EX. 3-3 A county engages in basic transactions. Kilbourne County engaged in the following transactions in summary form during its fiscal year. All amounts are in millions. You need not be concerned with the category of funds balances to which reserves for encumbrances are classified on the fund balance sheet. 1. Its commissioners approved a budget for the current fiscal year. It included total revenues of $860 and total appropriations of $850. 2. It ordered office supplies for $20. 3. It incurred the following costs, paying in cash: Salaries $610 Repairs $ 40 Rent $ 25 Utilities $ 41 Other operating costs $119 4. It ordered equipment costing $9. 5. It received the equipment and was billed for $10, rather than $9 as anticipated. 6. It received the previously ordered supplies and was billed for the amount originally estimated. The county reports the receipt of supplies as expenditures; it does not maintain an inventory account for supplies. 7. It earned and collected revenues of $865. a. Prepare journal entries as appropriate. b. Prepare closing entries as appropriate. c. What would have been the difference in the year-end financial statements, if any, had the county not made the budgetary entries