Calhoun County has prepared the following operating statement for its proprietary funds. The county has three enterprise funds and two internal service funds.

Required
The statement as presented is not in accordance with GASB standards. Identify the errors and explain how the errors should be corrected in order to conform with GASB standards. Along with the information in Chapter 7, Illustration A2€“8 will be helpful in identifying and correcting the errors.

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CALHOUN COUNTY Income Statement and Reconciliation to Government-wide Statement of Position Proprletary Funds For the Year Ended December 31 (amounts expressed in thousands) Total Total Internal Business- Reconciling Enterprise Service type Activities Funds Funds Total Items Revenues $ 61,309 1,086 62,395 $ 71,930 1,145 73,075 $ 1,000 (1,086) (86) $ 72,930 $10,621 Charges for services Investment income 59 59 Total Revenues 10,680 72,989 Expenses and expenditures 29,877 14,833 7,076 Personnel services 24,196 11,540 6,904 11,213 5,681 3,293 172 29,877 14,833 7,076 13,289 Supplies and materials Interest expense Depreciation Loss on disposal of capital assets Total expenses and expenditures Net income (loss) Special item-loss on sale Net assets-January 1 2,076 (13,289) 200 200 200 (13,289) 13,203 54,053 8,342 (3,794) 288,611 $293,159 11,222 65,275 7,800 51,986 21,003 (542) (3,794) 291,948 $295,954 (3,794) 291,948 $309,157 3,337 $ 2,795 $13,203 Net assets-December 31