Shepherd City's original budget included a credit to fund balance of $20,000. During the year, the City recorded an additional entry that debited budgetary fund balance and credited estimated revenues. Which of the following accurately describes what happened? The estimated revenues decreased, reducing the City's projected surplus for the year. The estimated revenues decreased, improving the City's projected surplus for the year. The estimated revenues increased, reducing the City's projected surplus for the

Shepherd City's original budget included a credit to fund balance of $20,000. During the year, the City recorded an additional entry that debited budgetary fund balance and credited estimated revenues. Which of the following accurately describes what happened? The estimated revenues decreased, reducing the City's projected surplus for the year. The estimated revenues decreased, improving the City's projected surplus for the year. The estimated revenues increased, reducing the City's projected surplus for the

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Park City uses encumbrance accounting and formally integrates its budget into the general fund's accounting records. For the year ending July 31, Year 1, the following budget was adopted: Estimated revenues $30,000,000 Appropriations $27,000,000 Estimated transfer to debt service fund $900,000 Park's budgetary fund balance is a $3,000,000 credit balance $3,000,000 debit balance $2,100,000 credit balance O $2,1000,000 debit balance
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For the fiscal year 20X7 budget, the Town of Purplesburg anticipates the following inflows in its General Fund budget Property taxes, licenses, and fees $7,000,000 Proceeds of borrowings 3,000,000 Transfers from discontinued funds 2,000,000 In the budgetary entry, what amount should the town record for Estimated Revenues? a. $7,000,000 b. $10,000,000 c. $12,000,000 d. $3,000,000
The City of Lynnwood was recently incorporated and had the following transactions for the fiscal year ended December 31. The city council adopted a General Fund budget for the fiscal year. Revenues were estimated at $2,000,000 and appropriations were $1,990,000. Property taxes in the amount of $1,940,000 were levied. It is estimated that $9,000 of the taxes levied will be uncollectible. A General Fund transfer of $25,000 in cash and $300,000 in equipment (with accumulated depreciation of $65,000) was made to establish a central duplicating internal service fund. A citizen of Lynnwood donated marketable securities with a fair value of $800,000. The donated resources are to be maintained in perpetuity with the city using the revenue generated by the donation to finance an after-school program for children, which is sponsored by the culture and recreation function. Revenue earned and received as of December 31 was $40,000. The city’s utility fund billed the city’s General Fund…
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The government - wide financial statements provide the following figures: Education reports net expenses of $600,000. Parks reports net expenses of $100,000. Art museum reports net revenues of $50,000. General government revenues for the year were $800,000 with an overall increase in the city's net position of $150,000. The fund financial statements provide the following for the entire year: The general fund reports a $30,000 increase in its fund balance. The capital projects fund reports a $40,000 increase in its fund balance. The enterprise fund reports a $60,000 increase in its net position. The city asks the CPA firm of Abernethy and Chapman to examine several transactions that occurred during 2020 and indicate how to correct any erroneous reporting. Officials also want to know the effect of each error. View each of the following situations as independent. The City of Coyote mails property tax bills for 2021 to its citizens during August 2020. Property owners could make payments…
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Accounting Question
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4. City of Atwater wants to prepare closing entries at the end of a fiscal year for budgetary and operating statement control accounts in the general ledger of the General Fund. Following balance are belong to the City. Appropriations, $7,824,000%3; Financing Uses, $2,766,000; Estimated Revenues, $7,798,000; Encumbrances,$0; Expenditures, $5,900,0003; Uses, $2,770,000; Revenues, $8,980,000. Required Show in general journal form the entry needed to close all of the preceding accounts that should be closed as of the end of the fiscal year. Estimated Other Other Financing