Gold City was organized January 1, 2006 and adopted the following accountry its General Fund: . All transactions of $1,000 or more with non-City entities, which 000 or more with non-City entities, which will not be paid within 30 days, must be encumbered. All transactions with outside (non-City) entities must be processed through wie voucher system. E go Budgets will be entered into the accounts. The City's fiscal year will be the calendar year. The City will take maximum advantage of discounts offered; otherwise, the city will pay its bills on the dates due.. Required: Prepare Gold City's General Fund (GF) (only) general ledger control account journa chures, in professional form, for the indenendent events (unless otherwise noted) shown on each of the following dates. Note carefully the date when money actually moves. Use account titles used in the lecture Notes. Do not abbreviate. Reference each journal entry to the corresponding typical journal entry listed in the Lecture Notes for the General Fund topic (e.g. 1/1/11 transaction below deals with recording the budget" and therefore corresponds to journal entry "a." in the Lecture Notes). 1/1/11 City Council approved a revenue budget of $75,000 and an appropriation budget of $45,000 for 2011. It planned that a Capital Projects Fund would be started and completed during the year, and estimated that $1,000 would be returned to the GF from this closed project. It planned that $10,000 would be used to establish a new Internal Service Fund. Purchased supplies from a local vendor for $500 cash. (2) apalenie regen 2/1/11 2/15/11 GF borrowed $60,000 at 7% interest, short-term, from the Enterprise Fund. 3/1/11 Issued purchase order to Ford Motor Company for police car ($6,000) and fire engine ($7,000); estimated delivery date is 11/1/11 3/15/11 Collected traffic fines of $125. 3/20/11 GF received a bill, authorized payment, and paid attorney fees of $600, $150 of which is the responsibility of the Capital Projects Fund. GF billed the Capital Projects Fund for its $150 share. (3) 3/30/11 GF received $150 check from Capital Projects Fund for 3/20/11 billing. Page 320-57 SLG lanchers page Soo Vouches 50 nes payable 500 500 ure Notes Taple SLG (continued 4/20/11 Approved payment of $2,000 to Debt Service Fund from general tax revenue to assist in repaying band indebitatives Sent check for $2,000 to Dest Service Fund (approved on 4/1/11). Recorded and paid salaries of $3.500 grare withholding taxes and employer's contribution la social Securty). 2) 4/30/11 5/1/11 Borrowed $10,000 on a short-term tax antipation note from City National ank (a non-City entity) at 12% Interest. 5/10/11 Receved a billing of SL 500 for the city's real Service Fund for computer Services rendered during April 2011 5/20/11 5/29/11 Approved 5/10/11 billing from internal Service und for payment. Sent $1,500 chark which had been aparper for payment an 20/11 to Sernal Servlot Fund 5/30/11 5/15/11 Sold a truck for $800 wrich GF nau purchased new on G/L/c6 for $8,000. Made payment or $3.200 torse af rachinery that had been gured under ar. circoating Inc. 21 6/90/11 Rended the ability, and paid alarles of $2,750 For the current period (vano withholding and crevet's chance of social acuity). (2) ; the Controlleresimated 7/L/11 Mailed proper tax bills for 30 DX! to Loparty aw that 2..S: would he Uncollectible. 