For the Governmental Activities section of the government-wide records write any necessary journal entries for the following listed transactions. Write no entry if no entry is needed.

1. Day City, covered in this problem, issues a $12,000,000 bond at face value. The cash is to be used to remodel City Hall.

2. Previously undesignated cash of $200,000 from the General Fund is set aside to begin paying the bonds issued in item (1).

3. A state cash grant of $300,000 is received that must be spent in the future homeless outreach. The grant proceeds are held until outreach workers are hired and paid.

4. Cash of $400,000 is transferred from the General Fund for the City Hall remondeling construction project.

5. Investments valued at $700,000 are received as a donation from a grateful citizen. Income from the investments is to be used for children's programs.

6. Salaries of $25,000 are paid to homeless outreach workers according to the requirements of the grant received in item 3.

7. The remodeling project is completed and a check is sent to the primary contractor for $12,400,000. No commitment had previously been recorded for the contract.

8. Nothing has yet been recorded this year regarding scheduled payments on the general obligation bonds issued in item (1). A cash payment of $30,000 is made that consists of $5,000 of interest and $25,000 of principal. The interest had not previously been accrued.