Advanced Accounting
14th Edition
ISBN: 9781260247824
Author: Joe Ben Hoyle, Thomas F. Schaefer, Timothy S. Doupnik
Publisher: RENT MCG
expand_more
expand_more
format_list_bulleted
Videos
Textbook Question
Chapter 16, Problem 21P
A city issues five-year bonds payable to finance construction of a new school. What recording should be made?
- a. Report the liability in the government-wide financial statements; show an other financing source in the fund financial statements.
- b. Report a liability in the government-wide financial statements and in the fund financial statements.
- c. Show an other financing source in the government-wide financial statements and in the fund financial statements.
- d. Show an other financing source in the government-wide financial statements; report a liability in the fund financial statements.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Vouchers payable denote:
a.
A future liability estimated when order is made
b.
Amount due to government from user charges
c.
A liability incurred when goods/services are received
d.
Amount payable by government on long term debts
Question 2
Question text
Which of the following is not an example of the function of an Agency Fund?
a.
Collection of property tax by one government unit for the other
b.
All the options listed
c.
Payment of interest and principle on long-term debt
d.
Collection of local government sales taxes by the state government
KA
The following transactions take place:
• A commitment was made to transfer general revenues to the entity in charge of providing transportation for all government agencies.
• Construction bonds were issued at a premium. The premium is to be included in funds accumulated to retire the debt.
• Police salaries were paid.
• Interest and principal were paid on general obligation serial bonds.
Required: Indicate the name of the fund(s) in which each of the transactions or events should be recorded.
Proceeds from bonds issued to construct a new city hall would most likely be recorded in the journal of the:
Multiple Choice
Debt service fund.
General Fund.
Capital projects fund.
Enterprise fund.
Chapter 16 Solutions
Advanced Accounting
Ch. 16 - Prob. 1QCh. 16 - Prob. 2QCh. 16 - Prob. 3QCh. 16 - Prob. 4QCh. 16 - What measurement focus is used in fund financial...Ch. 16 - Prob. 6QCh. 16 - Prob. 7QCh. 16 - In applying the current financial resources...Ch. 16 - Prob. 9QCh. 16 - What are the five fund types within the...
Ch. 16 - Prob. 11QCh. 16 - What are the four fund types within the fiduciary...Ch. 16 - Prob. 13QCh. 16 - Fund financial statements have separate columns...Ch. 16 - The general fund of a city reports assets of...Ch. 16 - Why are budgetary entries recorded in the...Ch. 16 - How are budget results shown in the financial...Ch. 16 - Prob. 18QCh. 16 - Prob. 19QCh. 16 - Prob. 20QCh. 16 - How do governmental funds report capital outlay in...Ch. 16 - Prob. 22QCh. 16 - Prob. 23QCh. 16 - Prob. 24QCh. 16 - How is the issuance of a long-term bond reported...Ch. 16 - Prob. 26QCh. 16 - Prob. 27QCh. 16 - Prob. 28QCh. 16 - What is an internal exchange transaction, and how...Ch. 16 - Prob. 1PCh. 16 - Prob. 2PCh. 16 - Prob. 3PCh. 16 - Prob. 4PCh. 16 - Prob. 5PCh. 16 - Prob. 6PCh. 16 - Which of the following statements is correct about...Ch. 16 - Prob. 8PCh. 16 - Prob. 9PCh. 16 - The City of Bagranoff holds 90,000 in cash that...Ch. 16 - Prob. 11PCh. 16 - The general fund pays rent for two months. Which...Ch. 16 - A purchase order for 3,000 is recorded in the...Ch. 16 - At the end of the current year, a government...Ch. 16 - A government buys equipment for its police...Ch. 16 - A city acquires supplies for its fire department...Ch. 16 - Prob. 17PCh. 16 - The state government passes a law requiring...Ch. 16 - The state awards a grant of 50,000 to the Town of...Ch. 16 - A city issues a 60-day tax anticipation note to...Ch. 16 - A city issues five-year bonds payable to finance...Ch. 16 - The City of Dylan issues a 10-year bond payable of...Ch. 16 - Prob. 23PCh. 16 - A 110,000 payment is made on a long-term...Ch. 16 - A city constructs a special assessment project (a...Ch. 16 - A city constructs curbing in a new neighborhood...Ch. 16 - Which of the following is an example of an...Ch. 16 - The governmental funds of the City of Westchester...Ch. 16 - Government officials of Hampstead County ordered a...Ch. 16 - A local government has the following transactions...Ch. 16 - Prepare journal entries for the City of Puddings...Ch. 16 - Prepare journal entries for a local government to...Ch. 16 - The following unadjusted trial balances are for...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- The proceeds of a long-term bond issue were used by a county to acquire general fixed assets. The long-term liability is recordeda. only in the general long-term debt account group.b. only in the general fund.c. both in the general fund and in the general long-term debt account group.d. in the appropriate governmental fund, depending on the nature of the asset involved.arrow_forwardThe capital projects fund of Plant City completed construction of a new building. The building account should be reported in the: I. capital projects fund balance sheet. II. general fund balance sheet. III. government-wide statement of net position. A) II only. B) Il only. C) I only. D) I and II only.arrow_forwardIn approving the budget of the City of Troy, the city council appropriated an amount less than expected revenues, what will be the result of this action .a An increase in outstanding encumbrances by the of the fiscal year .b A credit to budgetary fund balance .C A debit to budgetary fund balance .d A necessity for compensatory offsetting action in the debt service fundarrow_forward
