Use the work sheet prepared in Application Problem 24-1 to complete this problem. The town of Winona’'s general fund operating budget for the current year is shown on page 729.

Instructions:

1. Prepare a statement of revenues, expenditures, and changes in fund balance—budget and actual for the year ended December 31 of the current year. The unreserved fund balance on January 1 was $41,244.00.

2. Prepare a balance sheet for December 31 of the current year.

Data from Application Problem 24-1 

The town of Winona uses a general fund. The trial balance for December 31 of the current year is recorded on a work sheet in the Working Papers. The following adjustment information is available.

An estimated 20% of the interest revenue due will not be collected.
The reserve for encumbrances for the current year is reclassified to prior year status.

Transcribed Image Text:

Supplies Inventory Interest Revenue Due but not Collected Adjustment Information, December 31 $3,534.00 2,900.00