Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Encumbrances and approval for payment The sheriff's office in the village of Hutchison had a General Fund appropriation of $76,500 for public safety supplies. On
Encumbrances and approval for payment The sheriff's office in the village of Hutchison had a General Fund appropriation of $76,500 for public safety supplies. On April 25 the sheriff ordered supplies with a quoted price of $72,000. On May 15 one half of the supplies arrived, along with an invoice for $36,000. On June 6, the other half of the supplies arrived, accompanied by an invoice for $37,800. Both invoices were approved for payment. V v V Prepare journal entries to record the encumbrance and acceptance of the supplies. Enter 0 or leave the field blank if no entry is required. Account Debit Credit Encumbrances - public safety supplies 72,000 0 Budgetary fund balance reserved for encumbrances 0 72,000 To record purchase order issued on April 25. Budgetary fund balance reserved for encumbrances 36,000 0 Encumbrances - public safety supplies 0 36,000 To record supplies received on May 15, reduction of encumbrance. Expenditures - public safety supplies 36,000 Vouchers payable 0 36,000 To record invoice received on May 15. Budgetary fund balance reserved for encumbrances 36,000 Encumbrances - public safety supplies 36,000 To record supplies received on June 6, reduction of encumbrance. Expenditures - public safety supplies 37,800 Vouchers payable 0 37,800 To record invoice received on June 6. 0 V o 0 What is the balance available for spending in the public safety supplies appropriation after acceptance of the second delivery of supplies? $ 3,000 X
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started