ACCOUNTING FOR GOVERNMENTAL AND NONPROFIT ORGANIZATIONS HANDOUT PROBLEM 1 Score Name Section Problem (10 points). Listed below are the typical funds that might be used by a state or local government to maintain appropriate accounting for the various transactions that could occur. TYPICAL FUNDS USED BY STATE AND LOCAL GOVERNMENTS GF SRF CPF DSF ISF EF PF General Fund Special Revenue Fund Capital Projects Fund Debt Service Fund Internal Service Fund Enterprise Fund Permanent Fund O e ACCA351 Acctg for Govt 8 Handout Problem 01.pdf g/pluginfile.php/368849/modresource/content/S/Handout Problem 01.pdf arv :. 21 2 Bonds were issued by the fund used to account for providing water to the residents of a city 1. 2. The fund that finances the city's day to day operating activities lent $50,000 to the fund that will provide city agencies with supplies that are billed to these agencies on a user charge basis. 3. The city charter requires all hotel taxes to be accounted for in a separate fund that maintains the downtown business district. Hotel tax collections for the period were $500,000. 4. The state lottery, which operates like a business entity, sent a check for its net revenues (after paying lottery prizes) to the state. The state will add these revenues to general state revenues as part of the state's program for financing elementary and secondary education. Interest and principal on the city's general obligation debt were paid, using resources accumulated specifically for that purpose. 5. 6. The city sold general obligation bonds to buy land as part of a city hall expansion program. The city's central office supplies billed each city department for supplies requested. 7. A wealthy taxpayer donated securities to a village, requiring that the donation be kept intact in perpetuity and that income from the investments be used only to support the activities of the village library 8. 9. The state operated toll road collected tolls of SI million. 10. Expenditures for the day to day operations of the Police Department were recorded