reposting to get correct answer -

I just need help with C - the Closing Entries portion in the way that it asks - all portions of that section in the picture. Thanks!

The state government established a capital project fund in 2019 to build new highways. The fund is supported by a 5 percent tax on diesel fuel sales in the state. The tax is collected by private gas stations and remitted in the following month to the State. The following transactions occurred during 2020: Capital Project Fund Trial Balance: December 31, 2019 Debits Credits Cash $8,550,000 2,700,000 Taxes Receivable Contracts Payable $1,950,000 Fund Balance 9,300,000 1. $2,100,000 of encumbrances outstanding at December 31, 2019, were re-established. 2. During the year, fuel taxes were remitted to the State totaling $23,600,000, including the amount due at the end of the previous year. In addition, $2,870,000 is expected to be remitted in January of next year for fuel sales in December 2020. 3. The State awarded new contracts for road construction totaling $23,650,000. 4. During the year, contractors submitted invoices for payment totaling $23,970,000. These were all under the terms of contracts (i.e., same $ amounts) issued by the State. 5. The State made payments on outstanding accounts of $23,375,000. The state government operates a debt service fund to service outstanding general obligation bonds. The following transactions occurred during 2020: Debt Service Fund Trial Balance: December 31, 2019 Debits Credits Cash $210,000 Fund Balance $210,000 6. The state General Fund provided cash of $4,850,000 through transfer to the debt service fund. 7. Payments for matured interest totaled $2,985,000 and payments for matured principal totaled $1,850,000 during the year. 8. In December, the State refunded bonds to obtain a better interest rate. New bonds were issued providing proceeds of $25,000,000, which was immediately used to retire outstanding bonds in the same amount. Required: Page 144 Use the Excel template provided. A separate tab is provided in Excel for each of the requirements: a. Prepare journal entries recording the events 1 to 8 (above) for the capital projects and debt service funds. b. Post the journal entries to T-accounts. c. Prepare closing entries. d. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the Governmental Funds (the General Fund and special revenue fund financial statements have already been prepared). e. Prepare a Balance Sheet for the Governmental Funds assuming all unexpended spendable net resources in the capital projects fund are classified as restricted and in the debt service fund are classified as assigned. STATE GOVERNMENT Capital project Fund Closing Entries December 31, 2020 Account Title Debits Credits CAPITAL PROJECTS FUND FUND BALANCE 9,300,000 bb closing entry 9,300,000 Non- spendable Restricted Committ ed Assigned Unassigned Total Fund Balance STATE GOVERNMENT Debt service fund closing entries December 31, 2020 Account Title Debits Credits DEBT SERVICE FUND FUND BALANCE 210,000 bb closing entry 210,000 Non- spendable Restricted Committ ed Assigned Unassigned Total Fund Balance CAPITAL PROJECTS FUND GENERAL LEDGER CASH bb 8,550,000 23,375,000 5 2 23,600,000 TAXES RECEIVABLE 2,700,000 2,870,000 2,870,000 bb 2 CONTRACTS PAYABLE 5 23,375,000 1,950,000 bb 23,970,000 4 FUND BALANCE 9,300,000 bb 2,700,000 2,545,000 9,300,000 8,775,000 BUDGETARY FUND BALANCE - RESERVE FOR ENCUMBRANCES 5 23,970,000 2,100,000 1 23,650,000 3 ENCUMBRANCES 1 2,100,000 23,970,000 5 3 23,650,000 FUEL TAX REVENUES 20,730,000 2,870,000 CAPITAL EXPENDITURES 23,970,000 4 2 2 1,780,000 1,780,000 23,600,000 23,970,000 Total debit balances Total credit balances 37,225,000 37,225,000 DEBT SERVICE FUND GENERAL LEDGER FUND BALANCE 210,000 bb 15,000 ce EXPENDITURES BOND PRINCIPAL 1,850,000 1,850,000 ce EXPENDITURES BOND INTEREST 2,985,000 2,985,000 ce CASH bb 210,000 4,835,0007 6 4,850,000 25,000,000 8 8 25,000,000 7 7 225,000 225,000 OTHER FINANCING SOURCES REFUNDING OF EXISTING DEBT 25,000,000 $ OTHER FINANCING USES REFUNDING OF EXISTING DEBT 8 25,000,000 OTHER FINANCING SOURCES TRANSFERS IN 4,850,000 4,850,000 6 ce 25,000,000 25,000,000 Total debit balances Total credit balances 25,225,000 25,225,000