he General "The internal 6. The internal service fund serves severar dtp nter Fund, all within the category of "General Government. capital assets or long-term liabilities at the end of 2016 Prepare all worksheet journal entries necessary for fiscal year 2017 vert the governmental fund-basis amounts to the economic resources surement focus and accrual basis required for the governmental sections of the government-wide statements service fund was created at the end of 2016 and had no c Excel-Based Problems 8-13. The fund-basis financial statements of Jefferson County have been com pleted for the year 2017 and appear in the first tab of the Excel spreadsheet provided with this exercise. The following information is also available: a. Capital Assets Capital assets purchased in previous years through governmental- type funds totaled $7.890,000 (net of accumulated depreciation) as of January I Depreciation on capital assets used in governmental-type activities amounted to $316,000 No capital assets were sold or disposed of, and all purchases are prop- erly reflected in the fund-basis statements as capital expenditures. b. Long-Term Debt There was no outstanding long-term debt associated with governmental- type funds as of January l . .April 1, 6 percent bonds with a face value of $700,000 were issued at a premium. Bond payments are made on October 1 and April 1 of each year. Interest is based on an annual rate of 6 percent, and principal pay- ments are $22,000 each. The first payment (interest and principal) was made on October 1. Amortization of the bond premium for the current year is $1.800 c. Deferred Inflows of Resources . Deferred inflows (comprised solely of property taxes) are expected to be collected more than 60 days after year-end. The balance of deferred taxes at the end of 2016 was $19,500. Government-wide Statements, Capital Assets, Long-Term Debt 257 d. Transfers . Transfers were between governmental-type funds Internal Service Fund . The (motor pool) internal service fund's revenue is predominantly derived from departments classified as governmental-type activities. . There were no amounts due to the internal service fund from the General Fund. The outstanding balance of Due to Other Funds was with the enterprise fund and is not capital related. The enterprise fund provided a long-term advance to the internal ser fund (not capital related). . Required Use the Excel template provided to complete the following requirements; a separate tab is provided in Excel for each of these step 1. Prepare the journal entries necessary to convert the governmental fund financial statements to the accrual basis of accounting 2. Post the journal entries to the conversion worksheet provided. 3. Prepare a government-wide Statement of Activities and Statement of Net Position for the year 2017. All of the governmental fund revenue are "general revenue This is an involved problem, requiring many steps. Here are some hint a. Tab 1 is information to be used in the problem. You do not enter any thing here h. After you make the journal entries (Tab 2). post these to the work sheet to convert to the accrual basis. This worksheet is set up so that you enter debits as positive numbers and credits as negative. After you post your entries, look at the numbers below the total credit col- umn to see that debits equal credits. If not, you probably entered a credit as a positive number. ances for government-wide statements). principal is added to restricted fund balances. Make sure that total debits equal total credits in the last column (bal- d. When calculating Restricted Net Position, recall that permanent fund 8-14. The fund-basis financial statements of the City of Cottonwood have been ompleted for the year 2017 and appear in the first tab of the Excel spread In addition the eovernment-wide Statement Jefferson County Governmental Funds Balance Sheet as of 12-31-2017 Capital Projects Debt Service Permanent Governmental Total Fund Fund Fund Fund Funds Assets 4 Cash 5 Investments 6 Taxes Reveivable (net) 7 Due from other governments 8 Accrued interest receivable 9 Supplies Inventory 10 340,348 502,400 51,325 280,000 1,700 350 1.176.123 S 128,148 S 181,000 S 22,800 S 8,400 S 502,400 51,325 280,000 1,700 350 Total Assets S 179,823 S 461,000 S 22,800 S 512,500 S 12 Liabilities, Deferred Inflows and Fund Balance 13 Liabilities 14 Accounts Payable 15 Wages Payable 16 Contracts payable 2,000 850 4,100 6,100 850 25,000 31,950 25,000 Total Liabilities 2,850 25.000 4.100 18 Deferred Inflows 19 Deferred Inflows - Property Taxes 20 21 Fund Balances 22 Nonspendable 23 Inventories 24 Permanent fund principal 25 Restricted 26 Assigned 27 Unassigned 28 29 30 Total Liabilities, Deferred Inflows and Fund $ 179,823 S 461.000 350 