The Village of Budekville, which has a fiscal year July 1 to June 30, sold $3,000,000 in
Question:
1. The bonds were sold on July 1, 2011.
2. The General Fund transferred an amount equal to the first interest payment on December 31, 2011. The Debt Service Fund made the payment as of January 1, 2012.
3. The project was completed on June 15, 2012. Expenditures totaled $2,989,000. You may omit encumbrance entries.
4. The remaining balance was transferred to the Debt Service Fund from the Capital Projects Fund for the eventual payment of principal.
Required:
a. Prepare journal entries for the capital projects fund based on the aforementioned information. Include a closing entry.
b. Prepare journal entries for the debt service fund based on the information presented above. Include a closing entry.
c. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the year ended June 30, 2012, for the governmental funds
Assume the General Fund reports the following: property tax revenues $500,000, other revenues $200,000, public safety expenditures $450,000, general government expenditures $150,000, other financing sources—transfers out $125,000, and beginning fund balance $120,000.
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Related Book For
Essentials of Accounting for Governmental and Not-for-Profit Organizations
ISBN: 978-0073527055
10th Edition
Authors: Paul A. Copley
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