Durwin County issued $200 million in long-term debt to fund major improvements to the county's road and transportation systems. The debt is to be serviced from the proceeds of a specially dedicated property tax. The accompanying statement of revenues, expenditures, and changes in fund balance and balance sheet were taken from its year-end financial report. Based on the data in the two statements prepare journal entries to summarize the transactions in which the firm engaged. You should prepare budgetary entries, but need not prepare closing entries.

Durwin County, Debt Serice Fund Statement of Kevenues, Expendilures, and Changes in Fund Balance-Actaal and Budget Year Ended December 3. in thonsands) Actual Budget Revenues $21,520 $20,000 Property taxes Interest 50 521,570 $20 C Total revenues Principal retirement Interest 6,000 6,000 12,500 12,500 $18,500 $18,500 3,070 1,500 Total expenditures Excess of revenues over expenditares Otber financing snrces (ses) Nonreciprocl transfer of hond premium from capital projects fund Excess of revenues and net financing sources over expendiares 150 S 3,220 Fund balance, hegiain320 1,500 1500 Durwin County. Debt Service Fund Balance Sheet As of December 31 (in thousands) Cash Property taxes Assets $ 70 1,000 2,150 3,220 receivable Toal assets Fund balance Excess of revenues over $3,070 1500