500,000 436,000 32,000 153,223 1,121,573 350 500,000 436,000 800 153,223 154,373 22,800 8,400 Total Fund Equity 436,000 22,800 508,400 22,800 S 512.500 S 1,176,123 Jefferson County Statement of Revenues Expenditures and Changes in Fund Balance for the vear ended 12-31-2017 32 Capital General Projects Total Debt Service Permanent Governmental Fund Fund Fund Fund Funds 34 Revenues 35 Property Taxes 36 Intergovernmental revenues 37 Investment income: 38 39 0 Expenditures 41 Current: 42 General Government Operations 43 Library 44 Capital Outlay 45 Debt Service 46 Principal 47 Interest 48 262,075 280,000 21,100 563,175 S 262,075 S 280,000 21,100 Total Revenues 262,075 280,000 21,100 181,560 12,700 651,900 181,560 12,700 39,900 612,000 22,000 21,000 43,000 22,000 21,000 889,160 Total Expenditures 221,460 612,000 12,700 50 Excess (Deficiency) of Revenues Over Exp40,615 332,000) (43,000)8,400625,985) 52 Other financing sources (uses) 53 Proceeds of bonds 54 Premum on bonds 55 Transfers in 56 Transfers out 57 total other financing sources (uses) 700,000 22,800 700,000 22,800 65,800 65.8 722,800 65.800 43 (43,000) 700,000 65.800 59 Net Change in Fund Balance 60 Fund Balance, January 1 61 Fund Balance, December 31 22,800 (2,385) 156,758 368,000 68,000 396,815 724,758 1,121,573 8,400 500,000 S 154,373 S 436,000 S 22,800 S 508,400 S Jefferson County Jefferson County Statement of Net Position As of 12-31-2017 Statement of Revenues, Expenses, and Changes in fund Net Position For the year ended 12-31-2017 Enterprise Funds Internal Service Fund Enterprise Funds Internal Service Fund Revenues Assets Cash Due from other funds Supplies Inventory Charges for Services S 805,000 S 96,250 22,000 S 22,850 15,750 18,000 40.000 17,000 255,000 Total Revenues 805,000 96,250 42,100 total current assets Advance to Intermal Service fund Capital Assets (net) Operating Expenses Cost of services 703,000 83,690 21,600 Depreciation 60.000 6,900 Total Assets S 312,000 S 63,700 Total Operaing Expenses 763,000 90,590 Liabilities Accounts payable Wages payable Interest payable Due to Other funds 16,750 4,350 490 600 Operating Income (loss) 42,000 5.660 850 Nonoperating income (expenses) 15,750 33,350 Interest Expense Total nonoperating revenue total current liabilities 5,440 (5,000) (600) 200,000 Change in Net Position Net Position- Beginning of Year Net Position- End of Year 5,060 26,200 S 78,650 S 31,260 37,000 41,650 Bond payable Bank note payable Advance from Enterprise fund 10,000 17,000 32,440 Total Liabilities 233,350 Net position Net investment in capital assets Unrestricted Net Position 4.600 55,000 23,650 78,650 S 31,260 26,660 Note: Enter all amouts as positive numbers. The worksheet is formatted to add debits to assets and expenses and add credits to liabilities, equities and revenues Gov'tal Fund Balances for Gov't- wide Stmts BalancesAdjustments &Eliminations Internal Service Funds Worksheet Journal Entries to Convert Debits Credits Debits Credits to the Accrual basis of Accounting DEBITS debits $credits $ Cash Investment in c Taxes Receivable Due from other governments Accrued interest receivable 340,348 502.400 51,325 280,000 1,700 350 340,348 502,400 51,325 280,000 1,700 350 e bonds lies Inv Due from Other Funds Capital Assets - net of accumulated depreciation rows ditures (expenses) Current General Govt Libra 181,560 12,700 12,700 Other Expenditures (expenses Debt Service Principal Interest expense/e Capital Outla Depreciation 22,000 1.000 651,900 22,000 ure 651,900 Other Fin. Uses Transfers Out Total Debits 2,131,083 2.131,083 Jefferson Countv Statement of Activities for the vear ended 12-31-2017 Program Revenues Net (Expense) Revenue and Change in Net Posi Charges OperationalCapital for Grants and Grants and Governmental Business Expenses Services Contributions Contributions Activities Tvpe Activities Total Functions/Programs Governmental Activities: General Government Libr Depreciation Interest Total Governmental Activities Business Type Activities Water and Sewer Total Government General Revenues Taxes. Property Taxe Intergovernmental revenues Investment Income Total General Revenues Change in Net Position Net Position, Beginning Net Position, Ending Jefferson Countv Statement of Net Position as of 12-31-2017 Business- Type Governmental Activities Activities Total Assets Cash Taxes Receivable (Net) Interest Receivable Internal Balances Current Due from Other Governments Inventories Internal Balances Long-Term Capital Assets, Net of Accumulated Depreciation Total Assets Liabilities Accounts Payable Wages Payable Accrued Interest Payable Contract Payable Bank Note Payable Bonds Payable Premium on Bonds Sold Total Liabilities Net Position Net investment in capital assets Restricted Unrestricted Total Net Position