Converting from Modified Accrual to Accrual Accounting. The Village of Rodale keeps its governmental find accounting records on a modified accrual basis. At the end of the fiscal year, the village accountant must convert the modified accrual information to accrual information to allow for preparation of the government-wide financial statements. Following are several transactions identified by the accountant that will require conversion.
1. At the end of the year, depreciation expense of $674,300 was recorded on buildings and equipment.
2. Year-end salaries amounting to $39,123 were accrued.
3. During the year the village acquired a vehicle at a cost of $21 .369 and depreciable office equipment at a cost of $7,680. (Note: the village uses a Buildings and Equipment account.)
4. The village made the final $50,000 payment on a long-term loan. Interest related to the loan was $2250, half of which had been accrued at the end of the prior fiscal year.
5. The records indicate that the Due from Other Funds balance is $720. Of this amount, $480 is due from the Water Utility Fund for service provided by the general government: the remainder is due from a special revenue fund for services provided by the Police Department. The amount Due to Other Funds balance is $950, which the General Fund owes to the Water Utility Fund for water received.
Required
Prepare modified accrual to accrual adjustments for all of the transactions identified in Items 1€”5. Your answer sheet should be organized as follows. In the first column, identify the account titles that will be affected by the adjustment. Use the second column to identify whether the account title provided is a modified accrual account or an accrual account. The adjustment columns should record the amount of the debit or credit that would need to be made to adjust information from modified accrual to accrual. Keep in mind that some transactions may not be recorded under modified accrual; in such cases, the debit and credit adjustments affect only accrual accounts since the adjustments are reflected at the government-wide levelonly.

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Modified Accrual/ Accrual Account Adjustment Account Affected Credit Debit