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E5-18 General Capital Assets [LO 5-2,5.4] Prepare journal entries for each of the following transactions entered into by the City of Loveland. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) 3. A car was leased for the mayor's use. The first payment was $1,000 and the present value of the remaining lease payments was $29,000. (Note: The initial cash payment was made by the General Fund.) 3a General Fund Expenditures-General Government 30,000 Cash 1.000 Other Financing Sources Lease Agreements 29,000 Governmental Activities Record the lease of car to the Mayor. Lease Obligations Payable Cash 1,000 1.000 4. During the current year, a capital projects fund completed a new public safety building that was started in the prior year. The total cost of the project was $9.720,000. Financing for the project came from a $9,000,000 bond issue that was sold in the prior year and from a $720.000 federal capital grant received in the current year. Current-year expenditures for the project totaled S1,178,000. The full cost is attributed to the building because it was constructed on city-owned property Capital Project Fund Record the funds received for the public safety building. Cash 720,000 Revenues 720,000 Record the current year's expenditure for the public safety building Construction Expenditures Cash 1,176,000 1,176,000 Governmental Activities Record the funds received for the public safety building. Cash Program Revenue-Public Safety-Capital Grants and Contributions 720,000 720,000 4d Record the current year's expenditure for the public safety building Construction Work in Progress Cash 1,176,000 1,178,000 Record the transfer of the work in progress to the capital asset Buildings Construction Work in Progress 9,720,000 9,720,000 5. The city records a half year of straight-line depreciation on capital assets placed in service during the year. The building in item 4 above has an estimated 30-year life and no salvage value. General Fund No Journal Entry Required Governmental Activities 324.000 Depreciation ExpensesBuildings Accumulated Depreciation-Buildings 324,000 $ Rus to enhanical develonment the city determined that the cennanenit of some of the terr einment Huneral Smar