ACCT GOV.+NFP ENTITIES LOOSELEAF W/CONN.
18th Edition
ISBN: 9781260949766
Author: RECK
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Videos
Textbook Question
Chapter 3, Problem 21EP
On February 15, the Town of Evergreen police chief’s administrative assistant is preparing a purchase order to place an order for a new computer. The computer is estimated to cost $1,600. Prior to submitting the purchase order, he is required to verify that an appropriation is available in a sufficient amount to cover the cost of the new computer. His computer display shows the following current information for the Police Chief Equipment account and Office Supplies account.
Required
Review the police chief accounts as of February 15, and answer the following questions, assuming you are the administrative assistant.
- a. Is the available appropriation balance sufficient to authorize placing the purchase order for the new computer?
- b. You notice an available appropriation balance in the office supply account. Under what circumstances might the office supplies appropriation balance be used for the equipment purchase?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
On June 1, Snow Company established a petty cash fund of $1,000 to pay for various office supplies. A count at the end of the month shows $325 remaining in the fund, while the vouchers indicate that $650 of costs were incurred. Prepare the journal entries to establish the petty cash fund on June 1 and replenish the fund On June 30.
Halle's Berry Farm establishes a $350 petty cash fund on September 4 to pay for minor cash expenditures. The fund is replenished at
the end of each month. At the end of September, the fund contains $273 in cash. The company has also issued a credit card and
authorized its office manager to make purchases. Expenditures for the month include the following items:
Entertainment for office party (petty cash)
Repairs and maintenance (credit card)
Postage (credit card)
Delivery cost (credit card)
Required:
1. Record the establishment of the petty cash fund on September 4.
2. Record credit card expenditures during the month. The credit card balance is not yet paid.
3. Record petty cash expenditures during the month.
(If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
View transaction list
Journal entry worksheet
ere to search
F2
2
W
1
S
2
Record the establishment of the petty cash fund on September 4.
F3
#m
3
3
E
D
100
Et
F4
$
4
F5…
Hamilton Township needs to make its closing entries to close out its budgetary and operating accounts. Assume that Hamilton Township has a balance remaining of $275,000 in encumbrances outstanding as of the end of the year. The outstanding invoices are expected to be honored in the next fiscal year.
Required: Prepare the journal entries to close the encumbrance account
Chapter 3 Solutions
ACCT GOV.+NFP ENTITIES LOOSELEAF W/CONN.
Ch. 3 - Prob. 1QCh. 3 - Discuss the different ways in which depreciation...Ch. 3 - Prob. 3QCh. 3 - Prob. 4QCh. 3 - Explain the essential differences between revenues...Ch. 3 - Prob. 6QCh. 3 - How do Budgetary Fund Balance and Fund Balances...Ch. 3 - Prob. 8QCh. 3 - Prob. 9QCh. 3 - Prob. 10Q
Ch. 3 - The city manager of University City is finalizing...Ch. 3 - Prob. 16.1EPCh. 3 - Prob. 16.2EPCh. 3 - Which of the following accounts neither increases...Ch. 3 - Prob. 16.4EPCh. 3 - Which of the following statements is true for...Ch. 3 - An internal allocation of funds on a periodic...Ch. 3 - Prob. 16.7EPCh. 3 - Prob. 16.8EPCh. 3 - Before placing a purchase order, a department...Ch. 3 - Prob. 16.10EPCh. 3 - Which of the following is correct concerning the...Ch. 3 - Prob. 16.12EPCh. 3 - Prob. 16.13EPCh. 3 - Prob. 16.14EPCh. 3 - Supplies ordered by the Public Works function of...Ch. 3 - Prob. 17EPCh. 3 - Prob. 18EPCh. 3 - Prob. 19EPCh. 3 - The following information is provided about the...Ch. 3 - On February 15, the Town of Evergreen police...Ch. 3 - The Town of Willingdon adopted the following...Ch. 3 - During July, the first month of the fiscal year,...Ch. 3 - The Town of Bedford Falls approved a General Fund...Ch. 3 - The printout of the Revenues and Appropriations...Ch. 3 - Review the computer-generated budgetary comparison...Ch. 3 - Prob. 27EPCh. 3 - Greenville has provided the following information...
