On July $1,2019,$ the City of Belvedere accepted a gift of cash In the amount of $$3,220,000$ from a number of individuals and

foundations and signed an agreement to establish a private$-$purpose trust. The $$3,220,000$ and any addittional gifts are to be Invested

and retalned as principal. Income from the trust is to be distributed to community nonprofit groups as directed by a Board consisting of

city officials and other community leaders. The agreement provides that any Increases In the market value of the princlpal Investments

are to be held In trust; If the Investments fall below the glif amounts, then earnings are to be withheld until the principal amount is re$-$

established.

The following events and transactions occurred during the fiscal year ended June $30,2020.$ Record them In the Belvedere Community

Trust Fund:

On July $1,$ the original gift of cash was recelved.

$2$ On August $1,$ $$2,194,000$ In XYZ Company bonds were purchased at par plus accrued interest $($ $$36,567).$ The bonds pay an annual

rate of $5$ percent Interest semlannually on Aprll $1$ and October $1.$

On August $2,$$$903,000$ in ABC Company common stock was purchased. ABC normally declares and pays dividends semlannually.

on January $31$ and July $31.$

On October $1,$ the first semlannual Interest payment $($ $$54,850)$ was recelved from XYZ Company. Note that part of this is for accrued

Interest due at the time of purchase; the remalning part is an addlition that may be used for distribution.

On January $31,$ a cash dividend was recelved from ABC Company In the amount of $$25,000.$

On March $1,$ the ABC stock was sold for $$921,000.$ On the same day, DEF Company stock was purchased for $$967,000.$

On Aprll $1,$ the second semlannual Interest payment was recelved from XYZ Company.

During the month of June, distributlons were approved by the Board and pald In cash in the amount of $$82,700.$

Administrative expenses were recorded and pald in the amount of $$5,700.$

An accrual for Interest on the XYZ bonds was made as of June $30,2020.$

As of June $30,2020,$ the falr value of the XYZ bonds, excluslve of accrued interest, was determined to be $$2,196,000.$ The falr value

of the DEF stock was determined to be $$957,000.$

$12$ Closing entries were prepared.

Required:

a$.$ The above events and transactions occurred during the fiscal year ended June $30,2020.$ Record them In the Belvedere Community

Trust Fund.

b$.$ Prepare $(1)$ a Statement of Changes in Fiduclary Net Position for the Belvedere Community Trust Fund and $(2)$ a Statement of

Fiduclary Net Position.

Complete this question by entering your answers in the tabs below.

The above events and transactions occurred during the fiscal year ended June $30,2020.$ Record them in the Belvedere Community Trust

Fund. $($If no entry is required for a transaction$/$event$,$ select $"$No Journal Entry Required" in the first account field.$)$

Journal entrv worksheet

On July $1,$ the original gift of cash was received.

Note: Enter debits before credits.