Fort Steven School District uses a debt service fund to retire its long-term bonds. The following transactions took place during the period from January 1 to December 31.

Instructions:

Transcribed Image Text:

January 1-Budgeted for the debt service fund required revenue from taxes of $50,000 and required revenue from earnings of $2,400. March 15-Taxes collected by the general fund and transferred to the debt service fund amounted to $30,000. April 1-District purchased 10 percent, ten-year bonds, face value of $30,000, dated January 1, at a premium of $500 with interest payable semiannually on June 30 and December 31. June 15-Taxes collected by the general fund and transferred to the debt service fund amounted to $20,000.