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 Clark County Sheriff's Department schedules police officers for 8-hour shifts. The beginning times for the shifts are 8:00 a.m., noon, 4:00 p.m., 8:00 p.m., midnight, and 4:00 a.m. An officer beginning a shift at one of these times works for the next 8 hours. During normal weekday operations, the number of officers needed varies depending on the time of day. The department staffing guidelines require the following minimum number of officers on duty: Time of Day 8:00 a.m.-noon Noon-4:00 p.m. 4:00 p.m.-8:00 p.m. 8:00 p.m.-midnight Midnight-4:00 a.m. 4:00 a.m.-8:00 a.m. Minimum No. of Officers on Duty 5 6 9 7 4 6 Determine the number of police officers that should be scheduled to begin the 8-hour shifts at each of the six times to minimize the total number of officers required. If your answer is zero, enter "0". Starting Time Officers Starting 8:00 a.m. Noon 4:00 p.m. 8:00 p.m. Midnight 4:00 a.m.arrow_forwardMiss Maria has recently joined the accounting department of SISHGC Limited as an assistant accountant. During her first meeting with the accounting department, the head of the department has elaborated her the responsibilities related to the general ledger and subsidiary ledger. Miss Maria uses the source documents such as purchase orders, sales invoices, and suppliers’ invoices to prepare journal vouchers for general ledger entries. At the end of each working day, she posts the journal vouchers to the general ledger and the related subsidiary ledgers. At the end of each month, Miss Maria reconciles the subsidiary accounts to their control accounts in the general ledger to ensure that there is no difference in these accounts. Required: Discuss the internal control weaknesses and risks associated with the above process.arrow_forwardHalle's Berry Farm establishes a $350 petty cash fund on September 4 to pay for minor cash expenditures. The fund is replenished at the end of each month. At the end of September, the fund contains $280 in cash. The company has also issued a credit card and authorized its office manager to make purchases. Expenditures for the month include the following items: Entertainment for office party (petty cash) $ 70 Lawn maintenance (credit card) 100 Postage (credit card) 55 Fuel for deliveries (credit card) 65 Required: Record the establishment of the petty cash fund on September 4. Record credit card expenditures during the month. The credit card balance is not yet paid. Record petty cash expenditures during the month.arrow_forward
- Halle’s Berry Farm establishes a $200 petty cash fund on September 4 to pay for minor cash expenditures. The fund is replenished at the end of each month. At the end of September, the fund contains $30 in cash. The company has also issued a credit card and authorized its office manager to make purchases. Expenditures for the month include the following items: Entertainment for office party (petty cash) $ 170 Lawn maintenance (credit card) 420 Postage (credit card) 575 Fuel for deliveries (credit card) 285 Required: Record the establishment of the petty cash fund on September 4. Record credit card expenditures during the month. The credit card balance is not yet paid. Record petty cash expenditures during the month THere should be a journal entry for the 4th, 30th and 30tharrow_forwardO In June, a local Amtrak office established a petty cash fund with Terrell Noman as its custodian. Terrell received and cashed a company check of $175 to establish the fund. During that month, Terrell paid cash from the fund for supplies ($30), delivery charges ($80), and other minor office expenses ($40). On July 10, he received a company check for $150 to replenish the fund. Required: 1. Prepare the journal entry required in June. 2. Prepare the journal entry required in July. 3. Explain why it may be appropriate or inappropriate to wait until July to record the payments from the petty cash fund.arrow_forwardHalle's Berry Farm establishes a $400 petty cash fund on September 4 to pay for minor cash expenditures. The fund is replenished at the end of each month. At the end of September, the fund contains $315 in cash. The company has also issued a credit card and authorized its office manager to make purchases. Expenditures for the month include the following items: Entertainment for office party (petty cash) $ 85 Lawn maintenance (credit card) 115 Postage (credit card) 70 Fuel for deliveries (credit card) 80 Required: Record the establishment of the petty cash fund on September 4. Record credit card expenditures during the month. The credit card balance is not yet paid. Record petty cash expenditures during the month. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)arrow_forward
- You have been recently hired as general manager of Lucky’s. It is September 1, and you must prepare the operating budget of this establishment for the first quarter of the upcoming calendar year, and submit it to the corporate office. Since you have been at the operation for only a month or so, you must rely solely on historical data. You gather sales reports and records for the months of January through August of the current year. Using the data and the budget worksheet provided, prepare the operating budget for Lucky’s for the months of January through March of the upcoming year. Here is the information you determined from the most recent sales and costs records (Please note that the first month has already been completed): Sales are 10 percent higher than those of the same month during the previous year. Food cost percentage is steady at 32 percent. Fixed labor costs are steady at $9,000 per month. Variable labor costs are 15 percent of sales. Occupancy costs will remain steady…arrow_forwardTaylor, a CPA, has been engaged to audit the financial statements of