The following balances, in trial balance form, were drawn from the year-end ledgers of the Federal Lending Agency (a fictitious entity) following the agency€™s first year of operations. Some of the accounts are aggregations of those that would typically be maintained by a federal entity. Budgetary (as opposed to proprietary) accounts are marked with an asterisk.

1. Following the formats illustrated in the text, prepare the following statements:
a. A statement of net cost
b. A statement of changes in net position
c. A balance sheet
d. A statement of budgetary resources (omitting the section on outlays)
2. Review the amounts on the financial statements.
a. Do the cumulative results of operations per the balance sheet agree with the cumulative results of operations per the statement of changes in net position?
b. Are the unexpended appropriations per the balance sheet equal to the appropriations received per the statement of budgetary resources less the appropriations used per the statement of changes in netposition?

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Debit Credit (in millions) S 219 Various expenses Miscellaneous revenues Appropriations used Fund balance with the treasury Loans receivable Equipment Allowance for depreciation Accounts $ 93 412 2 1,140 payable and other liabilities Unexpended appropriations Cumulative results of operation, 256 788 beginning of year Current appropriations Borrowing authority Obligations incurred Funds available for commitment 1,200* 160 720* ,925 S2,925