ournal entries for a series of transactions Prepare journal entries in the General Fund for each of the following events relating to the City of Bar Harbor (all amounts in $1,000s). a. The citizens approve the following budget for the year: ESTIMATED REVENUES $78,924 ESTIMATED OTHER FINANCING SOURCES 2,000 APPROPRIATIONS (77,273) BUDGETARY FUND BALANCE $3,651 General Journal Description Debit Credit ESTIMATED OTHER FINANCING SOURCES APPROPRIATIONS b. The City records the following revenues (on account) and other financing sources (paid in cash) during the year: 1. Revenues-real estate and personal property taxes $68,650 2. Revenues-intergovernmental 12,685 3. Other financing sources-bond proceeds 2,400 Description Debit Credit 1. 2. 3. c. The City issues purchase invoices totaling $78,508 (record the issuance of invoices as a lump sum). Description Debit Credit
Prepare journal entries in the General Fund for each of the following events relating to the City of Bar Harbor (all amounts in $1,000s).
a. The citizens approve the following budget for the year:
| ESTIMATED REVENUES | $78,924 |
| ESTIMATED OTHER FINANCING SOURCES | 2,000 |
| APPROPRIATIONS | (77,273) |
| BUDGETARY FUND BALANCE | $3,651 |
| General Journal | ||
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| Description | Debit | Credit |
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| ESTIMATED OTHER FINANCING SOURCES |
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| APPROPRIATIONS |
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b. The City records the following revenues (on account) and other financing sources (paid in cash) during the year:
| 1. | Revenues-real estate and personal property taxes | $68,650 |
| 2. | Revenues-intergovernmental | 12,685 |
| 3. | Other financing sources-bond proceeds | 2,400 |
| Description | Debit | Credit | |
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c. The City issues purchase invoices totaling $78,508 (record the issuance of invoices as a lump sum).
| Description | Debit | Credit |
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d. The City recognizes the following expenditures, all on account (these expenditures were previously reserved as budgetary
encumbrances):
| Expenditures--General Government | 11,876 |
| Expenditures--Public Safety | 8,051 |
| Expenditures--Education | 46,305 |
| Expenditures--Public Works | 4,225 |
| Expenditures--Human Services | 8,051 |
| Description | Debit | Credit |
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| BUDGETARY FUND BALANCE |
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| ENCUMBRANCES |
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| To reverse previous entry. | ||
| Expenditures--general government |
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| Expenditures--public safety |
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| Expenditures--education |
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| Expenditures--public works |
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e. The City makes the following payments related to its outstanding debt:
| Expenditures--debt principal payments | $900 | |
| Expenditures--debt interest payments | 300 |
| Description | Debit | Credit |
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| Expenditures--debt interest payments |
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f. The City collects
| Description | Debit | Credit |
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| Cash |
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| Real estate taxes receivable |
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g. The City recognizes an increase of $1,075 in Deferred Revenues as a year-end adjustment to yield a balance in that account of the total property taxes receivable that are not expected to be collected within 60 days.
| Description | Debit | Credit |
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h. The City makes the required closing entries to close out the budgetary and operating accounts. In addition, the City closes out the remaining $1,000 balance of budgetary encumbrances outstanding and formally charges that balance to Fund Balance-unassigned since the outstanding invoices are expected to be honored in the next fiscal year.
| Description | Debit | Credit | |
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| Close budget: | |||
| APPROPRIATIONS |
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| ESTIMATED OTHER FINANCING SOURCES |
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| Close operating accounts: | |||
| Revenues--real estate & personal property taxes |
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| Revenues--intergovernmental |
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| Expenditures--general government |
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| Expenditures--public safety |
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| Expenditures--education |
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| Expenditures--public works |
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| Expenditures--human services |
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| Expenditures--debt principal payments |
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| Expenditures--debt interest payments |
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| Remaining budgetary encumbrances: | |||
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| ENCUMBRANCES |
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