he General "The internal 6. The internal service fund serves severar dtp nter Fund, all within the category of "General Government. capital assets or long-term liabilities at the end of 2016 Prepare all worksheet journal entries necessary for fiscal year 2017 vert the governmental fund-basis amounts to the economic resources surement focus and accrual basis required for the governmental sections of the government-wide statements service fund was created at the end of 2016 and had no c Excel-Based Problems 8-13. The fund-basis financial statements of Jefferson County have been com pleted for the year 2017 and appear in the first tab of the Excel spreadsheet provided with this exercise. The following information is also available: a. Capital Assets Capital assets purchased in previous years through governmental- type funds totaled $7.890,000 (net of accumulated depreciation) as of January I Depreciation on capital assets used in governmental-type activities amounted to $316,000 No capital assets were sold or disposed of, and all purchases are prop- erly reflected in the fund-basis statements as capital expenditures. b. Long-Term Debt There was no outstanding long-term debt associated with governmental- type funds as of January l . .April 1, 6 percent bonds with a face value of $700,000 were issued at a premium. Bond payments are made on October 1 and April 1 of each year. Interest is based on an annual rate of 6 percent, and principal pay- ments are $22,000 each. The first payment (interest and principal) was made on October 1. Amortization of the bond premium for the current year is $1.800 c. Deferred Inflows of Resources . Deferred inflows (comprised solely of property taxes) are expected to be collected more than 60 days after year-end. The balance of deferred taxes at the end of 2016 was $19,500. Government-wide Statements, Capital Assets, Long-Term Debt 257 d. Transfers . Transfers were between governmental-type funds Internal Service Fund . The (motor pool) internal service fund's revenue is predominantly derived from departments classified as governmental-type activities. . There were no amounts due to the internal service fund from the General Fund. The outstanding balance of Due to Other Funds was with the enterprise fund and is not capital related. The enterprise fund provided a long-term advance to the internal ser fund (not capital related). . Required Use the Excel template provided to complete the following requirements; a separate tab is provided in Excel for each of these step 1. Prepare the journal entries necessary to convert the governmental fund financial statements to the accrual basis of accounting 2. Post the journal entries to the conversion worksheet provided. 3. Prepare a government-wide Statement of Activities and Statement of Net Position for the year 2017. All of the governmental fund revenue are "general revenue This is an involved problem, requiring many steps. Here are some hint a. Tab 1 is information to be used in the problem. You do not enter any thing here h. After you make the journal entries (Tab 2). post these to the work sheet to convert to the accrual basis. This worksheet is set up so that you enter debits as positive numbers and credits as negative. After you post your entries, look at the numbers below the total credit col- umn to see that debits equal credits. If not, you probably entered a credit as a positive number. ances for government-wide statements). principal is added to restricted fund balances. Make sure that total debits equal total credits in the last column (bal- d. When calculating Restricted Net Position, recall that permanent fund 8-14. The fund-basis financial statements of the City of Cottonwood have been ompleted for the year 2017 and appear in the first tab of the Excel spread In addition the eovernment-wide Statement Jefferson County Governmental Funds Balance Sheet as of 12-31-2017 Capital Projects Debt Service Permanent Governmental Total Fund Fund Fund Fund Funds Assets 4 Cash 5 Investments 6 Taxes Reveivable (net) 7 Due from other governments 8 Accrued interest receivable 9 Supplies Inventory 10 340,348 502,400 51,325 280,000 1,700 350 1.176.123 S 128,148 S 181,000 S 22,800 S 8,400 S 502,400 51,325 280,000 1,700 350 Total Assets S 179,823 S 461,000 S 22,800 S 512,500 S 12 Liabilities, Deferred Inflows and Fund Balance 13 Liabilities 14 Accounts Payable 15 Wages Payable 16 Contracts payable 2,000 850 4,100 6,100 850 25,000 31,950 25,000 Total Liabilities 2,850 25.000 4.100 18 Deferred Inflows 19 Deferred Inflows - Property Taxes 20 21 Fund Balances 22 Nonspendable 23 Inventories 24 Permanent fund principal 25 Restricted 26 Assigned 27 Unassigned 28 29 30 Total Liabilities, Deferred Inflows and Fund $ 179,823 S 461.000 350 