On January $1,2024,$ the City of Graf pays $$52,500$ for a work of art to display in the local library. The city will take appropriate

measures to protect and preserve the piece. However, if the work is ever sold, the money received will go into unrestricted funds.

Officials view the work as inexhaustible, but they have opted to depreciate the cost over $15$ years $($using the straight$-$line method$).$

Required:

a$.$ How is this work reported on government$-$wide financial statements for the year ended December $31,2024?$

b$.$ How is this work reported in fund financial statements for the governmental funds for the year ended December $31,2024?$

Complete this question by entering your answers in the tabs below.

How is this work reported on government$-$wide financial statements for the year ended December $31,2024?$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Journal entry worksheet

Record payment made for display of artwork.

Note: Enter debits before credits.

How is this work reported in fund financial statements for the governmental funds for the year ended December $31,2024?$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Journal entry worksheet

Record payment made for display of artwork.

Note: Enter debits before credits.