Prepare journal entries to record the following events. Identify every fund(s) or group of accounts in which an entry is made.
a. The city authorized the construction of a city hall to be financed by a $6,000,000 contribution of the general fund and the proceeds of a $30,000,000 general obligation serial bond issue. Both amounts are budgeted to be received in the current year. Expenditures during the current year are estimated to be $14,000,000. Budgetary accounts are used.
b. The general fund remits the $6,000,000.
c. The bonds are sold for 99; issue costs totaled $50,000.
d. A contract is signed with Mader Construction Company for construction of the city hall for an estimated contract cost of $32,000,000. The contract was authorized by a city official delegated authority by the city council.
e. By year-end, $7,000,000 is paid against the contract with Mader Construction Company.