No capital assets were sold during the year. No depreciation expense is reported on capital assets acquired in the current year. Accrued interest payable on the capital lease at December 31 was $22,000. Accrued interest payable on the bond anticipation notes was $480,000. (Alternative Requirement: Prepare the worksheet conversion entries required for this information using the one-worksheet approach in Appendix 14-2.) ach to Deriving Governmental Activities Data Governments use various methods to derive the data needed to prepare the government-wide financial statements. This chapter demonstrated a two-worksheet approach that is intuitively appealing and relatively easy to follow. In practice, many governments use a more traditional worksheet than the ones illustrated in the chapter. The use of a single worksheet to derive both the balance sheet and operating statement data needed to report governmental activities in the government-wide financial statements is discussed and illustrated in this appendix. This one-worksheet approach is illustrated based on the same information used for the two-worksheet approach. The business-type activities, government-wide financial statements, and reconciliations are not repeated since these discussions, and illustrations, will be identical regardless of whether a government uses a one-worksheet or twoworksheet approach to derive the governmental activities data. The preclosing trial balance for all governmental funds of Farley County at December 31, 20X6 (after budgetary accounts have been closed), is presented in Illustration 14-18. With the exception of fund balance, the accounts and amounts in this trial balance are taken from the total column of Farley County's governmental funds financial statements. The fund balance account contains the preclosing amount of the total fund balances for all governmental funds. This preclosing amount is not the same as the postclosing ending balance reported in the governmental funds Balance Sheet. Note that the trial balance includes expenditures (rather than expenses), other financing sources and uses, and fund balance (rather than net position). General capital assets and general long-term liabilities are omitted from the trial balance because they are not reported in governmental funds. Beginning balances of certain accounts are needed for some of the adjustment and conversion entries required to derive the governmental activities data. These balances are provided as part of the explanation of the worksheet-only entries. They are not posted to the fund ledgers. The one-worksheet approach to derive Farley County's government-wide governmental activities data involves the following broad steps: - Addition of the beginning balances of the general capital assets and general long-term liabilities to the governmental funds preclosing trial balance. - Adjustments and conversions related to general capital assets. - Adjustments and conversions related to general long-term liabilities. - Other adjustments to convert the data from the current financial resources measurement focus and modified accrual basis to the economic resources measurement focus and accrual basis of accounting. - Elimination of interfund activities. P14-1 (Worksheet Adjustments for Selected Accounts) Presented here is a partial list of accounts for the total governmental funds of the City of Bukowy. What worksheet adjustments would be required to convert this information to information that the city needs for preparing its government-wide financial statements for 203 ? The city uses the consumption method to account for materials and supplies. The city does not use the modified approach to account for infrastructure assets