FUNDAMENTALS OF ADVANCED ACCOUNTING >I
6th Edition
ISBN: 9781307007350
Author: Hoyle
Publisher: MCG/CREATE
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Chapter 11, Problem 36P
Government officials of Hampstead County ordered a computer near the end of the current fiscal year for $6,400 for the police department. It did not arrive prior to the end of the year. At its final meeting of the year, the city council (the highest decision-making authority for the government) agreed to pay for the computer when it arrived in the subsequent year. In producing a set of government-wide financial statements and a set of fund financial statements for the current year, how will this purchase order be reported?
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The City of Bagranoff holds $90,000 in cash that will be used to make a bond payment when the debt comes due early next year. The assistant treasurer had made that decision. However, just before the end of the current year, the city council formally approved using this money in this way. The city council has been designated as the highest level of decision-making authority for this government. What impact does the council’s action have on the reporting of fund financial statements?
Fund balance—unassigned goes down and fund balance—restricted goes up.
Fund balance—assigned goes down and fund balance—committed goes up.
Fund balance—unassigned goes down and fund balance—assigned goes up.
Fund balance—assigned goes down and fund balance—restricted goes up.
A city maintains an internal audit department and accounts for it in its general fund. In the coming year, the department will purchase $300,000 of computer and other office equipment, all of which will be paid for out of current resources (i.e., not with debt).City officials have given top priority to reducing general fund expenditures. To that end, the city comptroller has proposed accounting for the internal audit department in an internal service fund rather than in the general fund. As envisioned by the comptroller, the audit department would bill each of the units (all of which are accounted for in the general fund) for each audit performed. Fees would be established so that they would cover all audit department costs. The fund would be established by a transfer of $300,000 from the general fund to cover the cost of the new equipment.The city estimates that for the coming year the audit department's operating costs, excluding any costs relating to the new equipment, will be…
A city maintains an internal audit department and accounts for it in its general fund. In the coming year, the department will purchase $300,000 of computer and other office equipment, all of which will be paid for out of current resources (i.e., not with debt).City officials have given top priority to reducing general fund expenditures. To that end, the city comptroller has proposed accounting for the internal audit department in an internal service fund rather than in the general fund. As envisioned by the comptroller, the audit department would bill each of the units (all of which are accounted for in the general fund) for each audit performed. Fees would be established so that they would cover all audit department costs. The fund would be established by a transfer of $300,000 from the general fund to cover the cost of the new equipment.The city estimates that for the coming year the audit department's operating costs, excluding any costs relating to the new equipment, will be…
Chapter 11 Solutions
FUNDAMENTALS OF ADVANCED ACCOUNTING >I
Ch. 11 - Prob. 1QCh. 11 - Prob. 2QCh. 11 - Prob. 3QCh. 11 - Prob. 4QCh. 11 - What measurement focus is used in fund financial...Ch. 11 - Prob. 6QCh. 11 - Prob. 7QCh. 11 - In applying the current financial resources...Ch. 11 - Prob. 9QCh. 11 - What are the five fund types within the...
Ch. 11 - Prob. 11QCh. 11 - What are the four fund types within the fiduciary...Ch. 11 - Prob. 13QCh. 11 - Fund financial statements have separate columns...Ch. 11 - The general fund of a city reports assets of...Ch. 11 - Why are budgetary entries recorded in the...Ch. 11 - How are budget results shown in the financial...Ch. 11 - Prob. 18QCh. 11 - Prob. 19QCh. 11 - Prob. 20QCh. 11 - How do governmental funds report capital outlay in...Ch. 11 - Prob. 22QCh. 11 - Prob. 23QCh. 11 - Prob. 24QCh. 11 - How is the issuance of a long-term bond reported...Ch. 11 - Prob. 26QCh. 11 - Prob. 27QCh. 11 - Prob. 28QCh. 11 - What is an internal exchange transaction, and how...Ch. 11 - Prob. 1PCh. 11 - Prob. 2PCh. 11 - Prob. 3PCh. 11 - Prob. 4PCh. 11 - Prob. 5PCh. 11 - Prob. 6PCh. 11 - Which of the following statements is correct about...Ch. 11 - Prob. 8PCh. 11 - Prob. 9PCh. 11 - The City of Bagranoff holds 90,000 in cash that...Ch. 11 - Prob. 11PCh. 11 - The general fund pays rent for two months. Which...Ch. 11 - A purchase order for 3,000 is recorded in the...Ch. 11 - At the end of the current year, a government...Ch. 11 - A government buys equipment for its police...Ch. 11 - A city acquires supplies for its fire department...Ch. 11 - Prob. 17PCh. 11 - The state government passes a law requiring...Ch. 11 - The state awards a grant of 50,000 to the Town of...Ch. 11 - A city issues a 60-day tax anticipation note to...Ch. 11 - A city issues five-year bonds payable to finance...Ch. 11 - The City of Dylan issues a 10-year bond payable of...Ch. 11 - Prob. 23PCh. 11 - A 110,000 payment is made on a long-term...Ch. 11 - A city constructs a special assessment project (a...Ch. 11 - A city constructs curbing in a new neighborhood...Ch. 11 - Which of the following is an example of an...Ch. 11 - Cash of 60,000 is transferred from the general...Ch. 11 - Cash of 60,000 is transferred from the general...Ch. 11 - Cash of 20,000 is transferred from the general...Ch. 11 - Cash of 20,000 is transferred from the general...Ch. 11 - Prob. 32PCh. 11 - A city orders a new computer for its general fund...Ch. 11 - Cash of 90,000 is transferred from a citys general...Ch. 11 - The governmental funds of the City of Westchester...Ch. 11 - Government officials of Hampstead County ordered a...Ch. 11 - A local government has the following transactions...Ch. 11 - Prepare journal entries for the City of Puddings...Ch. 11 - Prepare journal entries for a local government to...Ch. 11 - The following unadjusted trial balances are for...Ch. 11 - Prob. 41PCh. 11 - Chesterfield County had the following...Ch. 11 - Prob. 43PCh. 11 - Prob. 44PCh. 11 - Prob. 45PCh. 11 - Prob. 46PCh. 11 - Prob. 47PCh. 11 - Prob. 48PCh. 11 - Prob. 49PCh. 11 - Prob. 50PCh. 11 - Indicate (i) how each of the following...Ch. 11 - Fund A transfers 20,000 to Fund B. For each of the...Ch. 11 - Prob. 53PCh. 11 - Prob. 54PCh. 11 - Prob. 55PCh. 11 - Prob. 56PCh. 11 - Prob. 57PCh. 11 - Prob. 58PCh. 11 - Prob. 59P
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