EX. 2-4 A special district's balance sheet may not capture its economic resources and obligations. A special district accounts for its general fund (its only fund) on a modified accrual basis. In a particular period, it engaged in the following transactions: It issued $20 million in long-term bonds. It acquired several tracts of land at a total cost of $4 million, paying the entire amount in cash. It sold a portion of the land for $1 million, receiving cash for the entire amount. The tract sold had cost $0.8 million. It repaid $2 million of the bonds. It lost a lawsuit and was ordered to pay $9 million over three years. It made its first cash payment of $3 million. 1. Prepare journal entries to record the transactions in the general fund. 2. Based on your journal entries, prepare a balance sheet and a statement of revenues, expenditures, and other changes in fund balance