3-2 TheCity of Oxbow General Fundhas the follwing Net Resources at year end

A. 150,000 unexpected proceeds of a state grant required by law to be used for health education

B. 15,500 of prepaid insurance

C. 600,000 rainy day fund approved by city council for use under specidied circumstances

D. 125,000 provided for contractual obligations for capital projects

E. 16,000 unexpected proceeds of a tax required by law to be usedfor emergency 911 services

F. 1,622,000 total find balance

Required: Prepare a Fund Balance section of the Balance Sheet

3-6 A: Distinguish between (1) exchange and (2) nonechange transations

B: Identify and describe the four eligibility requirements for a government to recognize revenue in a nonechange transaction

C: GASB classifies nonexchange transactions into four categories. List the four categories, give an example of each, and outline asset and revenue recognition criteria for each

3-7 A: Outline revenue recognition criteria under modified accrural accounting. Include specific requirements for property tax revenue

B: Outline expenditure recognition criteria under modified accrural accounting

3-12 Following are transactions and events of the Gneral Fund of the City of Springfield for the fiscal year ended Decemeber 31, 2015

1. Estimated Revenues (legally budgeted)

Property Taxes 5,700,000

Sales Taxes 4,300,000

Licenses and Permits 1,500,000

Miscellaneous 500,000

2. Appropriations

General Governement 5,400,000

Culture and Recreation 4,500,000

Health and Welfare 1,000,000

3. Revenues Received (Cash)

Property Taxes 5,285,000

Sales Taxes 4,500,000

Licenes and Permits 1,700,000

Miscellaneous 800,000

4. Encumbrances issued (includes salaries and other recurring items)

General Government 5,300,000

Culture and Recreation 4,650,000

Health and Welfare 905,000

5. Goods and Services received (paid in Cash)

Estimated Actual

General Government 5,300,000 5,296,000

Culture and Recreation 4,650,000 4,610,000

Health and Welfare 905,000 891,550

6. Budget Revision

General Government 140,000

Culture and Welfare 110,000

7. Fund balance on January 1, 2015 was 753,000. There were no outstanding encumbrances at that date

A: Record the transaction using appropriate journal entries

B: Prepare a budgetary comparison schedule for the General Fund