Benton County includes an independent school district and two individually chartered towns within the County. Benton County$$s Treasurer assesses and collects property taxes on behalf of itself, the school district, and the towns. The County uses a tax collection custodial fund to record tax collections for the school district and towns. During the year ended December $31,2024,$ the following transactions took place:

The County levied taxes as follows:

Benton County General Fund $$25,000,000$

School District $12,500,000$

Towns $3,750,000$

Total $$41,250,000$

The property taxes levied in part $($a$)$ were collected.

The amounts collected were paid to the school district and towns.

Required:

Prepare journal entries for Benton County and the Benton County Independent School District$$identify the funds.

Will tax collection funds typically report a nonzero net position? Explain.

Are there other custodial funds that typically report a positive net position? Give an example.