A. Accounting Entries January 2 - The budget included in Exhibit A is journalized and posted to the appropriate ledgers. January 2 - Real Property Tax bills are prepared and mailed amounting to $50,000. January 5 - Sales Tax Revenues ($10,000) for the 4th quarter of last year is received. January 10 - A State aid youth claim is prepared and submitted for $1,000. Moneys are anticipated to be received during the town's fiscal year. January 15 - Payroll \#1 in Exhibit B is paid. January 20 - Received prior year State aid claim accrued minus $500 disallowance. January 29 - Payroll \#2 in Exhibit B is paid. January 30 - Abstract \#1 in Exhibit C is paid. January 31 - Tax Collector remits tax moneys in the amount of $40,000. February 1 - The Police Department issues purchase order \#1 for equipment (3120.2) in the amount of $13,000. February 2 - Receives State aid for youth program in the amount of $1,100($100 adjustment for mathematical mistake). February 10 - Tax Collector submits balance of taxes ($10,000) in addition to $200 in interest. February 16 - Payroll \#3 in Exhibit B is paid. February 17 - The Police Department issues purchase order \#2 for equipment in the amount of $9,000. (Hint: If there is insufficient appropriations, transfer from 3120.4.) February 22 - Paid Abstract \#2 Exhibit C. 6 Practice Set February 28 - Record Payroll \#4 Exhibit B. Payroll should charge 80 percent to month of February, 20 percent should be attributed to March. B. Adjusting Entries 1. Park equipment in the amount of $4,000. (7110.2) was received but never recorded. 2. A State aid claim has just been submitted $5,000 (youth program). C. Prepare Closing Entries D. Prepare Year-End Financial Statements (Form of Statements in Packet)