A city has a General Fund and an Enterprise Fund. During the final month of its fiscal year, the city used electricity of $1,000 with$800 attributable to activities accounted for in the General Fund and $200 attributable to activities accounted for in an EnterpriseFund. The city does not receive its electric bill from the utility until the third day of the first month of its next fiscal year. The city'spractice is to pay its bills within two weeks of their receipt.What account(s) and amounts would be debited in the General Fund and Enterprise Fund, if any, to record the use of electricity atits fiscal year-end?Select one:a. The General Fund would make no entry, and the Enterprise Fund would debit, Utilities expense, for $200.b. Neither the General Fund nor the Enterprise Fund would make an entry at the city's fiscal year-end.c. The General Fund would debit, Cash, for $800, and the Enterprise Fund would debit, Cash, for $200.d. The General Fund would debit, Expenditures, for $800, and the Enterprise Fund would debit, Utilities expense, for $200.

In Accounting we follow two methods one is "Accrual basis" and another is…

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Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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The City of Wolfe issues its financial statements for Year 4 (assume that the city uses a calendar year). The city's general fund is composed of two functions: (1) education and (2) parks. The city also utilizes capital projects funds for ongoing construction and an enterprise fund to account for an art museum. The city also has one discretely presented component unit. The government-wide financial statements indicate the following Year 4 totals. Education had net expenses of $792,000. Parks had net expenses of $125,000. Art museum had net revenues of $52,750. General revenues were $1,108,250. The overall increase in net position for the city was $244,000. The fund financial statements for Year 4 indicate the following: The general fund had an increase of $32,750 in its fund balance. The capital projects fund had an increase of $61,750 in its fund balance. The enterprise fund had an increase of $61,250 in its net position balance. Officials for the City of Wolfe define "available" as…
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The City of Wolfe issues its financial statements for Year 4 (assume that the city uses a calendar year). The city's general fund is composed of two functions: (1) education and (2) parks. The city also utilizes capital projects funds for ongoing construction and an enterprise fund to account for an art museum. The city also has one discretely presented component unit. The government-wide financial statements indicate the following Year 4 totals. Education had net expenses of $792,000. Parks had net expenses of $125,000. Art museum had net revenues of $52,750. General revenues were $1,108,250. The overall increase in net position for the city was $244,000. The fund financial statements for Year 4 indicate the following: The general fund had an increase of $32,750 in its fund balance. The capital projects fund had an increase of $61,750 in its fund balance. The enterprise fund had an increase of $120,000 in its net position balance. Officials for the City of Wolfe define "available" as…

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