(A)The Village of Lake George's General Fund has the following net resources at December 31, 2018.

$9,600 of prepaid insurance

$ 25,000 of property taxes receivable - currently due and expected to be collected within 60 days

$325,000 rainy day fund approved by the township governing board

$82,500 of suppliesinventory

$33,000 government grant for city park maintenance

$10,000 contractual obligations for the purchase of park fixtures

$200,000 to be used to fund government operations in the future

Required:Prepare the fund balance section of the Balance Sheet. (6 points)

Copley, Chapter 3 #152

(B) The City of Presho had the following transactions related to the construction of a new courthouse.

(1)1/2/2017: 20 year 4% General Obligation Serial Bonds with a face value of $5,000,000 are issued at 102.Interest and principle payments are made on Jan. 1 and July 1 of each year.The premium was transferred into the Debt Service Fund.The General Fund will fully fund each payment as they become due.

(2)3/1/2017: Land is purchased for a new courthouse at a cost of $ 300,000.

(3)3/1/2017: A contract is signed for construction of the new courthouse in the amount of $ 4,300,000.

(4)6/15/2017: Cash ($ 225,000) sufficient to cover interest and principal payments for the year less the premium is transferred from the General Fund.

(5)7/1/2017: Interest ($100,000) and principal ($125,000) are paid on the courthouse fund serial bonds.

(6)12/1/2017: Receive an invoice for progress completed to date on the courthouse construction project in the amount of $3,700,000.

(7)12/27/2017: $97,500 is transferred from the General Fund for the 1/1/2017 interest payment due on the courthouse fund serial bonds. Interest is accrued as of 12/31/2017, following the exception permitted by GASB.

Required:Prepare the Statement of Revenues, Expenditures and Changes in Fund Balance for the Capital Projects and Debt Service Funds.Assume this is the first year for each fund (beginning fund balances are zero) and the City has no other long-term debt than that described above.Use separate columns for the two funds. (6 points)