60.1K

Verified Solution

Link Copied!

Please help with b & c$.$ The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December $31,2020$:

Beginning balances were: Cash, $$80,000$; Taxes Receivable, $$185,000$; Accounts Payable, $$50,000$; and Fund Balance, $$215,000.$

The budget was passed. Estimated revenues amounted to $$1,200,000$ and appropriations totaled $$1,196,000.$ All expenditures are classified as General Government.

Property taxes were levied in the amount of $$902,000.$ All of the taxes are expected to be collected before February $2021.$

Cash receipts totaled $$870,000$ for property taxes and $$275,000$ from other revenue.

Contracts were issued for contracted services in the amount of $$90,000.$

Contracted services were performed relating to $$82,000$ of the contracts with invoices amounting to $$80,000.$

Other expenditures amounted to $$950,000.$

Accounts payable were paid in the amount of $$1,070,000.$

The books were closed.

Required:

a$.$ Prepare journal entries for the above transactions.

b$.$ Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund.

c$.$ Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding encumbrances are committed by contractual obligation.

Answer & Explanation Solved by verified expert

See Answer