On december 1,year 1 coal creek country places an order for two bulldozers to be used to construct the county's new library. The budgeted cost of each bulldozer is 35000 and purchase orders are issued. The first bulldozer arrives on December 20. Year 1 and has a cost of 38000. The second bulldozer is on backorder and will arrive sometime in Year 2. What is the amount in the encumbrance account for the bulldozers on December 31, Year 1? a. 70000 b. 35000 c. 32000 d. 0