The December 31, 2012, balance sheet for the general fund of Burnville showed an assigned fund balance

Question:

The December 31, 2012, for the general fund of Burnville showed an assigned fund balance of $1,900,000 for outstanding encumbrances. This figure represented $1,100,000 encumbered for office equipment and $800,000 for supplies. Early in 2013, the equipment and supplies were delivered and bills received for $1,170,000 and $795,000, respectively.
Required
Prepare the journal entries for 2013 relating to these events, using the
a. Legal budgetary basis.
b. budgetary basis. GAAP
Generally Accepted Accounting Principles (GAAP) is the accounting standard adopted by the U.S. Securities and Exchange Commission (SEC). While the SEC previously stated that it intends to move from U.S. GAAP to the International Financial Reporting Standards (IFRS), the... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...