Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume that the City of Coyote has produced its financial statements for December 3 1 , 2 0 2 0 , and the year then

Assume that the City of Coyote has produced its financial statements for December 31,2020, and the year then ended. The city's general fund was only used to monitor education and parks. Its capital projects funds worked in connection with each of these functions at times during the current year. The city also maintained an enterprise fund to account for its art museum. The government-wide financial statements provide the following figures: - Education reports net expenses of \(\$ 615,000\).- Parks reports net expenses of \(\$ 102,000\).- Art museum reports net revenues of \(\$ 51,000\).- General government revenues for the year were \(\$ 894,000\) with an overall increase in the city's net position of \(\$ 228,000\). The fund financial statements provide the following for the entire year: - The general fund reports a \(\$ 44,000\) increase in its fund balance. - The capital projects fund reports a \(\$ 64,500\) increase in its fund balance. - The enterprise fund reports a \(\$ 62,250\) increase in its net position. The city asks the CPA firm of Abernethy and Chapman to examine several transactions that occurred during 2020 and indicate how t correct any erroneous reporting. Officials also want to know the effect of each error. View each of the following situations as independent. On December 30,2020, the City of Coyote borrows \(\$ 34,250\) for the general fund on a 60-day note. In that fund, the city records Casi and Other Financing Sources. In the general information, this city reports a \(\$ 44,000\) overall increase in the fund balance of the genere fund. What was the correct change in the fund balance of the general fund for \(2020?\)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Study Guide With Working Papers, Chapters 1-9 For Heintz/Parrys College Accounting

Authors: James A. Heintz, Robert W. Parry

21st Edition

1285059379, 9781285059372

More Books

Students also viewed these Accounting questions