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h$.$ The first $$5,000$ of the state grant received in $(g)$ is expended as intended.

LO $16-2,16-5,16-7,16-8,16-9,16-11$

eXcel

Prepare journal entries for a local government to record the following

transactions, first for fund financial statements and then for government$-$wide

financial statements.

a$.$ The government sells $$900,000$ in bonds at face value to finance the

construction of a new warehouse.

b$.$ A $$1\mathrm{.}1$ million contract is signed for construction of the warehouse. The

commitment is reported, if allowed.

c$.$ The government transfers cash of $$130,000$ in unrestricted funds for the

eventual payment of the debt in $(a).$

d$.$ The government receives equipment for the fire department with a cost of

$$12,000.$ When ordered, an anticipated cost of $$11,800$ was recorded.

e$.$ Supplies to be used in the schools are bought for $$2,000$ cash. The consumption

method is used.

$f.$ The state awards a grant of $$90,000$ to supplement police salaries. The money

will be paid to reimburse the government but only after the supplement

payments have been made.

g$.$ The government mails property tax assessments to its citizens. The total

assessment is $$600,000,$ although officials anticipate that $4$ percent will never be

collected. The government holds an enforceable legal claim to this money. It

can be spent immediately.

of Copeland.

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