table showing over and under estimation of incomes and expenses. Particulars budgeted amount actual amount over estimation/ (under estimation) income:- Basic real property tax 10000 6000 4000 Business tax 5000 3000 2000 National taxes share- Share from internal revenue collection 30000 30000 0 expenses:- Personal services 3000 2500 500 Maintenance and other operating expenses 4000 4000 000 Capital outlay 10000 8500 1500 20% development going 6000 6000 0 Since, the expenses had the amount of liability based on certificates of appropriations, funds and allotment obligations this amount is used to calculate difference in estimation. required 1. Entries to record the adjustment for the over and underestimates.
table showing over and under estimation of incomes and expenses. Particulars budgeted amount actual amount over estimation/ (under estimation) income:- Basic real property tax 10000 6000 4000 Business tax 5000 3000 2000 National taxes share- Share from internal revenue collection 30000 30000 0 expenses:- Personal services 3000 2500 500 Maintenance and other operating expenses 4000 4000 000 Capital outlay 10000 8500 1500 20% development going 6000 6000 0 Since, the expenses had the amount of liability based on certificates of appropriations, funds and allotment obligations this amount is used to calculate difference in estimation. required 1. Entries to record the adjustment for the over and underestimates.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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table showing over and under estimation of incomes and expenses.
| Particulars | budgeted amount | actual amount | over estimation/ (under estimation) |
|---|---|---|---|
| income:- | |||
| Basic real property tax | 10000 | 6000 | 4000 |
| Business tax | 5000 | 3000 | 2000 |
|
National taxes share- Share from internal revenue collection |
30000 | 30000 | 0 |
| expenses:- | |||
| Personal services | 3000 | 2500 | 500 |
| Maintenance and other operating expenses | 4000 | 4000 | 000 |
| Capital outlay | 10000 | 8500 | 1500 |
| 20% development going | 6000 | 6000 | 0 |
Since, the expenses had the amount of liability based on certificates of appropriations, funds and allotment obligations this amount is used to calculate difference in estimation.
required
1. Entries to record the adjustment for the over and underestimates.
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