ACCT. FOR GOV.&NONPROF. ENTITIES>CUSTOM
18th Edition
ISBN: 9781307515596
Author: RECK
Publisher: MCG/CREATE
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Textbook Question
Chapter 7, Problem 22EP
Tribute Aquatic Center Enterprise Fund. (LO7-5) The City of Saltwater Beach established an enterprise fund two years ago to construct and operate Tribute Aquatic Center, a public swimming pool. The pool was completed and began operations last year. All costs, including repayment of debt, are to be paid by user fees. The fund’s preclosing
Additional information concerning the Tribute Aquatic Center Fund follows.
- 1. All bonds payable were used to acquire property, plant, and equipment.
- 2. Each year a payment is required on January 1 to retire an equal portion of the bonds payable.
- 3. Equipment was sold for cash at its carrying value of $9,250.
- 4. Total cash received from customers was $2,038,355 and cash received for interest and dividends was $92,500; of this amount, $75,000 was restricted cash. There were no other changes to restricted cash during the year.
- 5. Cash payments included $1,038,800 for personnel expenses, $185,800 for utilities, $86,225 for repairs and maintenance, $323,840 for interest on bonds, and $65,900 for supplies.
- 6. The beginning balance in Cash was $99,300,
Accounts Receivable was $3,580, Supplies was $9,525, and Accounts and Accrued Payables was $28,375. Accrued Payables include personnel expenses, utilities, and repairs and maintenance. - 7. The net position categories shown on the preclosing trial balance have not been updated to reflect correct balances at year-end.
Required
- a. Prepare the statement of revenues, expenses, and changes in fund net position for the Tribute Aquatic Center for the year just ended.
- b. Prepare the statement of net position for the Tribute Aquatic Center at year-end.
- c. Prepare the statement of
cash flows for the Tribute Aquatic Center at year-end.
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Students have asked these similar questions
Harrison City operates a water utility fund as an enterprise fund. You are provided with the following information for year 2021:
1. The beginning net position balances are net investment in capital assets, S650,000; restricted, S8,000; and unrestricted, S480,000.
2. Bonds in the amount of $200,000 were issued and immediately used to acquire capital assets from the bond proceeds at a cost of $200,000. At the end of year,
depreciation on the assets was $10,000. The enterprise fund also had paid back $40,000 of the debt principal.
3. Cash receipts for customer deposits totaled S3,000 for the year.
4. Additional depreciation totaled S12,000.
5. Net income for year 2021 was $300,000 (Note: this amount includes any item that needs to be included in net income from 2. to 4. above)
Required:
Compute the following items as of December 31, 2021:
1. Net position - net investment in capital assets
2. Net position
restricted
3. Net position ---
unrestricted
A city is building a new park. To finance the
construction of the park, the city will issue a
$1,800,000 bond, and receive a transfer of
$200,000 from the general
Please record the journal entries for the Capital
Project Fund and the Government-Wide financial
statements.
1. The city signed a contract with a construction
company to construct the park for $2,000.000.
2. The $1.800.000 bonds were issued at par.
3. The construction company billed the city for
$2,000,000 upon completion of the project.
4. The park is completed.
On April 1, 2020, the City purchased a swimming pool from a private operator for $500,000 and created a Swimming Pool (Enterprise) Fund. The city has a calendar year as its fiscal year. During the year ended December 31, 2020, the following transactions occurred related to the City’s Swimming Pool Fund:
On April 1, 2020, $300,000 was provided by a one-time contribution from the General Fund, and $200,000 was provided by a loan from a local bank (secured by a note), both of which were received in cash. The loan (Notes Payable) has an annual interest rate of 5%, payable semiannually on October 1 and April 1.
The purchase of the pool was recorded (paid in cash). Based on an appraisal, it was decided to allocate $100,000 to the land, $300,000 to improvements other than buildings (the pool), and $100,000 to the building.
Charges for services amounted to $270,000, all received in cash.
Salaries paid to employees amounted to $172,500, all paid in cash, of which $100,000 was cost of services…
Chapter 7 Solutions
ACCT. FOR GOV.&NONPROF. ENTITIES>CUSTOM
Ch. 7 - Prob. 1QCh. 7 - Explain the reporting requirements for internal...Ch. 7 - A member of the city commission insists that the...Ch. 7 - Prob. 4QCh. 7 - What is the purpose of the Restricted Assets...Ch. 7 - Prob. 6QCh. 7 - Prob. 7QCh. 7 - When do GASB standards require interfund...Ch. 7 - Prob. 9QCh. 7 - What is meant by segment information for...
Ch. 7 - Prob. 11QCh. 7 - Internal Service Fund Reporting. (LO7-2) Financial...Ch. 7 - Proprietary Fund Operating Statement. (LO7-1)...Ch. 7 - Enterprise Fund Golf Course Management. (LO7-1)...Ch. 7 - Prob. 17.1EPCh. 7 - Which of the following would most likely be...Ch. 7 - Under GASB standards, the City of Parkview is...Ch. 7 - Prob. 17.4EPCh. 7 - Which of the following events would generally be...Ch. 7 - Proprietary funds a. Are permitted to integrate...Ch. 7 - Prob. 17.7EPCh. 7 - Prob. 17.8EPCh. 7 - Prob. 17.9EPCh. 7 - Prob. 17.10EPCh. 7 - The City of Tutland issued 10 million, 6 percent,...Ch. 7 - The City of Tutland issued 10 million, 6 percent,...Ch. 7 - Prob. 18EPCh. 7 - Prob. 19EPCh. 7 - Central Garage Internal Service Fund. (LO7-2) The...Ch. 7 - Internal Service Fund Statement of Cash Flows....Ch. 7 - Tribute Aquatic Center Enterprise Fund. (LO7-5)...Ch. 7 - Net Position Classifications. (LO7-5) During the...Ch. 7 - Central Station Enterprise Fund. (LO7-5) The Town...Ch. 7 - Enterprise Fund Journal Entries and Financial...Ch. 7 - Net Position Classifications. (LO7-5) The Village...Ch. 7 - Enterprise Fund Statement of Cash Flows. (LO7-5)...Ch. 7 - AppendixSolid Waste Enterprise Fund. (LO7-6) Brown...
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