500,000 436,000 32,000 153,223 1,121,573 350 500,000 436,000 800 153,223 154,373 22,800 8,400 Total Fund Equity 436,000 22,800 508,400 22,800 S 512.500 S 1,176,123 Jefferson County Statement of Revenues Expenditures and Changes in Fund Balance for the vear ended 12-31-2017 32 Capital General Projects Total Debt Service Permanent Governmental Fund Fund Fund Fund Funds 34 Revenues 35 Property Taxes 36 Intergovernmental revenues 37 Investment income: 38 39 0 Expenditures 41 Current: 42 General Government Operations 43 Library 44 Capital Outlay 45 Debt Service 46 Principal 47 Interest 48 262,075 280,000 21,100 563,175 S 262,075 S 280,000 21,100 Total Revenues 262,075 280,000 21,100 181,560 12,700 651,900 181,560 12,700 39,900 612,000 22,000 21,000 43,000 22,000 21,000 889,160 Total Expenditures 221,460 612,000 12,700 50 Excess (Deficiency) of Revenues Over Exp40,615 332,000) (43,000)8,400625,985) 52 Other financing sources (uses) 53 Proceeds of bonds 54 Premum on bonds 55 Transfers in 56 Transfers out 57 total other financing sources (uses) 700,000 22,800 700,000 22,800 65,800 65.8 722,800 65.800 43 (43,000) 700,000 65.800 59 Net Change in Fund Balance 60 Fund Balance, January 1 61 Fund Balance, December 31 22,800 (2,385) 156,758 368,000 68,000 396,815 724,758 1,121,573 8,400 500,000 S 154,373 S 436,000 S 22,800 S 508,400 S Jefferson County Jefferson County Statement of Net Position As of 12-31-2017 Statement of Revenues, Expenses, and Changes in fund Net Position For the year ended 12-31-2017 Enterprise Funds Internal Service Fund Enterprise Funds Internal Service Fund Revenues Assets Cash Due from other funds Supplies Inventory Charges for Services S 805,000 S 96,250 22,000 S 22,850 15,750 18,000 40.000 17,000 255,000 Total Revenues 805,000 96,250 42,100 total current assets Advance to Intermal Service fund Capital Assets (net) Operating Expenses Cost of services 703,000 83,690 21,600 Depreciation 60.000 6,900 Total Assets S 312,000 S 63,700 Total Operaing Expenses 763,000 90,590 Liabilities Accounts payable Wages payable Interest payable Due to Other funds 16,750 4,350 490 600 Operating Income (loss) 42,000 5.660 850 Nonoperating income (expenses) 15,750 33,350 Interest Expense Total nonoperating revenue total current liabilities 5,440 (5,000) (600) 200,000 Change in Net Position Net Position- Beginning of Year Net Position- End of Year 5,060 26,200 S 78,650 S 31,260 37,000 41,650 Bond payable Bank note payable Advance from Enterprise fund 10,000 17,000 32,440 Total Liabilities 233,350 Net position Net investment in capital assets Unrestricted Net Position 4.600 55,000 23,650 78,650 S 31,260 26,660 Note: Enter all amouts as positive numbers. The worksheet is formatted to add debits to assets and expenses and add credits to liabilities, equities and revenues Gov'tal Fund Balances for Gov't- wide Stmts BalancesAdjustments &Eliminations Internal Service Funds Worksheet Journal Entries to Convert Debits Credits Debits Credits to the Accrual basis of Accounting DEBITS debits $credits $ Cash Investment in c Taxes Receivable Due from other governments Accrued interest receivable 340,348 502.400 51,325 280,000 1,700 350 340,348 502,400 51,325 280,000 1,700 350 e bonds lies Inv Due from Other Funds Capital Assets - net of accumulated depreciation rows ditures (expenses) Current General Govt Libra 181,560 12,700 12,700 Other Expenditures (expenses Debt Service Principal Interest expense/e Capital Outla Depreciation 22,000 1.000 651,900 22,000 ure 651,900 Other Fin. Uses Transfers Out Total Debits 2,131,083 2.131,083 Jefferson Countv Statement of Activities for the vear ended 12-31-2017 Program Revenues Net (Expense) Revenue and Change in Net Posi Charges OperationalCapital for Grants and Grants and Governmental Business Expenses Services Contributions Contributions Activities Tvpe Activities Total Functions/Programs Governmental Activities: General Government Libr Depreciation Interest Total Governmental Activities Business Type Activities Water and Sewer Total Government General Revenues Taxes. Property Taxe Intergovernmental revenues Investment Income Total General Revenues Change in Net Position Net Position, Beginning Net Position, Ending Jefferson Countv Statement of Net Position as of 12-31-2017 Business- Type Governmental Activities Activities Total Assets Cash Taxes Receivable (Net) Interest Receivable Internal Balances Current Due from Other Governments Inventories Internal Balances Long-Term Capital Assets, Net of Accumulated Depreciation Total Assets Liabilities Accounts Payable Wages Payable Accrued Interest Payable Contract Payable Bank Note Payable Bonds Payable Premium on Bonds Sold Total Liabilities Net Position Net investment in capital assets Restricted Unrestricted Total Net Position