The City of Senasqua started calendar year 2013 with General Fund cash of $ 50,000 and fund balance (unassigned) of $ 50,000. The Senasqua council approved the following General Fund budget for 2013:

The following transactions and events occurred in 2013:
1. Recorded the approved budget for the year.
2. Levied property taxes of $ 850,000. (The council assumed all property taxes would be collected in time to pay the year’s expenditures.)
3. Collected property taxes in the amount of $ 840,000 and licenses and fees of $ 70,000.
4. Invested $ 50,000 of available cash in a CD. Later in the year, redeemed the CD in full with interest of $ 2,000.
5. Ordered police sedans for $ 80,000.
6. Received police sedans (with some extra bells and whistles) and an invoice for $ 82,000. (The police chief liked the bells and whistles and approved the invoice for $ 82,000.) The invoice was subsequently paid.
7. Paid salaries of $ 770,000 and utility bills of $ 45,000.
8. During the last few days in December, Senasqua employees earned $ 25,000, which will be paid at the end of the pay period in early January 2014. Also, Senasqua received a utility bill for $ 4,000 for December 2013, which will be paid in January 2014.
Use the preceding information to do the following:
a. Prepare journal entries to record the foregoing transactions and events.
b. Prepare a statement of revenues, expenditures, and changes in fund balance.
c. Prepare balance sheet. Assume the fund balance is classified as Unassigned.
d. Prepare a budgetary comparisonschedule.

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Estimated Revenues Property taxes Licenses and fees Investment income $850,000 70,000 5,000 $925,000 Appropriations Salaries Utilities Equipment $800,000 50,000 85,000 Budgeted decrease in Fund Balance 935,000 10,000