Question

Need help making sure the T-accounts are right from August to December including adjusting entries because the problem shows its incomplete.

Need help making the adjusted trial balance because debits and credits are not equal.

blem - Manual Posting - 5e 0 Saved The following information applies to the questions displayed below.) Tony and Suzie graduate from college in May 2021 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, 2021, Tony and Suzie organize their new company as a corporation, Great Adventures Inc. The articles of incorporation state that the corporation will sell 32,000 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 transactions occur from July 1 through December 31 Jul. 1 Sell $16,000 of common stock to Suzie. Jul. 1 Sell $16,080 of common stock to Tony. Jul. 1 Purchase a one-year insurance policy for $4,440 ($370 per month) to cover injuries to participants during outdoor clinics. Jul. 2 Pay legal fees of $1,800 associated with incorporation. Jul. 4 Purchase office supplies of $1,700 on account. Jul. 7 Pay for advertising of $250 to a local newspaper for an upcoming mountain biking clinic to be held on July 15. Attendees will be charged $50 on the day of the clinic. Jul. 8 Purchase 10 mountain bikes, paying $17,100 cash. Jul. 15 On the day of the clinic, Great Adventures receives cash of $4,000 fron 80 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 $4,400. Jul. 24 Pay $720 to a local radio station for advertising to appear immediately. A kayaking clinic will be held on August 10, and attendees can pay $150 in advance or $200 on the day of the clinic. Jul. 30 Great Adventures receives cash of $9,000 in advance from 60 kayakers for the upcoming kayak clinic. Aug. 1 Great Adventures obtains a $31,600 low-interest loan for the company from the city council, which has recently passed an initiative encouraging business development related to outdoor activities. The loan is due in three years, and 6% annual interest is due each year on July 31. Aug. 4 The company purchases 14 kayaks, paying $18,200 cash. Aug. 10 Twenty additional kayakers pay $4,080 (200 each), in addition to the $9,000 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 $11,700 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 a storage shed for an initiative enterest is due each 28, 200 cash.

Answer 1

		CHECKING OF BEGINNING BALANCE
		ACCOUNT	DEBIT	CREDIT
		Cash	$25,090
		Common Stock		$32,000
		Service Revenue		$8,400
		Total	$25,090	$40,400
		There is mismatch in beginning balance
		Unearned Service Revenue of $9000 missing in the beginning Balance
		Accounts Payable beginning Balance of $1700 missing
		Beginning Balance of Prepaid Insurance $4400 missing
	August,10	Entry Should be:
		Cash	$4,000
		Unearned Service Revenue	$9,000
		Service Revenue		$13,000
		UNearned Service Revenue Account Missing
		Ending Balance of Deferred Revenue should be ZERO
	August,24	Ending Balance of Accounts Payable on August 24 should be ZERO
	December,12	ENTRY MISSING
		Entry Should be:
		Racing Supplies…..Debit	$2,100
		Accounts Payable….Credit		$2,100
		Accounts Payable Ending Balance Should be $2100 Credit
	December,31	Prepaid Insurance Balance should be Debi $2200
		Office Supplies Accounting Entry Should be
		Supplies expense(Office)…Debit	$1,380
		Office Supplies….Credit		$1,380
		Balance as on Dec31, in Office Supplies accounts should be $320
		Racing Supplies Accounting Entry Should be
		Supplies expense(Racing)…Debit	$1,980
		Racing Supplies …..Credit		$1,980
		Balance as on Dec31, in Racing Supplies accounts should be $120