8/1/11 Received approval to establish a new tund, und er 1.000 check for Unat pure to the C ity Parking Tund, an Enterprise wird 8/15/11 Received 53,500 10 lat alapital Projects Fund, started in 2010, which had completed couched o r addition to the City Minicipal Sundin 9/1/11 Received s20.000 cash at payments ul prcerity taxes. y/11/21 9/30/11 Repalc sort-term loan hom toerise und with interc. (50 2/15/1L). Repaid 5/1/11 short-term bexrowing from City Ndional Bank with interest. (2) Bought a computer (Gencral fixed asset) for GPuse for $4,90n; moed check to Vendor the same day (2) 10/15/11 Page 320 58 SLG 4 Practice Exam #3 and Accounting for State and Local Governments (SLGS) SLGS prepare SLG prepare Government-wide Statements SLO by Fund Fuad Statements Governmental Funds Governmental Fund General Pund Statements Sper al Revenue Funds Cap Projects Funds Debt Service Funds Perawat (Trust) Funds Proprietary Funds + Enterprise Funds Proprietary Fund Statements Internal Service Funds Lecture Notes: Topic SLG (continued): 11/1/11 Received police car, ordered 3/1/11, from Ford Motor Company. Invoice was $5,900, payable by 11/15/11. Invoice was approved for paynent. (2) 11/1/11. 11/15/11 Mailed 55,900 check to Ford Motor Company fur police car received 11/1/11 12/29/11 City Council directed write off of $50 of current property taxes as uncollectible 12/30/11 12/31/11 Police car received 11/1/11 was wrecked in a high speed chase, and sold to a local scrap dealer for $600 cash. Recorded $1,100 of supplies on hund at year-end, using the purchase method: As of 12/30/11, 50 supplies had been recorded as being on hand. Supplies costing more than $1,100 had been purchased during the year. 12/31/11 Made closing entries. Do not use any data from above transactions, except for 1/1/11 data, to close accounts. Assume pre-closing, year-end account balances were: Encumbrances = $7,500 Dr.; Expenditures - 516,000 Dr.; Fund balance reserved for encumbrances = $7,500 Cr.: Other financing uses - operating transfers out = 54,000 Dr.: Residual equity transfers in = $2,000 Cr.; Revenue $56,000 Cr.) (3) 1/15/12 Received fire engine ordered trom Ford Motor Company on 3/1/11. Invoice was $7,100, payable by 1/30/12. Invoice was approved for payment. Mailed check to Ford Motor Company for fire engine received 1/15/12. 1/30/12 1/31/11 Made closing entry related to the fire engine. 5 Page 320-59 SLG Gold City was organized January 1, 2006 and adopted the following accountry its General Fund: . All transactions of $1,000 or more with non-City entities, which 000 or more with non-City entities, which will not be paid within 30 days, must be encumbered. All transactions with outside (non-City) entities must be processed through wie voucher system. E go Budgets will be entered into the accounts. The City's fiscal year will be the calendar year. The City will take maximum advantage of discounts offered; otherwise, the city will pay its bills on the dates due.. Required: Prepare Gold City's General Fund (GF) (only) general ledger control account journa chures, in professional form, for the indenendent events (unless otherwise noted) shown on each of the following dates. Note carefully the date when money actually moves. Use account titles used in the lecture Notes. Do not abbreviate. Reference each journal entry to the corresponding typical journal entry listed in the Lecture Notes for the General Fund topic (e.g. 1/1/11 transaction below deals with recording the budget" and therefore corresponds to journal entry "a." in the Lecture Notes). 1/1/11 City Council approved a revenue budget of $75,000 and an appropriation budget of $45,000 for 2011. It planned that a Capital Projects Fund would be started and completed during the year, and estimated that $1,000 would be returned to the GF from this closed project. It planned that $10,000 would be used to establish a new Internal Service Fund. Purchased supplies from a local vendor for $500 cash. (2) apalenie regen 2/1/11 2/15/11 GF borrowed $60,000 at 7% interest, short-term, from the Enterprise Fund. 3/1/11 Issued purchase order to Ford Motor Company for police car ($6,000) and fire engine ($7,000); estimated delivery date is 11/1/11 3/15/11 Collected traffic fines of $125. 