3. On the last day of the calendar year, the City of Soccerton borrowed $400,000 from the local bank as a short-term loan in anticipation of property tax collections in the month of January. The note is non-interest bearing, due in 30 days, and is discounted as a rate of 12% per year. Record this transaction from two perspectives: 1) from the governmental activities' perspective on the government-wide statements, and 2) from the General Fund perspective. (1) From the governmental activities' perspective: Date Account Name 12/31 (2) From the General Fund perspective Date Account Name Debit Credit Debit Credit

3. On the last day of the calendar year, the City of Soccerton borrowed $400,000 from the local bank as a short-term loan in anticipation of property tax collections in the month of January. The note is non-interest bearing, due in 30 days, and is discounted as a rate of 12% per year. Record this transaction from two perspectives: 1) from the governmental activities' perspective on the government-wide statements, and 2) from the General Fund perspective. (1) From the governmental activities' perspective: Date Account Name 12/31 (2) From the General Fund perspective Date Account Name Debit Credit Debit Credit

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: 1. State Community College, a public college, grants faculty members a one-year sabbatical leave…

A: Sabbatical leave is defined as the period for which employees or employee do not attend the office…

Q: A bond issue was authorized by vote to provide funds for the construction of a new municipal…

A: Journal entry records the accounting transactions of a business in a journal book. All the business…

Q: 1. The city levied $300,000 of special property taxes that are restricted by statue and by bond…

Q: 1. The township issues $5.0 million in bonds at a premium of $.40 million and incurs $.18 million in…

A: A financial transaction's debits and credits for each connected account are documented in a journal…

Q: A County had the following transactions. The county's fiscal year end is December 31. Analyze the…

A: The fundamental accounting equation, also known as the balance sheet equation, is the basis of…

Q: Following are several transactions involving a university. In the current fiscal year, the…

A: A journal entry is a basic accounting record that is used to chronologically track financial…

Q: Agawa City presents the following pre-closing trial balance for its General Fund as of the end of…

A: The objective of this question is to calculate the amount of fund balance at the end of the fiscal…

Q: For the year ended June 30, 20X9, a university assessed its students a total of $4,000,000 for…

A: The objective of the question is to calculate the net revenue from tuition and fees that should be…

Q: Using the information below, what amount should be accounted for in a special revenue fund or funds?…

A: Federal income taxes are imposed in USA. The income tax is calculated by implementing tax rate which…

Q: A city transfers cash of $90,000 from its general fund to start construction on a police station.…

A: Particulars Debit credit Cash 1800000 Bonds payable 1800000 ( being to record Bonds…

Q: Edwards City has the following information for its general fund for the upcoming fiscal year. Which…

A: Budgetary fund balance can be calculated after deducting Appropriations from estimated revenue. If…

Q: Using the attached forms, prepare general journal entries, in proper form, to record the above…

A: Accounting for the General Fund includes recording various financial transactions that occur within…

Q: During the fiscal year ended 6/30/18, the Harriscity engaged in the following transactions.…

A: Golden Rules of Accounting: Account Debit Credit Personal Accounts The Receiver The…

Q: onds with a face value of $1 million. The bonds were sold for $1,016,510, an amount that provides an…

A: 1. Nonreciprocal transfers-in to its debt service fund G. $26,510 $1016510-1000000 +10000 $26,510.00…

Q: Falmouth City owns and operates a mini-bus system which it accounts for in an enterprise fund.…

A: Introduction:- Journal entry is the first stage of accounting process. Journal entry used to record…

Q: prepare statement of revenues, expenditure and changes in fund balances,

A: Financial statements of government organizations present detailed accounts of revenue, expenses,…

Q: On January 1, 2019, a city recorded General Fund property tax revenues of $750,000 but made no…

A: 720000 - 4000 = 716000

Q: Salvador County issued $25 million of 5 percent demand bonds for construction of a county…

A: Demand bonds are long-term debt instruments that can be demanded by the bondholder i.e. Whenever…

Q: Indicate (i) how each of the following transactions impacts the fund balance of the general fund,…

Q: Culver City recognizes as revenues/expenditures those amounts collected/paid during the year or…

A: We shall answer the first question since the exact question wasn't specified. Please resubmit a new…

Question

3. On the last day of the calendar year, the City of Soccerton borrowed $400,000 from the local
bank as a short-term loan in anticipation of property tax collections in the month of January. The
note is non-interest bearing, due in 30 days, and is discounted as a rate of 12% per year. Record
this transaction from two perspectives: 1) from the governmental activities' perspective on the
government-wide statements, and 2) from the General Fund perspective.
(1) From the governmental activities' perspective:
Date Account Name
12/31
(2) From the General Fund perspective
Date Account Name
12/31
Debit Credit
Debit
Credit

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: (1) From the Governmental Activities' Perspective:

VIEW

Step 2: (2) From the General Fund Perspective:

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Prepare the journal entries for the following transactions to consolidate financial statements from fund-level statements to government-wide statements. 1...Compensated absences earned during the year was $225. 2....At the beginning of the year, long term liabilities was $2,200. 3....During the year, new long-term liabilities were incurred for $275.
The governmental funds of the City of Westchester report $541,000 in assets and $156,000 in liabilities. The following are some of the assets that the government reports. Prepaid items—$10,900. Cash from a bond issuance that must be spent within the school system according to the bond indenture—$89,500. Supplies—$8,800. Investments given by a citizen that will be sold soon with the proceeds used to beautify a public park—$36,750. Cash that the assistant director of finance designated for use in upgrading the local roads—$60,750. Cash from a state grant that must be spent to supplement the pay of local kindergarten teachers—$55,750. Cash that the city council (the highest level of decision-making authority in the government) voted to use in renovating a school gymnasium—$86,000. On a balance sheet for the governmental funds, what fund balance amounts should the City of Westchester report?
Ben City maintains its books and records in a manner that facilitates the preparation of fund financial statements. Prepare all necessary journal entries to record the following events related to property tax revenues for the year ended December 31, 2017. The city has adopted the 60-day rule for property tax revenue recognition. a. On January 3, 2017 the city council levied property taxes of $2 million to support general government operations, due in two equal installments on June 20 and December 20, 2017. The property taxes were levied to finance the 2017 budget, which had been adopted on November 3, 2016. Historically 2 percent of property taxes are uncollectible. b. The city collected the following amounts related to property taxes Delinquent 2016 taxes collected in January 2017 $ 22,000 Delinquent 2016 taxes collected in March 2017 $ 25,000 2017 taxes collected in June 2017 $ 1,080 2017 taxes collected in December 2017 $ 800,000 Delinquent 2017 taxes collected in January 2018 $…
Please help me to solve this question
require more [The following information applies to the questions displayed below] The Albertville City Council decided to pool the investments of its General Fund with Albertville Schools and Richwood Township in an investment pool to be managed by the city. Each of the pool participants had reported its investments at fair value as of the end of 2019. At the date of the creation of the pool, February 15, 2020, the fair value of the investments of each pool participant was as follows: City of Albertville General Fund Albertville Schools Richwood Township Total Investments 12/31/19 $892,000 4,204,000 3,930,000 $9,026,000 2/15/20 $910,000 4,277,000 3,913,000 $9,100,000 d. On June 15, Richwood Township decided to withdraw $3.030,000 for a capital projects payment. At the date of the withdrawal, the fair value of the Treasury notes had increased by $32,000. Assume that the trust fund was able to redeem the CDs necessary to complete the withdrawal without a penalty but did not receive…
Don't give solution in image format..
The government - wide financial statements provide the following figures: Education reports net expenses of $600,000. Parks reports net expenses of $100,000. Art museum reports net revenues of $50,000. General government revenues for the year were $800,000 with an overall increase in the city's net position of $150,000. The fund financial statements provide the following for the entire year: The general fund reports a $30,000 increase in its fund balance. The capital projects fund reports a $40,000 increase in its fund balance. The enterprise fund reports a $60,000 increase in its net position. The city asks the CPA firm of Abernethy and Chapman to examine several transactions that occurred during 2020 and indicate how to correct any erroneous reporting. Officials also want to know the effect of each error. View each of the following situations as independent. The City of Coyote mails property tax bills for 2021 to its citizens during August 2020. Property owners could make payments…
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
The governmental funds of the City of Westchester report $601,500 in assets and $214,000 in liabilities. The following are some of the assets that the government reports. • Prepaid items-$16,900. • Cash from a bond issuance that must be spent within the school system according to the bond indenture-$120,000. • Supplies-$5,750. • Investments given by a citizen that will be sold soon with the proceeds used to beautify a public park-$34,500. • Cash that the assistant director of finance designated for use in upgrading the local roads-$43,750. • Cash from a state grant that must be spent to supplement the pay of local kindergarten teachers-$59,000. • Cash that the city council (the highest level of decision-making authority in the government) voted to use in renovating a school gymnasium-$80,750. On a balance sheet for the governmental funds, what fund balance amounts should the City of Westchester report? Answer is complete but not entirely correct. Fund balance-nonspendable Fund…
Prepare journal entries in general journal format to record the following transactions for the City of Dallas General Fund (subsidiary detail may be omitted) 1. The budget prepared for the fiscal year included total estimated revenues of $4,693,000, appropriations of $4,686,000 and estimated other financing uses of $225,000. 2. Purchase orders in the amount of $451,000 were mailed to vendors. 3. The current year’s tax levy of $4,005,000 was recorded; uncollectible taxes were estimated to be 2% of the tax levy. 4. Collections of delinquent taxes from prior years’ levies totaled $82,700; collections of the current year’s levy totaled $3,524,900. 5. Invoices were received and approved for payment for items ordered in documents recorded as encumbrances in transaction (#2) of this problem. The estimated liability for the related items was $351,200. Actual invoices were $353,500. 6. Revenue other than taxes collected during the year consisted of licenses and permits, $177,600;…
Prepare journal entries for all the funds AND IDENTIFY THEM and the General Capital Assets and General Long-Term Liabilities accounts affected by the following transactions The government paid $605,000 from the General Fund to the fund used to service its general government bonds. The government issued bonds of $13,000,000 at par. The bonds are to be used to finance construction of a major public park. The government paid $400,000 of principal and $300,000 of interest on general government bonds. The government entered a capital lease for equipment with a capitalizable cost of $700,000. A $150,000 initial рауment was made The govern ment pui chased new computer equipment for the police department at a cost of $43,000. please avoid handwritten solution thanks
Tuston Township issued the following bonds during the year ended June 30, Year 1: Bonds issued for the garbage collection enterprise fund that will service the debt $700,000 Revenue bonds to be repaid from admission fees collected by the Township zoo enterprise fund 500,000 What amount of these bonds should be accounted for in Tuston's government-wide financial statement as a liability resulting from governmental activities? A.) $1,200,000 B.) $700,000 C.) $500,000 D.) $0