he Village of Hawksville issued $4,000,000 in 5 percent general obligations, tax supported bonds on July 1, 2019, at 102. A fiscal agent is not used.Resources for principal and interest payments are to come from the General Fun. Interest pyments dates are December 31 and June 30. The first of 20 annual principal payments is to be made June 30, 2020. Hawksbill has a calander fiscal year. 1. A capital projects fund transferred the premium ( in the amountof $40,000) to the debt service fund. 2. On December 31, 2019 funds in the amount of $100,000 were received from the General Fund and the first interest payment was made. 3. The books were closed for 2019. 4. On June30,2020 funds in the amount of $220,000 were received from the General Fund, and the second interest payment ($100,00) was madealong with the first pricipal payment ($200,000) 5. On December 31,2020 funds inthe amount of $95,000 were received from the General Fund and the third interest payment was made (also in the amount of $95,000) 6. The books were closed for 2020. required: a. prepare journal entries to record the events above in the debt service fund. b. Prepare a Statement of Revenues, Expenditiures, and Changes in Fund Balance for the debt service fund forthe year ended December 31, 2019 c. Prepare a Statment of Revenues, Expenditures, and Changes in Fund Balance for the debt service fund for the year ended December 31, 2020
The Village of Hawksville issued $4,000,000 in 5 percent general obligations, tax supported bonds on July 1, 2019, at 102. A fiscal agent is not used.Resources for principal and interest payments are to come from the General Fun. Interest pyments dates are December 31 and June 30. The first of 20 annual principal payments is to be made June 30, 2020. Hawksbill has a calander fiscal year.
1. A capital projects fund transferred the premium ( in the amountof $40,000) to the debt service fund.
2. On December 31, 2019 funds in the amount of $100,000 were received from the General Fund and the first interest payment was made.
3. The books were closed for 2019.
4. On June30,2020 funds in the amount of $220,000 were received from the General Fund, and the second interest payment ($100,00) was madealong with the first pricipal payment ($200,000)
5. On December 31,2020 funds inthe amount of $95,000 were received from the General Fund and the third interest payment was made (also in the amount of $95,000)
6. The books were closed for 2020.
required:
a. prepare
b. Prepare a Statement of Revenues, Expenditiures, and Changes in Fund Balance for the debt service fund forthe year ended December 31, 2019
c. Prepare a Statment of Revenues, Expenditures, and Changes in Fund Balance for the debt service fund for the year ended December 31, 2020
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 6 images
