ACCT. FOR GOV.&NONPROF. ENTITIES>CUSTOM
18th Edition
ISBN: 9781307515596
Author: RECK
Publisher: MCG/CREATE
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Textbook Question
Chapter 4, Problem 23EP
The City of Waterville applied for a grant from the state government to build a pedestrian bridge over the river inside the city’s park. On May 1, the city was notified that it had been awarded a grant of up to $200,000 for the project. The state will provide reimbursement for allowable expenditures. On May 5, the special revenue fund entered into a short-term loan with the General Fund for $200,000 so it could start bridge construction. During the year, the special revenue fund expended $165,000 for allowable bridge construction costs, for which it submitted documentation to the state. Reimbursement was received from the state on December 13.
Required
For the special revenue fund, provide the appropriate
- 1. May 1, notification of grant approval.
- 2. May 5, loan from General Fund.
- 3. During the year, bridge expenditures and submission of reimbursement documentation.
- 4. December 13, receipt of the grant reimbursement funds.
- 5. December 31, adjusting and closing entries.
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The City of Jamestown want to improve hikind trails and bike paths for park improvement. The city applies for a grant from state government. On April 1 the city receives a notes that they will be awarded a grant of $420,000 for the program and to be received in two installments on July 1,2015 and July 1,2016. The grant stipulates that $210,000 is for use in each of the city’s fiscal years ending June 30, 2016, and June 30, 2017. During FY 2015, the city expended $90,000 for park improvements from grant resources.
Required:
For the special revenue fund, provide the appropriate journal entries, if any, that would be made for the following:
1. April 1, 2015, notification of grant approval.
2. July 1, 2015, receipt of first installment of the grant.
3. During FY 2015 to record expenditures under the grant.
4. July 1, 2016.
On June 1, 2020, the City of Cape May authorized the construction of a police station at an expected cost of $250,000. Financing will be provided through transfers from a Special Revenue Fund.
The following transactions occurred during the fiscal year beginning June 1, 2020, relating to the Capital Project Fund.
1. The $250,000 receivable from the Special Revenue Fund was recorded.
2. The Special Revenue Fund transferred $125,000 to the Capital Project Fund to begin construction on the police station.
3. The Capital Project Fund invested the transfer of monies in a six-month certificate, at 5%.
4. A contract in the amount of $250,000 was let to the lowest bidder.
5. Architect and legal fees in the amount of $3,125 were approved for payment. There was no encumbrance for these expenditures.
6. Contract billings in the amount of $250,000 were approved for payment on the completion of the police station and the encumbrance was removed.
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The City of Townsend’s city council authorized the establishment of an internal service fund to provide human resource services to city departments.The following transactions took place in the inaugural month of Townsend’s Human Resource internal service fund:
The General Fund transferred $100,000 to cover initial expenses. The transfer is not expected to be repaid.
The Human Resources Fund entered into a 2-year computer lease with an initial $5,000 payment. The present value of the remaining payments is $82,218.
Salaries and wages paid to employees totaled $15,000.
Office supplies were purchased on account for $2,500.
Billings totaling $3,000 were received from the enterprise fund for utility charges.
Billings to other departments for services provided to them were as follows:
General Fund
$
16,000
Special Revenue Fund
4,700
Closing entries were prepared.
Required
a-1. Assume all expenses at the government-wide level are charged to the General…
Chapter 4 Solutions
ACCT. FOR GOV.&NONPROF. ENTITIES>CUSTOM
Ch. 4 - Last month a local government collected property...Ch. 4 - When preparing the statement or schedule of...Ch. 4 - Prob. 3QCh. 4 - Prob. 4QCh. 4 - If the General Fund of a certain city needs...Ch. 4 - Prob. 6QCh. 4 - Explain why some governments may account for...Ch. 4 - Prob. 8QCh. 4 - Prob. 9QCh. 4 - Prob. 10Q
Ch. 4 - A government reports Deferred Inflows of...Ch. 4 - Prob. 13CCh. 4 - Prob. 15CCh. 4 - Choose the best answer. When equipment is...Ch. 4 - Prob. 17.2EPCh. 4 - Goods for which a purchase order had been placed...Ch. 4 - Prob. 17.4EPCh. 4 - Garden City has calculated that General Fund...Ch. 4 - Prob. 17.6EPCh. 4 - Prob. 17.7EPCh. 4 - Prob. 17.8EPCh. 4 - Carroll City levies 200,000 of property taxes for...Ch. 4 - Prob. 17.10EPCh. 4 - During the current year, the City of Hickory Hills...Ch. 4 - On July 1, 2020, the beginning of its fiscal year,...Ch. 4 - Prob. 20EPCh. 4 - Prob. 21EPCh. 4 - At the end of the current fiscal year, the City of...Ch. 4 - The City of Waterville applied for a grant from...Ch. 4 - The following transactions occurred during the...Ch. 4 - The following transactions affected various funds...Ch. 4 - The following events and transactions relate to...Ch. 4 - The City of Castletons General Fund had the...Ch. 4 - Prob. 28EP
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