3/20/11 GF received a bill, authorized payment, and paid attorney fees of $600, $150 of which is the responsibility of the Capital Projects Fund. GF billed the Capital Projects Fund for its $150 share. (3) 3/30/11 GF received $150 check from Capital Projects Fund for 3/20/11 billing. Page 320-57 SLG lanchers page Soo Vouches 50 nes payable 500 500 ure Notes Taple SLG (continued 4/20/11 Approved payment of $2,000 to Debt Service Fund from general tax revenue to assist in repaying band indebitatives Sent check for $2,000 to Dest Service Fund (approved on 4/1/11). Recorded and paid salaries of $3.500 grare withholding taxes and employer's contribution la social Securty). 2) 4/30/11 5/1/11 Borrowed $10,000 on a short-term tax antipation note from City National ank (a non-City entity) at 12% Interest. 5/10/11 Receved a billing of SL 500 for the city's real Service Fund for computer Services rendered during April 2011 5/20/11 5/29/11 Approved 5/10/11 billing from internal Service und for payment. Sent $1,500 chark which had been aparper for payment an 20/11 to Sernal Servlot Fund 5/30/11 5/15/11 Sold a truck for $800 wrich GF nau purchased new on G/L/c6 for $8,000. Made payment or $3.200 torse af rachinery that had been gured under ar. circoating Inc. 21 6/90/11 Rended the ability, and paid alarles of $2,750 For the current period (vano withholding and crevet's chance of social acuity). (2) ; the Controlleresimated 7/L/11 Mailed proper tax bills for 30 DX! to Loparty aw that 2..S: would he Uncollectible. 8/1/11 Received approval to establish a new tund, und er 1.000 check for Unat pure to the C ity Parking Tund, an Enterprise wird 8/15/11 Received 53,500 10 lat alapital Projects Fund, started in 2010, which had completed couched o r addition to the City Minicipal Sundin 9/1/11 Received s20.000 cash at payments ul prcerity taxes. y/11/21 9/30/11 Repalc sort-term loan hom toerise und with interc. (50 2/15/1L). Repaid 5/1/11 short-term bexrowing from City Ndional Bank with interest. (2) Bought a computer (Gencral fixed asset) for GPuse for $4,90n; moed check to Vendor the same day (2) 10/15/11 Page 320 58 SLG 4 Practice Exam #3 and Accounting for State and Local Governments (SLGS) SLGS prepare SLG prepare Government-wide Statements SLO by Fund Fuad Statements Governmental Funds Governmental Fund General Pund Statements Sper al Revenue Funds Cap Projects Funds Debt Service Funds Perawat (Trust) Funds Proprietary Funds + Enterprise Funds Proprietary Fund Statements Internal Service Funds Lecture Notes: Topic SLG (continued): 11/1/11 Received police car, ordered 3/1/11, from Ford Motor Company. Invoice was $5,900, payable by 11/15/11. Invoice was approved for paynent. (2) 11/1/11. 11/15/11 Mailed 55,900 check to Ford Motor Company fur police car received 11/1/11 12/29/11 City Council directed write off of $50 of current property taxes as uncollectible 12/30/11 12/31/11 Police car received 11/1/11 was wrecked in a high speed chase, and sold to a local scrap dealer for $600 cash. Recorded $1,100 of supplies on hund at year-end, using the purchase method: As of 12/30/11, 50 supplies had been recorded as being on hand. Supplies costing more than $1,100 had been purchased during the year. 12/31/11 Made closing entries. Do not use any data from above transactions, except for 1/1/11 data, to close accounts. Assume pre-closing, year-end account balances were: Encumbrances = $7,500 Dr.; Expenditures - 516,000 Dr.; Fund balance reserved for encumbrances = $7,500 Cr.: Other financing uses - operating transfers out = 54,000 Dr.: Residual equity transfers in = $2,000 Cr.; Revenue $56,000 Cr.) (3) 1/15/12 Received fire engine ordered trom Ford Motor Company on 3/1/11. Invoice was $7,100, payable by 1/30/12. Invoice was approved for payment. Mailed check to Ford Motor Company for fire engine received 1/15/12. 1/30/12 1/31/11 Made closing entry related to the fire engine. 5 Page 320-59 SLG