The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020:1. Beginning balances were: Cash, $110,000; Taxes Receivable, $215,000; Accounts Payable, $65,000; and Fund Balance, $260,000.2. The budget was passed. Estimated revenues amounted to $1,400,000 and appropriations totaled $1,394,000. All expenditures areclassified as General Government.3. Property taxes were levied in the amount of $1,000,000. All of the taxes are expected to be collected before February 2021.4. Cash receipts totaled $970,000 for property taxes and $340,000 from other revenue.5. Contracts were issued for contracted services in the amount of $125,000.6. Contracted services were performed relating to $111,000 of the contracts with invoices amounting to $106,000.7. Other expenditures amounted to $1,040,000.8. Accounts payable were paid in the amount of $1,204,000.9. The books were closed.Required:a. Prepare journal entries for the above transactions.b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund.c. Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstandingencumbrances are committed by contractual obligation.ingComplete this question by entering your answers in the tabs below.Required A Required B Required CPrepare journal entries for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" inthe first account field.)View transaction lietJournal entry worksheet1 2 3 4 5 6Note: Enter debits before credits.Transaction01Beginning balances were: Cash, $110,000; Taxes Receivable, $215,000;Accounts Payable, $65,000; and Fund Balance, $260,000.Record entryGeneral Journal7Clear entry8< Required A12Debit CreditView general JournalRequired B >>

A journal entry is a record of a business transaction.It is Double entry system of book keeping, in…

Required: a. Prepare journal entries for the above transactions. b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund. c. Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding encumbrances are committed by contractual obligation.

Required: a. Prepare journal entries for the above transactions. b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund. c. Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding encumbrances are committed by contractual obligation.

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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Question

The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020:
1. Beginning balances were: Cash, $110,000; Taxes Receivable, $215,000; Accounts Payable, $65,000; and Fund Balance, $260,000.
2. The budget was passed. Estimated revenues amounted to $1,400,000 and appropriations totaled $1,394,000. All expenditures are
classified as General Government.
3. Property taxes were levied in the amount of $1,000,000. All of the taxes are expected to be collected before February 2021.
4. Cash receipts totaled $970,000 for property taxes and $340,000 from other revenue.
5. Contracts were issued for contracted services in the amount of $125,000.
6. Contracted services were performed relating to $111,000 of the contracts with invoices amounting to $106,000.
7. Other expenditures amounted to $1,040,000.
8. Accounts payable were paid in the amount of $1,204,000.
9. The books were closed.
Required:
a. Prepare journal entries for the above transactions.
b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund.
c. Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding
encumbrances are committed by contractual obligation.
ing
Complete this question by entering your answers in the tabs below.
Required A Required B Required C
Prepare journal entries for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in
the first account field.)
View transaction liet
Journal entry worksheet
1 2 3 4 5 6
Note: Enter debits before credits.
Transaction
01
Beginning balances were: Cash, $110,000; Taxes Receivable, $215,000;
Accounts Payable, $65,000; and Fund Balance, $260,000.
Record entry
General Journal
7
Clear entry
8
< Required A
12
Debit Credit
View general Journal
Required B >
>

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