Benton County includes an independent school district and two individually chartered towns within the County....
80.2K
Verified Solution
Link Copied!
Question
Accounting
Benton County includes an independent school district and two individually chartered towns within the County. Benton County's Treasurer assesses and collects property taxes on behalf of itself, the school district, and the towns. The County uses a tax collection custodial fund to record tax collections for the school district and towns. During the year ended December 31, 2020, the follow transactions took place:
1.) The County levied taxes as follows:
Benton County General Fund- 25,000,000
School District-12,500,000
Towns-2,500,000
Total-40,000,000
2.)The property taxes levied in part (a) were collected.
3.)The amounts collected were paid to the school district and towns.
Required:
a. )prepare journal entries for benton county and the benton county independent school district-identify the funds
b.)Will tax collection funds typically report a non-zero net position? Explain.
c.)Are there other custodial funds that typically report a positive net position? Give an example.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
