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ANSWER JUST PART B AND C During the current year, the City of Plattsburgh recorded the following transactions related to its property taxes: 1. Levied
ANSWER JUST PART B AND C
During the current year, the City of Plattsburgh recorded the following transactions related to its property taxes: 1. Levied property taxes of $6,600,000, of which 2 percent is estimated to be uncollectible. 3Cllcted So in dei un $ 00sisad penaties on the delinquent taxes These amounts had Collected $53,000 in delinquent taxes and $4,800 in interest and penalties on the delinquent taxes. These amounts hacd been recorded as Deferred Inflows of Resources in the prior year. 4. Imposed penalties and interest in the amount of $7,500 but only expects to collect $6,200 of that amount. 5. Reclassified uncollected taxes and interest and penalties as delinquent. These amounts are not expected to be collected within the first 60 days of the following fiscal year Required a. Prepare journal entries to record the property tax transactions in the General Fund. b. Prepare journal entries to record the property tax transactions in the governmental activities journal. c. Determine the amount of property tax revenue recognized during the current year in the General Fund and at the government-wide level Credit Fund General Journal Debit Transaction 1. Levied property taxes of $6,600,000, of which 2 percent is estimated to be uncollectible General Fund 6,600,000 Taxes Receivable-Current Allowance for Uncollectible Current Taxes Revenues 132,000 6,468,000 2. Collected current property taxes amounting to $5,975,000 General Fund 5,975,0000 Cash 5,975,000 Taxes Receivable-Current 3. Collected $53,000 in delinquent taxes and $4,800 in interest and penalties on the delinquent taxes. These amounts had been recorded as Deferred Inflows of Resources in the prior year General Fund Record the collection of $53,000 in delinquent taxes and $4,800 in interest and penalties on the delinquent taxes Cash Taxes ReceivableCurrent Interest and Penalties Receivable on Taxes 57,800 53,000 4,800 3b Record the reversal of deferred inflows of resources Taxes Receivable-Delinquent Revenues 57,800 57,800 4. Imposed penalties and interest in the amount of $7,500 but only expects to collect $6,200 of that amount. General Fund 7,500 Interest and Penalties Receivable on Taxes Allowance for Uncollectible Interest and Penalties Revenues 1,300 O 6,200 5. Reclassified uncollected taxes and interest and penalties as delinquent. These amounts are not expected to be collected within the first 60 days of the following fiscal year General Fund Record the reclassification of uncollected taxes Taxes Receivable-Delinquent Allowance for Uncollectible Current Taxes Taxes Receivable-Current Allowance for Uncollectible Delinquent Taxes 5a 625,000 132,000 625,000 132,000 5b Record the entry to reclassify the net receivable, interest and penalties. as deferred inflow of resources. General Revenues Property taxesStep by Step Solution
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