General Fund Entries and StatementsThe postclosing trial balance of the general fund of th...

General Fund Entries and Statements

The postclosing trial balance of the general fund of the town of Pine Ridge on December 31, 20X1, is as follows:

Additional Information Related to 20X2

1. Estimated revenue: property taxes, $1,584,000 from a tax levy of $1,600,000 of which 1 percent was estimated uncollectible; sales taxes, $250,000; and miscellaneous, $43,000. Appropriations totaled $1,840,000; and estimated transfers out $37,000. Appropriations included outstanding purchase orders from 20X1 of $21,000. Pine Ridge uses the lapsing method for outstanding encumbrances.

2. Cash receipts: property taxes, $1,590,000, including $83,000 from 20X1; sales taxes, $284,000; licenses and fees, $39,000; and a loan from the motor pool, $10,000. The remaining property taxes from 20X1 were written off, and those remaining from 20X2 were reclassified.

3. Orders were issued for $1,800,000 in addition to the acceptance of the $21,000 outstanding purchase orders from 20X1. A total of $48,000 of purchase orders still was outstanding at the end of 20X2. Actual expenditures were $1,788,000, including $42,000 for office furniture. Vouchers paid totaled $1,793,000.

4. Other cash payments and transfers were as follows:

Required

a. Prepare entries to summarize the general fund budget and transactions for 20X2.

b. Prepare a preclosing trial balance.

c. Prepare closing entries for the general fund.

d. Prepare a balance sheet for the general fund as of December 31, 20X2.

e. Prepare a statement of revenues, expenditures, and changes in fund balance for 20X2 for the general fund.