Question

Check my work The following Information was abstracted from the accounts of the general fund of the City of Noble after the books had been closed for the fiscal year ended June 30, 20X2. Postclosing Trial Balance, June 30, 20x1 $ 730,000 46,000 $776,000 $ 7,200 188,800 Transactions July 1, 20X1-June 30, 20x2 Debit Credit $1,810,000 $1,847,000 1,880,000 1,817,200 Cash Taxes Receivable Total Allowance for Uncollectib Vouchers Payable Fund Balance: Assigned for Encumbran Unassigned Total Postclosing Trial Balans June 30, 20X2 $693,000 108,800 $801,800 $ 9,200 181,800 7, 2009 , 200 1,847,000 1,840,000 72,000 72,000 30,800 580,000 $776,000 72,000 538,800 $801,800 Additional Information: The budget for the fiscal year ended June 30, 20X2, provided for estimated revenue of $2,800,000 and appropriations of $1,970,000. Encumbrances of $1,090,000 were made during the year. Required: Prepare proper journal entries to record the budgeted and actual transactions for the fiscal year ended June 30, 20X2. Include closing entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Answer 1

City of Noble Closing Enteries Date Particulars 1.7.20x2 Estimated Revenue Control a/c Dr. To Appropriations Control To Budgetary Fund Balance - Unassigned (Recording the budget on July 1, 20X2) Debit in $ Credit in $ 2800000 1970000 830000 Dr. 1090000 Encumbrances a/c To Budgetary Fund Balance - Assigned for encumbrances (Recording encumbrances for year ending 20x2) 1090000 Dr. 1880000 Taxes Receivable a/c To Allowance for Uncollectible Taxes To Property Tax Revenue (Recording property tax levy) 9200 1870800 1810000 7200 Cash a/c Dr. Allowance for Uncollectible Taxes a/c Dr. To Taxes Receivable (Receiving tax payment and writing off uncollectible balance) 1817200 1018000 Budgetary Fund Balance - Assigned for encumbrances a/c Dr. To Encumbrances (Reverse encumbrance account for purchase orders received) 1090000 - 72000 1018000 Dr. 1840000 Expenditures a/c To Vouchers Payable (Record actual expenditures) 1840000 1847000 Vouchers Payable a/c Dr. To Cash (Record payment of vouchers payable) 1847000 1970000 Close budgetary accounts: Apprpriations Control - a/c Dr. Budgetary Fund Balance - Unassigned Estimated revenue acontrol a/c dr. To Estimated Revenue control 830000 2800000 72000 Budgetary Fund Balance - Assigned for encumbrances a/c dr. To Encumbrances (Close remaining encumbrances) 72000 72000 Fund Balance -Unassigned a/c Dr. To Fund Balance - Assigned for Encumbrances (Reserve fund balance for outstanding purchase commitment) 72000 Dr. 1870800 Property Tax Revenue a/c To Expenditures To Fund Balance - Unassigned (Close operating accounts) 1840000 30800