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 5, Problem 2.3E
To determine
Identify the general ledger
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8.
The Town of Loveland levied property taxes in the amount of $1,600,000. The town estimates that 1 percent will be uncollectible. The journal entry to record the tax levy will include
Multiple Choice
A debit to Cash for $1,584,000.
A credit to Revenues for $1,584,000.
A debit to Allowance for Uncollectible Current Taxes for $16,000.
A debit to Estimated Revenues for $1,600,000.
During the current year, the City of Plattsburgh recorded the following transactions related to its property taxes:
1. Levied property taxes of $6,650,000, of which 2 percent is estimated to be uncollectible.
2. Collected current property taxes amounting to $6,015,000.
3. Collected $57,000 in delinquent taxes and $4,800 in interest and penalties on the delinquent taxes. These amounts had been
recorded as Deferred Inflows of Resources in the prior year.
4. Imposed penalties and interest in the amount of $7,200 but only expects to collect $6,200 of that amount.
5. Reclassified uncollected taxes and interest and penalties as delinquent. These amounts are not expected to be collected within the
first 60 days of the following fiscal year.
Required
a. Prepare journal entries to record the property tax transactions in the General Fund.
b. Prepare journal entries to record the property tax transactions in the governmental activities journal.
c. Determine the amount of property tax revenue…
During the current year, the City of Plattsburgh recorded the following transactions related to its property taxes:
Levied property taxes of $6,590,000, of which 2 percent is estimated to be uncollectible.
Collected current property taxes amounting to $5,973,000.
Collected $52,900 in delinquent taxes and $4,800 in interest and penalties on the delinquent taxes. These amounts had been recorded as Deferred Inflows of Resources in the prior year.
Imposed penalties and interest in the amount of $7,400 but only expects to collect $6,200 of that amount.
Reclassified uncollected taxes and interest and penalties as delinquent. These amounts are not expected to be collected within the first 60 days of the following fiscal year.
Required
Prepare journal entries to record the property tax transactions in the General Fund.
Prepare journal entries to record the property tax transactions in the governmental activities journal.
Determine the amount of property tax revenue recognized during the…
Chapter 5 Solutions
Governmental and Nonprofit Accounting (11th Edition)
Ch. 5 - Prob. 1QCh. 5 - Prob. 2QCh. 5 - The term deferred revenues seems out of place in...Ch. 5 - Governments often collect cash or must record...Ch. 5 - Modified accrual basis revenue recognition is...Ch. 5 - (a) Should estimated uncollectible amounts of...Ch. 5 - (a) What are expenditure-driven intergovernmental...Ch. 5 - Prob. 8QCh. 5 - Prob. 9QCh. 5 - During the course of your audit of a city, you...
Ch. 5 - Prob. 11QCh. 5 - Prob. 1.1ECh. 5 - Prob. 1.2ECh. 5 - Prob. 1.3ECh. 5 - Prob. 1.4ECh. 5 - What would the answer be to number 4 if the city...Ch. 5 - A county received 3,000,000 from the state. Of...Ch. 5 - A Special Revenue Fund expenditure of 40,000 was...Ch. 5 - A state received an unrestricted gift of 80,000 of...Ch. 5 - Prob. 1.9ECh. 5 - Prob. 1.10ECh. 5 - Prob. 2.1ECh. 5 - Prob. 2.2ECh. 5 - Prob. 2.3ECh. 5 - Prob. 2.4ECh. 5 - Prob. 2.5ECh. 5 - Prob. 2.6ECh. 5 - Prob. 2.7ECh. 5 - Prob. 2.8ECh. 5 - Prob. 2.9ECh. 5 - Prob. 2.10ECh. 5 - Prob. 3ECh. 5 - Prob. 4ECh. 5 - a. Prepare the general journal entries to record...Ch. 5 - Prob. 6ECh. 5 - Prepare general journal entries to record the...Ch. 5 - Prob. 8ECh. 5 - The City and County of PreVatte received a state...Ch. 5 - Make all required General Fund journal entries for...Ch. 5 - The city of Asher had the following transactions,...Ch. 5 - 1. The following are the estimated revenues for a...Ch. 5 - Prob. 3PCh. 5 - Prob. 4PCh. 5 - Prob. 5PCh. 5 - Prob. 6PCh. 5 - Prob. 1CCh. 5 - Prob. 2C
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- Subject :- Accounting During the current year, Knoxx County levied property taxes of $2,000,000 of which is 1% is is expected to be uncollectable. The following amounts were collected during the current year: Prior year taxes collected within the first 60 days of the current year: $50,000 Prior year taxes collected between 60 and 90 days into the current year: $120,000 Current year taxes collected in the current year: $1,800,000 Current year taxes collected within the first 60 days of the subsequent year: $80,000 What amount of property tax revenue should knoxx county report in its government-wide statement of activities? a. $1,980,000 b. $2,000,000 c. $1,800,000 d. $1,970,000arrow_forwardProperty Tax Calculations and Journal Entries. The Village of Darby's budget calls for property tax revenues for the fiscal year ending December 31, 2011, of $2.660,000. Village records indicate that, on average. 2 percent of taxes are not collected. The county tax assessor has assessed the value of taxable property located in the village at $135,714.300. Required a. Calculate to the nearest penny what tax rate per $100 of assessed valuation is required to generate a tax levy that will produce the required amount of revenue for the year. b. Record the tax levy for 2011 in the General Fund. (Ignore subsidiary detail and entries at the government-wide level.) C By December 31.2011, S2.540,000 of the current property tax levy had been collected. Record the amounts collected and reclassify the uncollected levied amount as delinguent interest and penalties of 6 percent were immediately due an the delinquent taxes but the finance director estimates that 10 percent will hot be collectible.…arrow_forwardThe Town of Pavilion’s July 1, 2022, balance sheet reports the following property tax accounts: Taxes receivable $140,000 Allowance for uncollectible taxes (98,000) Taxes receivable, net $42,000 During fiscal 2023, $60,000 in cash is collected on fiscal 2022 taxes and the remainder are written off. The town levies fiscal 2023 property taxes in the amount of $2,000,000. It estimates that uncollectible property taxes for 2023 are $50,000. Cash collected for 2023 property taxes is $1,880,000. $30,000 of the remaining uncollected 2023 taxes are expected to be collected within 60 days of fiscal year-end 2023. How much tax revenue is reported in fiscal 2023 from fiscal 2023 collections of fiscal 2022 taxes? Select one: a. $42,000 b. $18,000 c. $60,000 d. $0arrow_forward
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