ADVANCED ACCOUNTING-EBOOK ACCESS
14th Edition
ISBN: 9781264157068
Author: Hoyle
Publisher: MCG
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Textbook Question
Chapter 16, Problem 40P
The following unadjusted
| General Fund | Debit | Credit | |
| Cash | $ 19,000 | ||
| Taxes Receivable | 202,000 | ||
| Allowance for Uncollectible Taxes | $ 2,000 | ||
| Vouchers Payable | 24,000 | ||
| Due to Debt Service Fund | 10,000 | ||
| Unavailable Revenues | 16,000 | ||
| Encumbrances Outstanding | 9,000 | ||
| Fund Balance—Unassigned | 103,000 | ||
| Revenues | 176,000 | ||
| General Fund | Debit | Credit | |
| Expenditures | 110,000 | ||
| Encumbrances | 9,000 | ||
| Estimated Revenues | 190,000 | ||
| Appropriations | 171,000 | ||
| Budgetary Fund Balance | 19,000 | ||
| Totals | $530,000 | $530,000 | |
| Debt Service Fund | Debit | Credit |
| Cash | $ 8,000 | |
| Investments | 51,000 | |
| Taxes Receivable | 11,000 | |
| Due from General Fund | 10,000 | |
| Fund Balance—Committed | $ 45,000 | |
| Revenues | 20,000 | |
| Other Financing Sources—Operating Transfers In | 90,000 | |
| Expenditures | 75,000 | |
| Totals | $155,000 | $155,000 |
| Capital Projects Fund | Debit | Credit |
| Cash | $ 70,000 | |
| Special Assessments Receivable | 90,000 | |
| Contracts Payable | $ 50,000 | |
| Unavailable Revenues | 90,000 | |
| Encumbrances Outstanding | 16,000 | |
| Fund Balance—Unassigned | –0– | |
| Other Financing Sources | 150,000 | |
| Expenditures | 130,000 | |
| Encumbrances | 16,000 | |
| Estimated Other Financing Sources | 150,000 | |
| Appropriations | 150,000 | |
| Totals | $456,000 | $456,000 |
| Special Revenue Fund | Debit | Credit |
| Cash | $ 14,000 | |
| Taxes Receivable | 41,000 | |
| Inventory of Supplies | 4,000 | |
| Vouchers Payable | $ 25,000 | |
| Grant Revenues Collected in Advance | 3,000 | |
| Fund Balance—Nonspendable | 4,000 | |
| Encumbrances Outstanding | 3,000 | |
| Fund Balance—Unassigned | 19,000 | |
| Revenues | 56,000 | |
| Expenditures | 48,000 | |
| Encumbrances | 3,000 | |
| Estimated Revenues | 75,000 | |
| Appropriations | 60,000 | |
| Budgetary Fund Balance | 15,000 | |
| Totals | $185,000 | $185,000 |
Based on the information presented for each of these governmental funds, answer the following questions:
- a. How much more money can city officials expend or commit from the general fund during the remainder of the current year without amending the budget?
- b. Why does the capital projects fund have no construction or capital asset accounts?
- c. What does the $150,000 Appropriations balance found in the capital projects fund represent?
- d. Several funds have balances for Encumbrances and Encumbrances Outstanding. How will these amounts be accounted for at the end of the Fiscal year?
- e. Why does the Fund Balance—Unassigned account in the capital projects fund have a zero balance?
- f. What are possible explanations for the $150,000 Other Financing Sources balance found in the capital projects fund?
- g. What does the $75,000 balance in the Expenditures account of the debt service fund represent?
- h. What is the purpose of the Special Assessments Receivable found in the capital projects fund?
- i. In the special revenue fund, what is the purpose of the Fund Balance—Nonspendable account?
- j. Why does the debt service fund not have budgetary account balances?
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The City of Jonesboro engaged in the following transactions during the fiscal year ended September 30, 2018. Record the following transactions related to interfund transfers. Be sure to indicate in which fund the entry is being made.
a. The city transferred $400,000 from the general fund to a debt service fund to make the interest payments due during the fiscal year. The payments due during the fiscal year were paid. The city also transferred $200,000 from the general fund to a debt service fund to advance-fund the $200,000 interest payment due October 15, 2019.
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The following unadjusted trial balances are for the governmental funds of the City of Copeland prepared from the current accounting records:
General Fund
Debit
Credit
Cash
$
19,000
Taxes Receivable
202,000
Allowance for Uncollectible Taxes
$
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Vouchers Payable
24,000
Due to Debt Service Fund
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Unavailable Revenues
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Budgetary Fund Balance
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Chapter 16 Solutions
ADVANCED ACCOUNTING-EBOOK ACCESS
Ch. 16 - Prob. 1QCh. 16 - Prob. 2QCh. 16 - Prob. 3QCh. 16 - Prob. 4QCh. 16 - What measurement focus is used in fund financial...Ch. 16 - Prob. 6QCh. 16 - Prob. 7QCh. 16 - In applying the current financial resources...Ch. 16 - Prob. 9QCh. 16 - What are the five fund types within the...
Ch. 16 - Prob. 11QCh. 16 - What are the four fund types within the fiduciary...Ch. 16 - Prob. 13QCh. 16 - Fund financial statements have separate columns...Ch. 16 - The general fund of a city reports assets of...Ch. 16 - Why are budgetary entries recorded in the...Ch. 16 - How are budget results shown in the financial...Ch. 16 - Prob. 18QCh. 16 - Prob. 19QCh. 16 - Prob. 20QCh. 16 - How do governmental funds report capital outlay in...Ch. 16 - Prob. 22QCh. 16 - Prob. 23QCh. 16 - Prob. 24QCh. 16 - How is the issuance of a long-term bond reported...Ch. 16 - Prob. 26QCh. 16 - Prob. 27QCh. 16 - Prob. 28QCh. 16 - What is an internal exchange transaction, and how...Ch. 16 - Prob. 1PCh. 16 - Prob. 2PCh. 16 - Prob. 3PCh. 16 - Prob. 4PCh. 16 - Prob. 5PCh. 16 - Prob. 6PCh. 16 - Which of the following statements is correct about...Ch. 16 - Prob. 8PCh. 16 - Prob. 9PCh. 16 - The City of Bagranoff holds 90,000 in cash that...Ch. 16 - Prob. 11PCh. 16 - The general fund pays rent for two months. Which...Ch. 16 - A purchase order for 3,000 is recorded in the...Ch. 16 - At the end of the current year, a government...Ch. 16 - A government buys equipment for its police...Ch. 16 - A city acquires supplies for its fire department...Ch. 16 - Prob. 17PCh. 16 - The state government passes a law requiring...Ch. 16 - The state awards a grant of 50,000 to the Town of...Ch. 16 - A city issues a 60-day tax anticipation note to...Ch. 16 - A city issues five-year bonds payable to finance...Ch. 16 - The City of Dylan issues a 10-year bond payable of...Ch. 16 - Prob. 23PCh. 16 - A 110,000 payment is made on a long-term...Ch. 16 - A city constructs a special assessment project (a...Ch. 16 - A city constructs curbing in a new neighborhood...Ch. 16 - Which of the following is an example of an...Ch. 16 - The governmental funds of the City of Westchester...Ch. 16 - Government officials of Hampstead County ordered a...Ch. 16 - A local government has the following transactions...Ch. 16 - Prepare journal entries for the City of Puddings...Ch. 16 - Prepare journal entries for a local government to...Ch. 16 - The following unadjusted trial balances are for...
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