Question

Chei Prepare journal entries for the City of Pudding's governmental funds to record the following transactions, first for fund financial statements and then for government-wide financial statements. a. A new truck for the sanitation department was ordered at a cost of $94,000. b. The city print shop did $1,200 worth of work for the school system (but has not yet been paid). C. An $11 million bond was issued to build a new road. d. Cash of $140,000 is transferred from the general fund to provide permanent financing for a municipal swimming pool that will be viewed as an enterprise fund. e. The truck ordered in (a) is received at an actual cost of $96,000. Payment is not made at this time.- f. Cash of $32,000 is transferred from the general fund to the capital projects fund. g. A state grant of $30,000 is received that must be spent to promote recycling. h. The first $5,000 of the state grant received in (g) is appropriately expended. Complete this question by entering your answers in the tabs below. FUND FIN STMT GOVT WIDE FIN STMT Prepare journal entries for the City of Pudding's governmental funds to record the fund financial statements. (Select the appropriate fund for each situation when required. If no entry is required for a transaction/event, select "No journal entry required in the first account held.) Debit Credit Transaction Fund/Activity General Journal a. A new truck for the sanitation department was ordered at a cost of $94,000. a. Record encumbrances outstanding

then all the same entry transactions but for the Govt. Wide Fin. Stmt.

Answer 1

Fund-Based Financial Statements-Journal Entry Transaction Answer Debit General Journal Credit General Fund Encumbrance Control $94,000 $94,000 Fund Balance-Reserved for Encumbrances (To record the Encumbrance outstanding) General Fund Expenditures b $1,200 $1,200 Due to Internal Service Fund (To record the Internal Service Fund) Capital Project Fund Cash $11,000,000 Other Financing Sources-Bonds Proceeds (To record the Other Financing Sources-Bonds Proceeds) $11,000,000 General Fund Other Financing Uses-Transfer Out $140,000 $140,000 Cash (To record the Cash transferred) General Fund Fund Balance-Reserved for Encumbrances $94,000 $94,000 Encumbrance Control (To record the Truck ordered in (a.) received at actual cost)

Expenditures $96,000 Vouchers Payable $96,000 (To record the receipt of truck) General Fund f Other Financing Uses-Transfer Out $32,000 $32,000 Cash (To record the Cash transferred) Capital Project Fund Cash $32,000 $32,000 Other Financing Sources-Transfers In (To record the transfer in capital project fund) Special Revenue Fund Cash $30,000 $30,000 Deferred Revenues (To record the State grant received to be spent to promote recycling) Special Revenue Fund Deferred Revenues $5,000 $5,000 Revenues (To record the Deferred Revenues) Expenditures $5,000 $5,000 Cash (To record the Expenditures)

Government-wide Financial Statements - Journal Entry Transaction General Journal Debit Credit No Entry No Entry Governmental Activities Cash $11,000,000 $11,000,000 Bonds Payable (To record the issue of Bonds) Governmental Activities Transfers Out-Swimming Pool $140,000 $140,000 Cash (To record the Cash transferred) Business Type Activities Cash $140,000 $140,000 Transfers In-General Fund (To record the Cash transferred) Governmental Activities Equipment-Trucks $96,000 $96,000 Vouchers or Accounts Payable (To record the Equipment expenditure) aul

No Entry f Governmental Activities Cash $30,000 $30,000 Deferred Revenue (To record the Deferred Revenue) Governmental Activities h Expense Public Service $5,000 $5,000 Cash (To record the Expense-Public Service) Deferred Revenue $5,000 $5,000 Revenues (To record the transfer of Deferred Revenue)