1. Arada Sub city authorized a $ 3,600, 000 building project to be financed from three sources:

General fund transfer -------------------------------- $ 600,000

Federal Government Grant ------------------------- 2,300,000

Bond Issue --------------------------------------------- 700,000

The project is to be constructed in part by private contractors. The fiscal year ends on Sene 30. The following transactions occurred in the first year ended Sene 30, 2002(budgetary entry is not required):

A. The sum of $ 400,000 was borrowed in anticipation of bond issue from Commercial Bank of Ethiopia.

B. The accrual of assets from general fund, AA City government and federal was approved.

C. Total purchase orders and other commitment issued for supplies, materials, and items of minor equipment required for the part of the project to be performed by the towns employees amounted to $ 480,000.

D. A contract was let for certain work to be done by a private contractor (Sunshine Construction) in the amount of $ 1,600,000.

E. Special engineering and miscellaneous costs that had not been encumbered were paid in the amount of $ 80,000.

F. Progress bill for $ 720,000 was received from Sunshine Construction Company for part of the work done.

7. Payment in full was received from general fund, and federal government that had agreed to pay part of the cost of building.

8. The Commercial Bank of Ethiopia loan was repaid with interest amounting $ 2000. Interest is considered CPF expenditures.

9. Total disbursements for all costs encumbered in Transaction #3 amounted to $470,000.

10. The contractors initial claim was verified and paid, $648,000

11. The approved bonds were sold at par.

12. Payroll of $ 160,000 was paid.

13. An order estimated to cost $ 120,000 was placed for materials.

14. Invested idle cash of Br. 600,000 in temporary investments

REQUIRED: Prepare the entry to record the above transactions in capital project fund