26-30

The city council of Rapid City approved the following budgets for fiscal 2017:

PREPARE THE JOURNAL ENTRIES TO THE APPROPRIATE FUNDS (General, Capital, Debt Service)

26. The city billed 80% of the budgeted amount of licensing fees and fines (through violation notices). There is no uncollectible allowance account for licensing fees and fines receivable.

27. The city received and vouchered invoices totaling 85% of the amount of $879,000. The amount encumbrances related to these invoices total 90% of the amount of $879,000 related to Supplies Other Programs.

28. The city canceled encumbrances totaling 3.5% of the amount of $879,000 related to Supplies Other Programs.

29. The city paid the vouchered construction contracts (Hillside Construction completed 70% of the work on the park and submitted an invoice for $3,400,000. Palmer Engineering also completed 80% of their work and submitted an invoice for $540,000. The company vouchereed these invoices.), less 5% retainage.

30. The city ordered park equipment in the amount of $700,000 for the new city park.

Initial Data: Rapid City General Fund Postclosing Trial Balance December 31, 2016 Debits Credits Additional Information: 1. Encumbrances lapse if they are outstanding at the close of a fiscal year; however, the city honors all Cash Property Takes Receivable Deliquent Allowance for Uncollectible Delinguent Taxes Interest and Penalties Receivable Allow ance for Uncollectible Interest & Penalties Supplies Inventory Vouchers Payable Due to Federalovenment Fund Balance-Nonspendable-Supplies Inventory Fund Balance-Assigned Fund Balance-Unassigned $295,600 57,000 outstandingubrances, reported at the end of 2016 are reported as FundBalance- Assigned. $ 3,500 2. The city uses the purchases method to record the acquisition of supplies. The year-end supplies invento 4,200 is considered to be material and is reported in the city's financial statements. 200 7,700 36,400 2,800 7,700 3,300 310,600 $ 3645003907 Rapid City Capital Projects Fund Postclosing Trial Balance December 31, 2016 Additional Information: Debits Credits 1. Rapid City sold bonds in the amount of $5,400,000 in December 2016 to finance a new city park. Cash Due from State Government Fund Balance Restricted The bonds are payable semiannually (June 1 and December 1) over 20 years at 4% per year 2. In 2016, the State approved a grant for $250,000 to help fund the city park. The grant is collectible within 250,000 60 days after year end. The Federal government also approved a grant for $550,000, receivable June 1, 2016 3. Rapid City uses encumbrance accounting in the Capital Projects Fund. 4. Construction of the park is expected to be completed by the end of 2017. Any amounts remaining in the Capital Projects Fund must be transferred to the Debt Service Fund on completion of the park. Rapid City Debt Service Fund Postclosing Trial Balance December 31, 2016 Additional Information: 1. In December, $140,000 was transferred to the Debt Service Fund from the General Fund to pay the first Debits $140,000 Credits Cash Fund Balance Restricted principal payment on the bonds issued in the Capital Projects Fund and provide a small cash balance int debt service fund. $140,000 $140,000 $140,000 2. A special assessment tax will be levied over the next 10 fiscal years(2017-2026) to pay for the bond issue