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Help Center The following information is extracted from the City of Lucas' government- wide statement of net position at December 31, 2019: Capital assets $2,000,000

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Help Center The following information is extracted from the City of Lucas' government- wide statement of net position at December 31, 2019: Capital assets $2,000,000 Accumulated depreciation, capital assets $1,600,000 10% Annual depreciation rate on capital assets Bonds payable The following information is extracted from the city's governmental funds statement of revenues, expenditures, and changes in fund balances for the year ended December 31, 2020. Expenditures-capital outlay (General Fund) 40,000 Expenditures-capital outlay (Capital Projects Fund) $600,000 Expenditures-bond principal (Debt Service Fund) 60,000 Expenditures-bond interest (Debt Service Fund) 15,000 Proceeds from bond issue (Capital Projects Fund) $600,000 According to the notes to the financial statements, the city sold $600,000 of Help Center ? According to the notes to the financial statements, the city sold $600,000 of 5-year serial bonds on April 1, 2020, to finance the acquisition of capital assets. Principal is payable every six months, starting October 1, 2020. Interest of 5 percent per annum on the unpaid principal is also payable every six months, starting October 1, 2020. Assume all assets acquired in 2020 were acquired July 1 and all have a 10-year life. Required: a. Prepare journal entries so the foregoing information can be used in a worksheet to prepare government-wide financial statements for the year ended December 31, 2020. b. Compute the amounts for the following statement elements as they will appear in the government-wide financial statements for the year ended December 31, 2020: 1.Depreciation expense 2. Interest expense 3. Capital assets 4. Accumulated depreciation, capital assets 5. Interest payable 6. Bonds payable 7. Net investment in capital assets HTML Editores

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