- For some types of debt, note disclosure is sufficient. For each of the following items relating to the debt of Marfa City, indicate whether and how the debt would be reported on a balance sheet of one of the city's governmental funds. If it would not be reported on a balance sheet of one of the city's governmental funds, then state whether it would be reported instead on the government‐wide statement of net position or in notes to the financial statements. Insofar as you would need additional information to determine how the debt should be reported, specify such information and tell how it would affect the determination. Briefly justify your response. The city issues $10 million in 30‐year, 6 percent revenue bonds to enable a local nursing home to construct new facilities. The facilities will be leased to the home for the term of the bonds, and the lease payments will be exactly equal to the debt service on the bonds. At the expiration of the lease, the property will revert to the…arrow_forwardJustify the presentation of the required accounting and financial reports to a city, when it uses funds, such as Capital project funds or Debt services funds, including the notes to the reports?arrow_forwardReconciliations required to yield government-wide financial statements from fund financial statements and preparation of financial statementsThe City of Jackson Hole is preparing its government-wide financial statements for the year. Its accountant must prepare a number of journal entries to recognize assets and liabilities previously omitted from the fund financial statements and to recognize revenues and expenses for the year under accrual accounting that were not recognized under the current financial resources measurement focus and the modified accrual basis of accounting used to prepare the Statement of Revenues, Expenditures, and Changes in Fund Balances for its funds. a. Prepare the journal entries for the required reconciliations to recognize the following in the government-wide financial statements (all amounts in $1,000s): 1. Recognize Capital Assets of $973,320 as of the beginning of the year.2. Record Depreciation Expense of $49,416 for the year and reverse Expenditures of…arrow_forward
- In what fund type should the proceeds from special assessment bonds issued to finance construction of sidewalks in a new subdivision be reported? a. Agency fund b. Special revenue fund c. Enterprise fund d. Capital projects fundarrow_forwardEncumbrances outstanding at year-end in a state’s general fund should be reported as a a. liability in the general fund. b. fund balance reserve in the general fund. c. liability in the general long-term debt account group. d. fund balance designation in the general fund.arrow_forwardMatch the appropriate letter indicating the recording of the following transactions:1. General obligation bonds were issued at par.2. Approved purchase orders were issued for supplies. The purchases method for supplies is followed.3. The above-mentioned supplies were received, and the related invoices were approved.4. General fund salaries and wages were incurred.5. The internal service fund had interfund billings.6. Revenues were earned from a previously awarded grant restricted to be used in the current period.7. Property taxes were collected in advance.8. Appropriations were recorded on adoption of the budget.9. Short-term financing was received from a bank and secured by the city’s taxing power.10. There was an excess of estimated inflows over estimated outflows. Recording of transactions:a. Credit Appropriations.b. Credit Budgetary Fund Balance—Unassigned.c. Credit Expenditures.d. Credit Deferred Inflows of Resources.e. Credit Interfund Revenues.f. Credit Tax Anticipation Notes…arrow_forward
- A gift to a government company is recorded to Select one: a Permanent fund b. Special revenue fund c. General fund d. Debt service fundarrow_forwardFor a government that has a trust fund in which it is accumulating sufficient assets to pay OPEB, the net OPEB liability should be reported in both the governmental fund balance sheet and the government- wide statement of net position. A. True B. Falsearrow_forwardWhich of the financial statements described below is prepared by the general fund of a state or local government? Group of answer choices a.) A statement of revenues, expenses, and changes in retained earnings. b.) An income statement. c.) A statement of revenues, expenditures, and changes in fund balance.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,
Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSON
Intermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill Education
Financial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education
Accounting
Accounting
ISBN:9781337272094
Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:Cengage Learning,
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...
Accounting
ISBN:9780134475585
Author:Srikant M. Datar, Madhav V. Rajan
Publisher:PEARSON
Intermediate Accounting
Accounting
ISBN:9781259722660
Author:J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:9781259726705
Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:McGraw-Hill Education
What is Fund Accounting?; Author: Aplos;https://www.youtube.com/watch?v=W5D5Dr0j9j4;License: Standard Youtube License