(Financial statements after initial month of operations)

The Bureau of Astrology, a unit of the Space Department, was established October 1, 2004. Its purpose is to provide astrological services to the general public. It is financed by an appropriation from Congress. Following are the transactions of the agency during October 2004.

October 1 The agency received a certified copy of an appropriation warrant from the Department of the Treasury for $\$ 900,000$.

October 1 Of the amount available for apportionment, $\$ 850,000$ was apportioned by the OMB.

October 1 Of the amount apportioned, $\$ 120,000$ was allotted to the agency by the Space Department to finance its October operations.

October 1 Purchase requests were made for materials and equipment, estimated to cost $\$ 48,000$.

October 3 Purchase orders were placed for materials, estimated to cost $\$ 30,000$, and for equipment, estimated to cost $\$ 15,000$.

October 15 All the equipment ordered October 3 was received with an invoice for $\$ 14,800$.
October 16 Some of the materials ordered October 3 were received with an invoice for $\$ 22,000$. The cost estimate used to record the obligation on October 3 was $\$ 22,500$. The materials were recorded as inventory. A disbursement schedule for this invoice was sent to the Treasury.
October 27 The Treasury paid the $\$ 22,000$ invoice for the materials.
October 31 Materials costing $\$ 18,000$ were used by the agency during October.
October 31 Salaries for October totaled $\$ 50,000$. The agency's FICA contributions were $\$ 2,000$.
October 31 Depreciation of $\$ 1,200$ was recorded by the agency.
Required: 1. Record these transactions in general journal form.
2. Post the journal entries to the general ledger and compute the account balances.
3. Prepare a preclosing trial balance.
4. Prepare month-end closing entries. (Hint: Because it is monthend, you need not close the budgetary accounts.)
5. Prepare a postclosing trial balance.
6. Prepare the following financial statements:

a. Balance sheet

b. Statement of net costs

c. Statement of changes in net position

d. Statement of financing

e. Statement of budgetary resources (Note: Consider amounts not yet allotted as balances not available.)