A. Armstong County established a County Office Building Construction Fund to account for a project that was expected to take less than one year to complete. The country's fiscal year ends on June 30.

5-7 1. On July 1, 2016, bonds were sold at par in the amount of $6,000,000 for the project. 2. Ou July 5, a contract was signed with the Sellers Construction Company in the amount of $5,900,000 3. On December 30, a progress bill was received from Sellers in the amount of $4.000,000. The bill was paid, except for 5 percent retained upon final inspection. 4. On June 1, a final bill was received in the amount of $1,900,000 from Sellers, which was paid, except for the 5 percet retained. An appointment was made between the county engineer aud Bill Sellers to inspect the building and to develop list of items that needed to b corrected. 5. On the day of the meeting. the county engineer discovered that Sellers had filed for banlkruptey and moved out of the state. The City incurred a liability in the amount of $392,000 to have the defects page orrected by the Baker Construction Company. (Charge any excess over the balance of Coutracts Payable Retained Percentage to Construction Expenditures.) 6. All accounts (from 5 above) were paid; ring cash was transfeired to the debt svice fund. 7. The accounts of the County Office Building Construction Fund were closed. Record the transactions in the County Office Building Coustruction Fund. b. Prepare a separate Statement of Reveaues, Expenditures, and Changes in Fund Balances for the County Office Building Construction Fund