Question
Indicate which fund or funds would be used by a state to record each of the following events. Use the codes shown below: General Fund
Indicate which fund or funds would be used by a state to record each of the following events. Use the codes shown below:
General Fund | GF | Pension Trust Fund | PTF |
Special Revenue Fund | SRF | Investment Trust Fund | ITF |
Debt Service Fund | DSF | Private-Purpose Trust Fund | PPTF |
Capital Projects Fund | CPF | Custodial Fund | CF |
Enterprise Fund | EF | Internal Service Fund | ISF |
a. | The state collected personal income taxes to finance its day-to-day activities. |
b. | The state collected gasoline taxes, which in accordance with state law were dedicated solely to the maintenance of state roads. |
c. | The state collected a state-enacted sales tax at the rate of 4% of sales. Collections also included a 3% sales tax that certain counties piggy-backed on the state tax. All county sales taxes were deposited in a fund, pending county-by-county analysis of all sales tax returns to determine amounts due to the state and to each county. |
d. | As authorized by Public referendum, the state sold $55 million of bonds to finance a new highway construction program. The debt proceeds were deposited in a fund. |
e. | The state received $15 million from the federal government for the federal share of the costs of constructing the highways (see d. above). |
f. | The state office of general services performs centralized printing services for all state agencies, and bills the state agencies at cost for each printing project. The office sent a bill to the State Comptroller for printing the state's annual financial report. |
g. | The Office of the State Lottery sells lottery tickets to the public. In accordance with state law, 50% of all lottery ticket sales must be used to finance major capital projects including the acquisition of land for parks. The state received a check from the Office of the State lottery for the state share of the lottery ticket sales. |
h. | The state paid the regular bi-weekly payroll of the state police. The state also paid the payroll of personnel who maintain the state roads referred to in transaction b., above. |
i. | The state deposited funds received from three county governments into a trust fund. The state will invest the funds and send quarterly checks to the county governments based on the interest earned by the fund. |
j. | The Employees Retirement System, a state-operated agency that administers the payment of pensions to retired state employees, paid the monthly pensions. |
k. | The state purchased 5 police cars for the State Police at a cost of $80,000, using day-to-day operating funds. The police cars have a four-year life. |
l. | A partial payment was made to the contractors involved in constructing state highways. |
m. | The state made an operating transfer, using day-to-day operating funds, to the fund that accumulates resources for payment of debt service on capital projects. |
n. | The state paid interest and principal on the debt that had been issued earlier to finance the construction of highways. |
o. | The state received collections from individual citizens to pay college education expenses for state National Guard members, who are wounded in military service. |
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