Choosing between funds and reporting capital contributions and assets New City's incorporation was just approved by a vote of the citizenry at the November 2020 election. New City will start operations beginning January 1, 2021. The services it plans to provide include a mayor's office, a town clerk's office (for tax assessment and collection), police services, disposal of rubbish, water and sewer services, street maintenance, parks, and recreation facilities. The following transactions and events are expected in 2021: 1. On January 1, New City receives a "start-up" grant from Kelly County of $1.5 million cash. All grant eligibility requirements are met. 2. On January 10, New City's governing body buys a building for $450,000 to use as its City Hall. 3. New City issues $50 million in water and sewer treatment revenue bonds to buy Kelly County #2 water and sewer treatment plant, located within New City limits. The bonds were sold at face value (no premium or discount). New City pays $50 million for the water and sewer treatment plant. 4. On January 15, New City pays salaries: (a) $17,000 to employees of the water and sewer plant and (b) $15,000 to mayor's office and town clerk's office employees. a) Ignoring budgetary entries, prepare the journal entries that would need to be made for the General Fund and the Enterprise Fund to get New City started: b) Identify whether the entries would be made in the General Fund or the Enterprise Fund. Entry to record receipt of grant money. Entry to record purchase of the City Hall Building Entry to record issuance of bonds Entry to record purchase of the water and sewer treatment plant Entry to record payment of salaries to water and sewer plant employees Entry to record payment of salaries to office employees