The Murphy County Commissioners adopted the following General Fund budget for the 20X8 fiscal year:

Murphy County

General Fund

Budget—20X8

Estimated Revenues: 

Taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 8,000,000

Licenses and Permits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 800,000

Intergovernmental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000,000

Charges for Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 200,000

Fines and Forfeits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000

Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 600,000

  12,000,000

Appropriations: 

General Government . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000

Public Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000,000

Highways and Streets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000,000

Health and Sanitation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 900,000

Culture and Recreation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000

Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 600,000

  11,900,000

Excess of Estimated Revenues over Appropriations . . . . . . . . 100,000

Fund Balance—Beginning . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,400,000

Fund Balance—Ending (Anticipated) . . . . . . . . . . . . . . . . . . $ 1,500,000

The following events occurred during 20X8:

1. Purchase orders issued and contracts let were expected to cost:

General Government . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 300,000

Public Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200,000

Highways and Streets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500,000

Health and Sanitation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .500,000

Culture and Recreation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .300,000

Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .200,000

2. The commissioners reviewed the budget during the year and (a) revised the estimate of Intergovernmental Revenues to $1,500,000 and reduced the Public Safety and Highways and Streets appropriations by $225,000 each to partially compensate for the anticipated decline in intergovernmental revenues, and (b) increased the Health and Sanitation appropriation by $70,000 because of costs incurred in connection with an unusual outbreak of Tasmanian flu.

3. Revenues (actual) for 20X8 were

Taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8,150,000

Licenses and Permits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 785,000

Intergovernmental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,520,000

Charges for Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . .210,000

Fines and Forfeits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .395,000

Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .500,000

$ 11,560,000

4. Goods and services under purchase orders and contracts were received:

The remaining orders are still outstanding.
5. Other expenditures incurred were
General Government . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000
Public Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,560,000
Highways and Streets . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,271,000
Health and Sanitation . . . . . . . . . . . . . . . . . . . . . . . . . . . . 485,000
Culture and Recreation . . . . . . . . . . . . . . . . . . . . . . . . . . 45,000
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 391,000
 $6,452,000

Required
1. Set up general ledger T-accounts and also revenues and expenditures subsidiary ledgers like those in Illustrations 4-3 and 4-4.
2. Record the Murphy County 20X8 General Fund budget in the general ledger and subsidiary ledger accounts, keying these entries “B” (for budget). Then record the numbered transactions and events, keying these entries by thosenumbers.

Transcribed Image Text:

Estimated Cost Actual Cost 910,000 2,500,000 440,000 295,000 181,000 $4,600,000 4,604,000 900,000 Highways and Streets.. . . ..2,500,000 440,000 300,000 180,000 Other..