Durwin County issued $200 million in long-term debt to fund major improvements to the county’s road and transportation systems. The debt is to be serviced from the proceeds of a specially dedicated property tax. The accompanying statement of revenues, expenditures, and changes in fund balance and balance sheet were taken from its year-end ﬁnancial report. Based on the data in the two statements prepare journal entries to summarize the transactions in which the ﬁrm engaged. You should prepare budgetary entries, but need not prepare closingentries.
Answer to relevant QuestionsThe balance sheet and a comparative statement (budget-to-actual) of revenues, expenditures, and changes in fund balance of the City of Boulder, Colorado’s general obligation debt service fund (date changed) is presented as ...A city agrees to extend water and sewer lines to an outlying community. To cover the cost, the affected property owners agree to special assessments of $12 million. The assessments are to be paid over ﬁve years, with ... Near the end of its ﬁscal year a school district issues $80 million of bonds to construct a new high school. By year-end the district has received the proceeds of the bonds and invested them in short-term securities. It ...What are deferred maintenance costs, and when and how must a government report them (as they relate to infrastructure) in its ﬁnancial statements?Refer to the transactions in the previous exercise.1. Prepare journal entries that the city would make in its governmental funds (e.g., its general fund or a capital projects fund).2. How would you recommend that the city ...
Post your question