9621-17-7P

AID: 1150 | 20/02/2014

(A) Sufficient data that should be required to prepare t-account is not available.

(B) Journal entries to record the current years transactions can be prepared as follows:
S.No. Account Title and Explanation 1A Estimated Revenue Appropriations Unreserved Fund Balance (To record budgeted revenue and expenditures) 1B Due from Water and Sewer Fund Transfer from Other Fund (To record authorization for transfer of resources from other fund entities incorporated in budget adopted by City Council) 1C Transfer to other Funds Due to Debt Service Fund (To record authorization for transfer of resources from other fund entities incorporated in budget adopted by City Council) 2 Encumbrances Reserve for Encumbrances (To record encumbrances (commitments) on goods and services ordered during current year) Debit($) 2,268,000.00 2,225,000.00 43,000.00 Credit($)

118,000.00 118,000.00

55,000.00 55,000.00

1,202,000.00 1,202,000.00

3A Reserve for Encumbrances Encumbrances (To record receipt of goods and services that had not been previously encumbered) 3B Expenditures-2007 Expenditures Vouchers Payable (To record the good and services were delivered against 4 Encumbrances Reserve for Encumbrances (To record encumbrances (commitments) on goods and services ordered during current year) Cash Revenue (To record revenue received from miscellaneous sources) Property Tax Receivable Estimated Uncollectible Taxes Revenue (To record property taxes at time they are levied) Cash Due from Federal Government (To record the receipt of payment from the federeal government) Due to Debt Service Fund Cash (To record the amount transferred to the debt service fund)

1,202,000.00 1,202,000.00

80,000.00 1,085,600.00 1,165,600.00

78,000.00 78,000.00

92,500.00 92,500.00

1,480,000.00 1,450,400.00 29,600.00

58,000.00 58,000.00

55,000.00 55,000.00

Accounts Receivable 155,675.00 Revenue (To record the city billed residents for trash service) Cash Allowance for Uncollectible Taxes Property Tax Receivable (To record the collection of property taxes) Expenditures Cash (To record the wages to employee) Cash Revenue (To record revenue received from miscellaneous sources) Cash Revenue($98,682+$130,000) Accounts Receivable Due from Water and Sewer Fund (To record the cash receipts) 1,438,455.00 18,250.00

155,675.00

10

1,456,705.00

11

998,765.00 998,765.00

12

333,650.00 333,650.00

13

495,402.00 228,682.00 148,720.00 118,000.00

14A Expenditures Vouchers Payable (To record receipt of goods and services that had not been previously encumbered)

57,680.00 57,680.00

(C) A pre-closing trial balance for the year ended December 31, 2009 can be prepared as follows:
CITY OF R The General Fund Preclosing Trial Balance December 31, 2008 Particulars Debit Cash Certificates of Deposit Accounts Receivable Supplies Inventory Estimated Revenue Property Tax Receivable Allowance for Uncollectible Taxes Appropriations Vouchers Payable Transfer from Water and Sewer Fund Transfer to Debt Service Fund Unreserved Fund Balance Reserved for Inventory Reserved for Encumbrances-2007 Expenditures Revenue Encumbrances Expenditures-2007 Reserve for Encumbrances Total $ 175,632.00 $ 200,000.00 $ 35,630.00 $ 37,600.00 $ 2,268,000.00 $ 98,895.00 $ 43,500.00 $ 2,225,000.00 $ 139,500.00 $ 118,000.00 $ 55,000.00 $ 269,075.00 $ 37,600.00 $ 78,500.00 $ 2,221,325.00 $ 2,260,907.00 $ 80,000.00 $ 5,172,082.00

Credit

$ 5,172,082.00

(D) The adjusting entries for supplies inventory and to record the interest on the CDs can be prepared as follows:
S.No. Account Title and Explanation Debit($) 10,000.00 10,000.00 Credit($)

17A Certificates of Deposit ($200,000)(0.5) Revenues (To record the interest on the certificates of deposits) 17B Inventory Reserve for Inventory($38,250-$37,600) (To adjust the supplies inventory)

650.00 650.00

(E) Journal entries to close the revenue, expenditures, and encumbrance accounts can be prepared as follows:
S.No. 1) Account Title and Explanation Revenue($2,260,907+$10,000) Unreserved Fund Balance Estimated Revenue (To close out actual and budgeted revenue accounts) Debit($) 2,270,907.00 2,907.00 2,268,000.00 Credit($)

2)

Appropriation 2,225,000.00 Expenditures Unreserved Fund Balance (To close out appropiations and current year's expenditures and encumbrances accounts) Transfer from Other Funds Unreserved Fund Balance Transfer to Debt Service Fund (To close out interfund transfers to the unreserved fund balance) Reserve for Encumbrances-2007 Unreserved Fund Balance Expenditures-2007 (To close out expenditures for goods and services ordered and encumbered in prior years) 118,000.00

2,221,325.00 3,675.00

3)

55,000.00 63,000.00

4)

78,500.00 1,500.00 80,000.00

(F) A Comparative balance sheet for 2007-2008 can be prepared as follows:

CITY OF R The General Fund Balance Sheet December 31, 2008 and 2007 Particulars 2008 Assets Cash Certificates of Deposit Accounts Receivable Due from Federal Government Property Tax Receivable (Less: Allowance for uncollectible amounts, 2008-$43,500; 2007-$32,150) Supplies Inventory Total $ 175,632.00 $ 210,000.00 $ 35,630.00 $ -

2007 $ 155,450.00 $ 200,000.00 $ 28,675.00 $ 58,000.00

$ 55,395.00 $ 38,250.00 $ 514,907.00

$ 43,450.00 $ 37,600.00 $ 523,175.00

Liabilities and Fund Balance Vouchers Payable $ 139,500.00 Fund Balance: Unreserved($269,075+$2,907+$3,675-$1,500+$63,000) $ 337,157.00 Reserve for Encumbrances $ Reserve for Inventory $ 38,250.00 Total Fund Balance $ 375,407.00 Total $ 514,907.00

$ 181,000.00 $ 226,075.00 $ 78,500.00 $ 37,600.00 $ 342,175.00 $ 523,175.00

G) A statement of Revenues, Expenditures and Changes in fund balance can be prepared as follows:
CITY OF R General Fund Statement of Revenue, Expenditures and Changes in Fund Balance For the Year Ended December 31, 2008 Particulars Amounts Assets Revenue $ 2,270,907.00 Expenditures: $ (2,301,325.00) Excess of Revenue over Expenditures $ (30,418.00) Transfers from Other Funds Transfers to Other Funds Increase in Supplies Inventory Increase(Decrease in Fund Balance) Fund Balance July 1, 2008 Fund Balance June 30, 2009 $ $ $ $ $ $ 118,000.00 (55,000.00) 650.00 33,232.00 342,175.00 375,407.00