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For each of the following transactions, indicate which tu report the transaction and prepare the necessary journal entry. The city collects $1 million of taxes
For each of the following transactions, indicate which tu report the transaction and prepare the necessary journal entry. The city collects $1 million of taxes for an independent fire district located within the city. Journal entry: a. b. The city spends $1.2 million on street maintenance using the proceds of a city gas tax dedicated for road and highway maintenance and improvements. Journal entry: C. _The city receives a bequest of $1.5 million. The donor's will, requires that the principal amount be invested in perpetuity and that the earnings on the investment be used to maintain a city park to be renamed for the donor. Journal entry: The city collects water and sewer fees of $4.2 million, d. Journal entry: The city pays $4 million to a contractor for work on a new bridge, Journal entry: f. The city receives $1.3 million to invest on behalf of the county. Journal entry g. The city pays its police officers wages of $325,000. Journal entry: h. The city pays $2.2 million in bond interest on its general obligation debt. Journal entry
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