Governmental and Nonprofit Accounting (11th Edition)
11th Edition
ISBN: 9780133799569
Author: Robert J. Freeman, Craig D. Shoulders, Dwayne N. McSwain, Robert B. Scott
Publisher: PEARSON
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Chapter 3, Problem 6E
(Budgetary Entries—General Ledger) The city of Cherokee Hill adopted its fiscal year 20X8 General Fund budget, using the modified accrual basis of accounting, on January 1, 20X8. Budgeted revenues were $17 million; budgeted expenditures were $16,500,000.
- August 5, 20X8, the Cherokee Hill City Council adopted a motion by Mayor Clyde Fisher to increase the police department appropriation by $200,000. All other budgeted items remained unchanged.
- September 1, the city council revised the estimate of sales tax revenues upward by $60,000.
Required a. Record the budgetary events in the General Fund general ledger accounts.
b. Close the General Fund accounts (both budgetary and actual events). Assume the actual transaction entries were recorded properly. In addition to the foregoing events, assume the following information:
- Actual revenues for the year totaled $17,300,000.
- Expenditures for the year totaled $16,600,000.
- Transfers to Debt Service Funds totaled $800,000.
- Encumbrances of $80,000 were outstanding at year end.
c. Assuming a beginning total fund balance of $3,000,000, what is the postclosing, total fund balance to be reported in the GAAP financial statements for the city of Cherokee Hill?
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Chapter 3 Solutions
Governmental and Nonprofit Accounting (11th Edition)
Ch. 3 - Governmental budgeting and budgetary control are...Ch. 3 - Distinguish between the following types of...Ch. 3 - Prob. 3QCh. 3 - What are budgetary control points? How do they...Ch. 3 - Prob. 5QCh. 3 - Why might a local government not prepare and adopt...Ch. 3 - Revenue estimates and appropriations enacted are...Ch. 3 - In business accounting, a single general ledger...Ch. 3 - Illustrations 3-2 and 3-3 show Revenues Subsidiary...Ch. 3 - An interim budgetary comparison statement for a...
Ch. 3 - Prob. 11QCh. 3 - An annual budgetary comparison schedule for a...Ch. 3 - General budgets are most common for which of the...Ch. 3 - Special budgets are best defined as budgets a....Ch. 3 - Prob. 1.3ECh. 3 - Which of the following statements is false? a....Ch. 3 - Which of the following statements is true? a....Ch. 3 - Appropriation requests for the General Fund are...Ch. 3 - Which of the following statements would be true...Ch. 3 - Prob. 2.3ECh. 3 - Which of the following GAAP requirements for...Ch. 3 - Prob. 2.5ECh. 3 - Prob. 3.1ECh. 3 - Which of the following items does a government...Ch. 3 - The budget data presented in a school district...Ch. 3 - Allotments are best defined as a. legislative...Ch. 3 - Prob. 4ECh. 3 - Prob. 5ECh. 3 - (Budgetary EntriesGeneral Ledger) The city of...Ch. 3 - (General LedgerSubsidiary Ledgers Relationship,...Ch. 3 - (General Ledger Entries) Record the following...Ch. 3 - (Encumbrances) Record the following transactions...Ch. 3 - (Operating Budget Preparation) The finance...Ch. 3 - (Budgetary and Other EntriesGeneral and Subsidiary...Ch. 3 - Prob. 3PCh. 3 - (Budgetary Comparison StatementBudgetary Basis...Ch. 3 - (a) Prepare general ledger and subsidiary ledger...Ch. 3 - Using the information from C3-2 and assuming that...
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