council which has recently passed an initiat e encouraging business development related to outdoor ac es. The loan is due in three years, and 6% Aug. 4 The company purchases 14 kayaks, paying $16,500 cash. Aug. 10 Twenty additional kayakers pay $3,400 ($170 each), in addition to the $6,000 that was paid in advance on July 30, on the day of the clinic. Tony conducts the first kayak clinic. Aug. 17 Tony conducts a second kayak clinic, and the company receives $12,100 cash. Aug. 24 Office supplies of $1,700 purchased on July 4 are paid in full, Sep. 1 To provide better storage of mountain bikes and kayaks when not in use, the company rents storage shed, purchasing a one-year rental policy for S2.640($220 per month). Sep. 21 Tony conducts a rock-climbing clinic. The company recelves $14,500 cash. Oct. 17 Tony conducts an orienteering clinic. Participants practice how to understand a topographical map, read an altimeter, use a compass, and orlent through heavily wooded areas. The company recelves $19,100 cash. Dec. 1 Tony decides to hold the company's first adventure race on December 15. Four-person teams will race from checkpoint to checkpcint 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 $550.Dec. 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 wil be paid after the race.Dec. 8 The company pays $1,300 to purchase a permit from a state perk where the race will be held. The amount is recorded as a miscellaneous expense.Dec. 12 The compeny purchases racing supplies for $2,700 on acccunt due in 30 days, Supplies include trophies for the top finishing teams in each category, promotional shirts, snack foods and drinks for participants, and field markers to prepare the racecourse.Dec. 15 The company recelves S22,000 cash from a total of forty teams, and the race is held.Dec. 16 The company pays Victors salary of $2,800. Dec. 31 The company pays a dividend of $3,400 (S1,700 to Tony and S1,700 to Suzie). Dec. 31 Using his personal money, Tony purchases a diamond ring for $4,800. Tony surprises Suzie by proposing that they get married. Suzie accepts and they get married! The following information relates to yeer-end adjusting entries as of December 31, 2018. a. Depreciation of the mountain bikes purchased on July 8 and kayaks purchased on August 4 totals $7600. b. Six months worth of insurance has expired. c. Four months worth of rent has expired. d. Of the $1,700 of office supplies purchased on July 4, $200 remains

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