Accounting For Governmental & Nonprofit Entities
18th Edition
ISBN: 9781259917059
Author: RECK, Jacqueline L., Lowensohn, Suzanne L., NEELY, Daniel G.
Publisher: Mcgraw-hill Education,
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Textbook Question
Chapter 3, Problem 24EP
The Town of Bedford Falls approved a General Fund operating budget for the fiscal year beginning on July 1. The budget provides for estimated revenues of $2,700,000 as follows: property taxes, $1,900,000; licenses and permits, $350,000; fines and forfeits, $250,000; and intergovernmental (state grants), $200,000. The budget approved appropriations of $2,650,000 as follows: General Government, $500,000; Public Safety, $1,600,000; Public Works, $350,000; Culture and Recreation, $150,000; and Miscellaneous, $50,000.
Required
- a. Prepare the
journal entry (or entries), including subsidiary ledger entries, to record the Town of Bedford Falls’s General Fund operating budget on July 1, the beginning of the Town’s fiscal year. - b. Prepare journal entries to record the following transactions that occurred during the month of July.
- 1. Revenues were collected in cash amounting to $31,000 for licenses and permits and $12,000 for fines and forfeits.
- 2. Supplies were ordered by the following functions in early July at the estimated costs shown:
- 3. During July, supplies were received at the actual costs shown below and were paid in cash. General Government, Culture and Recreation, and Miscellaneous received all supplies ordered. Public Safety and Public Works received part of the supplies ordered earlier in the month at estimated costs of $10,700 and $5,900, respectively.
- c. Calculate and show in good form the amount of budgeted but unrealized revenues in total and from each source as of July 31.
- d. Calculate and show in good form the amount of available appropriation in total and for each function as of July 31.
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Students have asked these similar questions
Edwards City has the following information for its general fund for the upcoming
fiscal year. Which of the following would be the appropriate effect to budgetary fund
balance when the budget is recorded?
Estimated revenue
Appropriations
Property tax
3,500,000 Salaries
2,690,000
Sales tax
490,000 Capital items
1,320,000
Other
50,000 Other
15,000
None of these
Credit budgetary fund balance $30,000
Credit budgetary fund balance $15,000
Debit budgetary fund balance $30,000
The following transactions related to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020:
1. Beginning balances were: Cash, $100,000: Taxes Receivable, $200,000: Accounts Payable, $57,500: and Fund Balance, $242,500.
2. The budget was passed. Estimated revenues amounted to $1, 300,000 and appropriations totaled1,296,000. All expenditures are classified as General Government.
3. Property taxes were levied in the amount of $950,000. All of the taxes are expected to be collected before February 2021.
4. Cash receipts totaled $920,000 for property taxes and $315,000 from other revenue.
5. Contracts were issued for contracted services in the amount of $107,500.
6. Contracted services were performed relating to $96,000 of the contracts with invoices amounting to $93,000.
7. Other expenditures amounted to $995,000.
8. Accounts payable were paid in the amount of $1,140,000.
9. The books were closed.
Required:
c. Prepare a Balance Sheet for the General Fund…
The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020:
Beginning balances were: Cash, $99,000; Taxes Receivable, $198,500; Accounts Payable, $56,750; and Fund Balance, $240,750.
The budget was passed. Estimated revenues amounted to $1,290,000 and appropriations totaled $1,286,200. All expenditures are classified as General Government.
Property taxes were levied in the amount of $945,000. All of the taxes are expected to be collected before February 2021.
Cash receipts totaled $915,000 for property taxes and $312,500 from other revenue.
Contracts were issued for contracted services in the amount of $105,750.
Contracted services were performed relating to $94,500 of the contracts with invoices amounting to $91,700.
Other expenditures amounted to $990,500.
Accounts payable were paid in the amount of $1,132,500.
The books were closed.
Required:a. Prepare journal entries for the above transactions.b. Prepare a Statement of…
Chapter 3 Solutions
Accounting For Governmental & Nonprofit Entities
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...
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