12. [Para. 5-a-12] The city submitted a $190,000 purchase order for design plans and specifications for the second street improvement project, the Spruce Street Project.

12. [Para. 5-a-12] The city submitted a $190,000 purchase order for design plans and specifications for the second street improvement project, the "Spruce Street Project." Required: Record this encumbrance in the Street Improvement Fund. 13. [Para. 5-a-13] The city engineer approved the final construction on the Elm Street Project, and the city paid the retained percentage (Transactions 9 and 11) to the contractor Required: Record this transaction in both the Street Improvement Fund and governmental activities journals. Total construction costs for the Elm Street Project should be capitalized in the Infrastructure account in governmental activities. 14. Verify the accuracy of all your preceding entries in the Street Improvement Fund and governmental activities general journals, then click (Post entries of each entity to post the entries to the respective general ledgers. For the Street Improvement Fund only, prepare year-end closing entries for 2020 and post them to the fund's general ledger, Fund Balance-Restricted. (Note: You must click on the box for Closing Entry to checkmark it; "Closing Entry" checkbox will appear next to the [Add credit field for the account being closed. Be sure the checkmark is present for each account being closed.) Click [Post entries to post the closing entry. Under GASB standards encumbrances and encumbrances outstanding are not reported in any financial statements. Consequently, there is no need to close these accounts since the Spruce Street Project is still underway at year-end. Closing entries will be made in the governmental activities general journal in Chapter 9 of this cumulative problem. Ignore those entries for now. 12. [Para. 5-a-12] The city submitted a $190,000 purchase order for design plans and specifications for the second street improvement project, the "Spruce Street Project." Required: Record this encumbrance in the Street Improvement Fund. 13. [Para. 5-a-13] The city engineer approved the final construction on the Elm Street Project, and the city paid the retained percentage (Transactions 9 and 11) to the contractor Required: Record this transaction in both the Street Improvement Fund and governmental activities journals. Total construction costs for the Elm Street Project should be capitalized in the Infrastructure account in governmental activities. 14. Verify the accuracy of all your preceding entries in the Street Improvement Fund and governmental activities general journals, then click (Post entries of each entity to post the entries to the respective general ledgers. For the Street Improvement Fund only, prepare year-end closing entries for 2020 and post them to the fund's general ledger, Fund Balance-Restricted. (Note: You must click on the box for Closing Entry to checkmark it; "Closing Entry" checkbox will appear next to the [Add credit field for the account being closed. Be sure the checkmark is present for each account being closed.) Click [Post entries to post the closing entry. Under GASB standards encumbrances and encumbrances outstanding are not reported in any financial statements. Consequently, there is no need to close these accounts since the Spruce Street Project is still underway at year-end. Closing entries will be made in the governmental activities general journal in Chapter 9 of this cumulative problem. Ignore those entries for now