Accounting For Governmental & Nonprofit Entities
18th Edition
ISBN: 9781259917059
Author: RECK, Jacqueline L., Lowensohn, Suzanne L., NEELY, Daniel G.
Publisher: Mcgraw-hill Education,
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Textbook Question
Chapter 7, Problem 26EP
Net Position Classifications. (LO7-5) The Village of Shelburne operates a nine-hole golf course as an enterprise fund. You are provided with the following information for the current year:
- 1. Net income for the year was $161,511.
- 2. The beginning net position balances are net investment in capital assets, $585,400; restricted, $5,000; and unrestricted, $254,790.
- 3. New golf carts were leased. The present value of the lease liability is $200,000. A principal payment of $40,000 was made during the year, and amortization of the leased asset totaled $37,500.
- 4. Lawn edging equipment with a carrying value of $6,100 was sold for $6,300.
- 5. A new lawn mower was purchased for $75,000. At the end of the year, a $25,000 note associated with the machine remains outstanding.
Depreciation of the mower was $7,500. - 6. Additional depreciation totaled $30,000.
Required
Prepare the net position section of Shelburne’s statement of net position.
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The Village of Shelburne operates a nine-hole golf course as an enterprise fund. You are provided with the following information for the current year:
Net income for the year was $161,551.
The beginning net position balances are net investment in capital assets, $585,420; restricted, $5,050; and unrestricted, $254,820.
New golf carts were leased. The present value of the lease liability is $200,090. A principal payment of $40,080 was made during the year, and amortization of the leased asset totaled $37,550.
Lawn edging equipment with a carrying value of $6,140 was sold for $6,320.
A new lawn mower was purchased for $75,000. At the end of the year, a $25,000 note associated with the machine remains outstanding. Depreciation of the mower was $7,500.
Additional depreciation totaled $30,000.
RequiredPrepare the net position section of Shelburne’s statement of net position.
On December 31, Year 1, the following balances were due from the state government to Clare City's various funds:
Capital projects $300,000
Special revenue fund $18,000
Investment trust fund100,000
Enterprise 80,000
Custodial fund 100,000
Debt servide fund 100,000
In Clare's December 31, Year 1, financial statements, what amount should be reported in fiduciary funds?
$600,000
$400,000.
$300,000.
$1,050,000
The following financial transactions are related to a local government during the year.
General property taxes 100,000,
Proceeds of general bonds RO 50,000,
State grant to construct the school building RO 400,000.
Which one of the following amounts that a local government should report in general funds?
a.
RO 150,000
b.
RO 400,000
c.
None of the options
d.
RO 550,000
Chapter 7 Solutions
Accounting For Governmental & Nonprofit Entities
Ch. 7 - Prob. 1QCh. 7 - Explain the reporting requirements for internal...Ch. 7 - A member of the city commission insists that the...Ch. 7 - Prob. 4QCh. 7 - What is the purpose of the Restricted Assets...Ch. 7 - Prob. 6QCh. 7 - Prob. 7QCh. 7 - When do GASB standards require interfund...Ch. 7 - Prob. 9QCh. 7 - What is meant by segment information for...
Ch. 7 - Prob. 11QCh. 7 - Internal Service Fund Reporting. (LO7-2) Financial...Ch. 7 - Proprietary Fund Operating Statement. (LO7-1)...Ch. 7 - Enterprise Fund Golf Course Management. (LO7-1)...Ch. 7 - Prob. 17.1EPCh. 7 - Which of the following would most likely be...Ch. 7 - Under GASB standards, the City of Parkview is...Ch. 7 - Prob. 17.4EPCh. 7 - Which of the following events would generally be...Ch. 7 - Proprietary funds a. Are permitted to integrate...Ch. 7 - Prob. 17.7EPCh. 7 - Prob. 17.8EPCh. 7 - Prob. 17.9EPCh. 7 - Prob. 17.10EPCh. 7 - The City of Tutland issued 10 million, 6 percent,...Ch. 7 - The City of Tutland issued 10 million, 6 percent,...Ch. 7 - Prob. 18EPCh. 7 - Prob. 19EPCh. 7 - Central Garage Internal Service Fund. (LO7-2) The...Ch. 7 - Internal Service Fund Statement of Cash Flows....Ch. 7 - Tribute Aquatic Center Enterprise Fund. (LO7-5)...Ch. 7 - Net Position Classifications. (LO7-5) During the...Ch. 7 - Central Station Enterprise Fund. (LO7-5) The Town...Ch. 7 - Enterprise Fund Journal Entries and Financial...Ch. 7 - Net Position Classifications. (LO7-5) The Village...Ch. 7 - Enterprise Fund Statement of Cash Flows. (LO7-5)...Ch. 7 - AppendixSolid Waste Enterprise Fund. (LO7-6) Brown...
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