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- DUE AND PERPETUITY show formula and solution used.After closing entries, a special revenue fund's Fund Balance account represents the net amount of resources available for future appropriation. O true falseWhich of the following serve as the basis for recording appropriate expenses each time the fund is replenished? a. Receipts b. Request letter from cash custodian C Cheques issued to cash custodian d. None of the given options
- Does a credit balance in the fund balance account(s) at the end of the year necessarily mean the fund has sufficient cash to pay its liabilities in a timely manner? Explain.a. Describe the entries that have been posted to the following accounts after the Change Fund was established. b. How will the balance of Cash Short and Over be reported on the income statement?At what two times would an entry be made affecting the change fund?
- Why is the reserved fund or reserved cash to be added as part of the possible loss in the preparation of schedule of safe payment?What are types of activities are reported in Custodial Funds?Is the following statement true or false? The deposits or payments are made at the end of the period in ordinary annuities. O False O True
- For long-term construction projects, the amount of “billings” is reported in the balance sheet by: Multiple Choice netting it against “construction in progress.” adding it to “construction in progress.” adding it to “accounts receivable.” netting it against “accounts receivable.”A credit to _____ is necessary upon the receipt of property assessments when the special assessment receivables are recorded in a custodial fund.Why are payments received from customers in advance, for either services to be performed and/or for goods to be delivered, classified as liabilities upon the receipt of the funds?