6-C. Part 1. Internal Service Fund Transactions The Stores and Service Fund of the City of Monroe had the following account balances as of January 1, 2020: Cash Due from Other Funds Materials and Supplies Land Buildings Accumulated Depreciation Buildings Equipment Accumulated Depreciation Equipment Accounts Payable Advance from Water Utility Fund Net Position Totals Debits Credits $ 32,000 27,000 27,500 18,000 80,000 $ 28,000 46,000 25,000 19,000 30,000 128,500 $230,500 $230,500 Required: a. Record the following transactions in the general journal of the City of Monroe Stores and Service Fund. (1) A budget was prepared for FY 2020. It was estimated that the price charged other departments for supplies should be 1.25% of cost to achieve the desired breakeven for the year. (2) The amount due from other funds as of January 1, 2020, was collected in full. (3) During the year, supplies were ordered and received in the amount of $312,000. This amount was posted to accounts payable. (4) $15,000 of the advance from the Water Utility Fund, originally provided for construction, was repaid. No interest is charged. (5) During the year, supplies costing $250,560 were issued to the General Fund, and supplies costing $46,400 were issued to the Water Utility Fund. These funds were charged based on the previously determined markup ($ 313,200 to General Fund and 58,000 to the Water Utility Fund). (6) Operating expenses, exclusive of depreciation, were recorded in accounts payable as follows: Purchasing, $16,200; Warehousing, $ 16,900; Delivery, $17,500; and Administrative, $8,000. (7) Cash was received from the General Fund in the amount of $310,000 and from the Water Utility Fund in the amount of $50,000. (8) Accounts payable were paid in the amount of $367,500. (9) Depreciation in the amount of $8,400 was recorded for buildings and $6,200 for equipment. b. Post the entries to the Stores and Service Fund ledger (t-accounts). c. Prepare and post an entry closing all nominal accounts to Net position. Compute the balance in the Net Position accounts, assuming there are no Restricted Net Position. Internal Service Entries Service T Accounts Record the transactions in the general journal of the City of Monroe Stores and Service Fund. (If no entry transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list :X: 1 11 > Record the price charged other departments for supplies should be 1.25% of cost to achieve the desired breakeven for the year. 25% of 2 Record the amount due from other funds as of January 1, 2020, was collected in full. 3 Record the during the year, supplies were ordered and received in the amount of $312,000. This amount was posted to accounts payable. Credit 4 Record the $15,000 of the advance from the Water Utility Fund, originally provided for construction, was repaid. No interest is charged. - -- - - -: . ... - ... . - == -- : . . = Note: journal entry has been entered 5 Record the internal sale of the supplies throughout the year in the amount of $250,560 to the General Fund, and $46,400 issued to the Water Utility Fund. 6 Record the entry to show the previously determined markup ($313,200 to General Fund and $58,000 to the Water Utility Fund). 7 Record the entry to show the operating expenses, exclusive of depreciation, were recorded in accounts payable as follows: Purchasing, $16,200; Warehousing, $16,900; Delivery, $17,500; and Administrative, $8,000. 8 Record the entry to show the cash was received from the General Fund in the amount of $310,000 and from the Water Utility Fund in the amount of $50,000. 25 Record the entry to show the cash was received from the General Fund in the amount of $310,000 and from the Water Utility Fund in the amount of $50,000. Record the entry to show the accounts payable were paid in the amount of $367,500. 10 Record the entry to show the depreciation in the amount of $8,400 was recorded for buildings and $6,200 for equipment. 11 Record the closing entries to determine the net position. Cash Materials and Supplies Beg.bal. Beg.bal. End.bal. 0 End.bal. 0 Due from Other Funds Land Beg.bal. Beg.bal. End.bal. End.bal. Buildings Accumulated Depreciation-Buildings Beg.bal. Beg.bal. End.bal. End.bal. Equipment Accumulated Depreciation Equipment Beg.bal. Beg.bal. Accounts Payable Advance from Water Utility Fund Beg.bal. Beg.bal. End.bal. End.bal. Net Position (beginning) Operating Revenues - Charges for Sales & Services Beg.bal. Beg.bal. End.bal. End.bal. Operating Expenses Cost of Sales & Services Operating Expenses Administration Beg.bal. Beg.bal. End.bal. End.bal. Operating Expenses Depreciation Net Position Beg.bal. Beg.bal. Preclosing