For the year ended June 30, 20X7, what was the income of Westburys internal service fund? a.
Question:
For the year ended June 30, 20X7, what was the income of Westbury’s internal service fund?
a. $13,000
b. $6,000
c. $3,000
d. $10,000
On July 2, 20X6, the Village of Westbury established an internal service fund to service the data processing needs of the other village departments. The internal
service fund received a transfer of $600,000 from the general fund and a $100,000 long-term advance from the water utility enterprise fund to acquire computer
equipment. During July 20X6, computer equipment costing $650,000 was acquired. The following events occurred during the year ended June 30, 20X7:
At June 30, 20X7, all but $7,000 of the billings had been collected, and all operating expenses and the interest expense except for $3,000 of operating expenses had
been paid.
Step by Step Answer:
Advanced Financial Accounting
ISBN: 9781260165111
12th Edition
Authors: Theodore Christensen, David Cottrell, Cassy Budd