University Books, Incorporated. University Books maintains a large cash fund exclusively for the purpose of buying used books from students for cash. The cash fund is active all year because the nearby university offers a large variety of courses with varying starting and completion dates throughout the year. Receipts are prepared for each purchase. Reimbursement vouchers periodically are submitted to replenish the fund. Required:Construct an internal control questionnaire to be used in evaluating the internal control over University Books’ repurchasing process using the revolving cash fund. The internal control questionnaire should elicit a yes or no response to each question. Do not discuss the internal controls over books that are purchased from publishers.arrow_forwardThe president of the retailer Prime Products has just approached the company's bank with a request for a $47,000, 90-day loan. The purpose of the loan is to assist the company in acquiring inventories. Because the company has had some difficulty in paying off its loans in the past, the loan officer has asked for a cash budget to help determine whether the loan should be made. The following data are available for the months April through June, during which the loan will be used: On April 1, the start of the loan period, the cash balance will be $40,000. Accounts receivable on April 1 will total $145,600, of which $124,800 will be collected during April and $16,640 will be collected during May. The remainder will be uncollectible. Past experience shows that 30% of a month’s sales are collected in the month of sale, 60% in the month following sale, and 8% in the second month following sale. The other 2% is bad debts that are never collected. Budgeted sales and expenses for the…arrow_forward
- The president of the retailer Prime Products has just approached the company's bank with a request for a $49,000, 90-day loan. The purpose of the loan is to assist the company in acquiring inventories. Because the company has had some difficulty in paying off its loans in the past, the loan officer has asked for a cash budget to help determine whether the loan should be made. The following data are available for the months April through June, during which the loan will be used: On April 1, the start of the loan period, the cash balance will be $38,500. Accounts receivable on April 1 will total $148,400, of which $127,200 will be collected during April and $16,960 will be collected during May. The remainder will be uncollectible. Past experience shows that 30% of a month’s sales are collected in the month of sale, 60% in the month following sale, and 8% in the second month following sale. The other 2% is bad debts that are never collected. Budgeted sales and expenses for the…arrow_forwardThe president of the retailer Prime Products has just approached the company's bank with a request for a $93,000, 90-day loan. The purpose of the loan is to assist the company in acquiring inventories. Because the company has had some difficulty in paying off its loans in the past, the loan officer has asked for a cash budget to help determine whether the loan should be made. The following data are available for the months April through June, during which the loan will be used: On April 1, the start of the loan period, the cash balance will be $36,000. Accounts receivable on April 1 will total $179,200, of which $153,600 will be collected during April and $20,480 will be collected during May. The remainder will be uncollectible. Past experience shows that 30% of a month’s sales are collected in the month of sale, 60% in the month following sale, and 8% in the second month following sale. The other 2% is bad debts that are never collected. Budgeted sales and expenses for the…arrow_forwardThe president of the retailer Prime Products has just approached the company's bank with a request for a $77,000, 90-day loan. The purpose of the loan is to assist the company in acquiring inventories. Because the company has had some difficulty in paying off its loans in the past, the loan officer has asked for a cash budget to help determine whether the loan should be made. The following data are available for the months April through June, during which the loan will be used: a. On April 1, the start of the loan period, the cash balance will be $36,600. Accounts receivable on April 1 will total $187,600, of which $160,800 will be collected during April and $21,440 will be collected during May. The remainder will be uncollectible. b. Past experience shows that 30% of a month's sales are collected in the month of sale, 60% in the month following sale, and 8% in the second month following sale. The other 2% is bad debts that are never collected. Budgeted sales and expenses for the…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Auditing: A Risk Based-Approach to Conducting a Q...AccountingISBN:9781305080577Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:South-Western College Pub
Intermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage Learning- Business Its Legal Ethical & Global EnvironmentAccountingISBN:9781305224414Author:JENNINGSPublisher:Cengage
Individual Income TaxesAccountingISBN:9780357109731Author:HoffmanPublisher:CENGAGE LEARNING - CONSIGNMENT
Auditing: A Risk Based-Approach to Conducting a Q...
Accounting
ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:South-Western College Pub
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:Cengage Learning
Business Its Legal Ethical & Global Environment
Accounting
ISBN:9781305224414
Author:JENNINGS
Publisher:Cengage
Individual Income Taxes
Accounting
ISBN:9780357109731
Author:Hoffman
Publisher:CENGAGE LEARNING - CONSIGNMENT
What is Fund Accounting?; Author: Aplos;https://www.youtube.com/watch?v=W5D5Dr0j9j4;License: Standard Youtube License