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It is February 15 and the City of Galaxy's personnel department is preparing a purchase order for a new copier estimated to cost $3,600. The personnel department's administrative assistant checks accounts to verify that an appropriation is available in a sufficient amount to cover the cost of the new copier. Current information indicates the following for the personnel department's Equipment account and Office Supplies account. Required Review the accounts as of February 15, and using the information available answer the following questions, assuming you are the administrative assistant. a. Calculate the Available Appropriation balances in the Equipment account. b. Is the available appropriation balance sufficient to authorize the ordering of the new copier? c. (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copler, would there be sufficient authorization to order the copier?

It is February 15 and the City of Galaxy's personnel department is preparing a purchase order for a new copier estimated to cost $3,600. The personnel department's administrative assistant checks accounts to verify that an appropriation is available in a sufficient amount to cover the cost of the new copier. Current information indicates the following for the personnel department's Equipment account and Office Supplies account. Required Review the accounts as of February 15, and using the information available answer the following questions, assuming you are the administrative assistant. a. Calculate the Available Appropriation balances in the Equipment account. b. Is the available appropriation balance sufficient to authorize the ordering of the new copier? c. (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copler, would there be sufficient authorization to order the copier?

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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It is February 15 and the City of Galaxy's personnel department is preparing a purchase order for a new copier estimated to cost $3,600. The personnel department's administrative assistant checks accounts to verify that an appropriation is available in a sufficient amount to cover the cost of the new copier. Current information indicates the following for the personnel department's Equipment account and Office Supplies account. Required Review the accounts as of February 15, and using the information available answer the following questions, assuming you are the administrative assistant. a. Calculate the Available Appropriation balances in the Equipment account. b. Is the available appropriation balance sufficient to authorize the ordering of the new copier? c. (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order the copler? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the Available Appropriation balances in the Equipment account. Account No. 1010012058510 Department/Activity Year 20xx Object Encumbrances Credits Date Jan 2 Jan 21 Jan 30 Reference Budget PO Issued Voucher Issued Debits $ 4,795 2,535 Balance < Required A $ 4,795 2,260 Personnel Department/Chief Equipment Available Expenditures Appropriation 2,535 $ Required B > 8,000
Transcribed Image Text:It is February 15 and the City of Galaxy's personnel department is preparing a purchase order for a new copier estimated to cost $3,600. The personnel department's administrative assistant checks accounts to verify that an appropriation is available in a sufficient amount to cover the cost of the new copier. Current information indicates the following for the personnel department's Equipment account and Office Supplies account. Required Review the accounts as of February 15, and using the information available answer the following questions, assuming you are the administrative assistant. a. Calculate the Available Appropriation balances in the Equipment account. b. Is the available appropriation balance sufficient to authorize the ordering of the new copier? c. (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order the copler? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the Available Appropriation balances in the Equipment account. Account No. 1010012058510 Department/Activity Year 20xx Object Encumbrances Credits Date Jan 2 Jan 21 Jan 30 Reference Budget PO Issued Voucher Issued Debits $ 4,795 2,535 Balance < Required A $ 4,795 2,260 Personnel Department/Chief Equipment Available Expenditures Appropriation 2,535 $ Required B > 8,000
Required A Required B Required C (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order copier? (1) Account No. 1010012058300 Year 20xx Date Jan 2 Jan 15 Jan 30 Reference Budget PO Issued Voucher Issued Debits $ Department/Activity Object Encumbrances Credits 500 500 Balance $ 500 0 Personnel Department/Chief Office Supplies Expenditures 495 (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order the copier? Available Appropriation $ 5,000
Transcribed Image Text:Required A Required B Required C (1) Calculate the Available Appropriation balances in the Office Supplies account. (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order copier? (1) Account No. 1010012058300 Year 20xx Date Jan 2 Jan 15 Jan 30 Reference Budget PO Issued Voucher Issued Debits $ Department/Activity Object Encumbrances Credits 500 500 Balance $ 500 0 Personnel Department/Chief Office Supplies Expenditures 495 (2) If the Office Supplies account could be used to help purchase the copier, would there be sufficient authorization to order the copier? Available Appropriation $ 5,000
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