Journal entries for a series of transactions Prepare journal entries in the General Fund for each of the following events relating to the City of Bar Harbor (all amounts in $1,000s). a. The citizens approve the following budget for the year: ESTIMATED REVENUES $78,424 ESTIMATED OTHER FINANCING SOURCES 2,000 APPROPRIATIONS (77,273) BUDGETARY FUND BALANCE $3,151 Debit Credit General Journal Description ESTIMATED REVENUES ESTIMATED OTHER FINANCING SOURCES APPROPRIATIONS BUDGETARY FUND BALANCE b. The City records the following revenues (on account) and other financing sources (paid in cash) during the year: 1. Revenues-real estate and personal property taxes $68,350 2. Revenues-intergovernmental 12,385 3. Other financing sources-bond proceeds 2,100 Credit Description 1. Cash Other financing sources--proceeds from bond issue Debit 2,100 2,100 2. Revenues--real estate taxes Other financing sources--proceeds from bond issue C. The City issues purchase invoices totaling $77,008 (record the issuance of invoices as a lump sum). Description Debit Credit d. The City recognizes the following expenditures, all on account (these expenditures were previously reserved as budgetary encumbrances): Expenditures--General Government 11,576 Expenditures--Public Safety 7,751 Expenditures--Education 46,005 Expenditures--Public Works 3,925 Expenditures--Human Services 7,751 Debit Credit Description BUDGETARY FUND BALANCE ENCUMBRANCES To reverse previous entry. Expenditures--general government Expenditures--public safety Expenditures--education Expenditures--public works e. The City makes the following payments related to its outstanding debt: Expenditures--debl principal payments $750 Expenditures--debl interest Payments 150 Description Debit Credit Expenditures-debt interest payments f. The City collects accounts receivable ($68,050 relating to property taxes and $11,771 relating to intergovernmental receivables) and pays outstanding accounts payable in the amount of $75,078 during the year. Description Debit Credit Cosh Real estate taxes receivable g. The City recognizes an increase of $1,000 in Deferred Revenues as a year-end adjustment to yield a balance in that account of the total property taxes receivable that are not expected to be collected within 60 days. Description Debit Credit h. The City makes the required closing entries to close out the budgetary and operating accounts. In addition, the City closes out the remaining $925 balance of budgetary encumbrances outstanding and formally charges that balance to Fund Balance-unassigned since the outstanding invoices are expected to be honored in the next fiscal year. Description Debit Credit Close budget: APPROPRIATIONS ESTIMATED OTHER FINANCING SOURCES Close operating accounts: Revenues real estate& personal property taxes Revenues.intergovernmental Expenditures--general government Expenditures--public safety Expenditures-education Expenditures--public works Expenditures--human services Expenditures-debt princioal payments Expenditures-debt interest payments Remaining budgetary encumorances ENCUMBRANCES Journal entries for a series of transactions Prepare journal entries in the General Fund for each of the following events relating to the City of Bar Harbor (all amounts in $1,000s). a. The citizens approve the following budget for the year: ESTIMATED REVENUES $78,424 ESTIMATED OTHER FINANCING SOURCES 2,000 APPROPRIATIONS (77,273) BUDGETARY FUND BALANCE $3,151 Debit Credit General Journal Description ESTIMATED REVENUES ESTIMATED OTHER FINANCING SOURCES APPROPRIATIONS BUDGETARY FUND BALANCE b. The City records the following revenues (on account) and other financing sources (paid in cash) during the year: 1. Revenues-real estate and personal property taxes $68,350 2. Revenues-intergovernmental 12,385 3. Other financing sources-bond proceeds 2,100 Credit Description 1. Cash Other financing sources--proceeds from bond issue Debit 2,100 2,100 2. Revenues--real estate taxes Other financing sources--proceeds from bond issue C. The City issues purchase invoices totaling $77,008 (record the issuance of invoices as a lump sum). Description Debit Credit d. The City recognizes the following expenditures, all on account (these expenditures were previously reserved as budgetary encumbrances): Expenditures--General Government 11,576 Expenditures--Public Safety 7,751 Expenditures--Education 46,005 Expenditures--Public Works 3,925 Expenditures--Human Services 7,751 Debit Credit Description BUDGETARY FUND BALANCE ENCUMBRANCES To reverse previous entry. Expenditures--general government Expenditures--public safety Expenditures--education Expenditures--public works e. The City makes the following payments related to its outstanding debt: Expenditures--debl principal payments $750 Expenditures--debl interest Payments 150 Description Debit Credit Expenditures-debt interest payments f. The City collects accounts receivable ($68,050 relating to property taxes and $11,771 relating to intergovernmental receivables) and pays outstanding accounts payable in the amount of $75,078 during the year. Description Debit Credit Cosh Real estate taxes receivable g. The City recognizes an increase of $1,000 in Deferred Revenues as a year-end adjustment to yield a balance in that account of the total property taxes receivable that are not expected to be collected within 60 days. Description Debit Credit h. The City makes the required closing entries to close out the budgetary and operating accounts. In addition, the City closes out the remaining $925 balance of budgetary encumbrances outstanding and formally charges that balance to Fund Balance-unassigned since the outstanding invoices are expected to be honored in the next fiscal year. Description Debit Credit Close budget: APPROPRIATIONS ESTIMATED OTHER FINANCING SOURCES Close operating accounts: Revenues real estate& personal property taxes Revenues.intergovernmental Expenditures--general government Expenditures--public safety Expenditures-education Expenditures--public works Expenditures--human services Expenditures-debt princioal payments Expenditures-debt interest payments Remaining budgetary encumorances ENCUMBRANCES