On July 1, 2016, the first day of its 2017 fiscal year, the City of Nevin issued at par $300,000 of 4 percent term bonds to construct a new city office building. The bonds mature in five years on July 1, 2021. Interest is payable semiannually on January 1 and July 1. A sinking fund is to be established with equal semiannual additions made on June 30 and December 31, with the first addition to be made on December 31, 2016. Cash for the sinking fund additions and the semiannual interest payments will be transferred from the General Fund shortly before the due dates. City officials assume a yield on sinking fund investments of 4 percent per annum, compounded semiannually. Investment earnings are added to the investment principal. Required b-1. Prepare journal entries in the debt service fund for the followings of no entry is required for a transaction/event, select "No Journal Entry Required in the first account field. Do not round intermediate calculations.) Transaction Fund General Journal De Credit 1. Record a budget for the fiscal year ended June 30, 2017. Include ancora for all interfund transfers to be received from the General Fund during the year. An appropriation should be provided only for the interest payment due on January 1, 2017 1 Term Bond Debt Service Fund 2. On December 28, 2016, the General Fund transferred 533,390 to the debt service lund. The addition to the sinking Rund was immediately invested in 4 percent certificate of deposit 20 Term Bond Debt Service Fund Record the transfer from the general fund to the debt service und 21 Record the investment in the core of deposit 3. On December 28, 2016. The aty issued checks to bondholders for the introst payment due on January 1, 2017 Tem Bord Debt Service Fund 4. On June 27, 2017, the General Fund transferred $33,398 to the debt servicefund. The addition for the sinkingfund was invested immediately in 4 percent certificates of deposit Tom Bond Debt Servis Fund Record the transfer from the general tend to the datt service und Record the investment in the certificates of depost. 6. Actual interesteamed on sinking and investments at year-end June 30, 2017) was the same as the amount budgeted. This interest adds to the song fundance Tem Band Debt Service Fund b-2. Prepare the closing entries. (If no entry is required for a transaction event select "No Journal Entry Required in the first account field. Do not round intermediate calculations.) Debit Creo Transaction Fund General Journal . All propriate closing entries were made waune 30, 2017, for the debt service fund Ter Bord Debt Service Fund Record the entry to come the budgetary station account b Record the entry to close the operating statement account On July 1, 2016, the first day of its 2017 fiscal year, the City of Nevin issued at par $300,000 of 4 percent term bonds to construct a new city office building. The bonds mature in five years on July 1, 2021. Interest is payable semiannually on January 1 and July 1. A sinking fund is to be established with equal semiannual additions made on June 30 and December 31, with the first addition to be made on December 31, 2016. Cash for the sinking fund additions and the semiannual interest payments will be transferred from the General Fund shortly before the due dates. City officials assume a yield on sinking fund investments of 4 percent per annum, compounded semiannually. Investment earnings are added to the investment principal. Required b-1. Prepare journal entries in the debt service fund for the followings of no entry is required for a transaction/event, select "No Journal Entry Required in the first account field. Do not round intermediate calculations.) Transaction Fund General Journal De Credit 1. Record a budget for the fiscal year ended June 30, 2017. Include ancora for all interfund transfers to be received from the General Fund during the year. An appropriation should be provided only for the interest payment due on January 1, 2017 1 Term Bond Debt Service Fund 2. On December 28, 2016, the General Fund transferred 533,390 to the debt service lund. The addition to the sinking Rund was immediately invested in 4 percent certificate of deposit 20 Term Bond Debt Service Fund Record the transfer from the general fund to the debt service und 21 Record the investment in the core of deposit 3. On December 28, 2016. The aty issued checks to bondholders for the introst payment due on January 1, 2017 Tem Bord Debt Service Fund 4. On June 27, 2017, the General Fund transferred $33,398 to the debt servicefund. The addition for the sinkingfund was invested immediately in 4 percent certificates of deposit Tom Bond Debt Servis Fund Record the transfer from the general tend to the datt service und Record the investment in the certificates of depost. 6. Actual interesteamed on sinking and investments at year-end June 30, 2017) was the same as the amount budgeted. This interest adds to the song fundance Tem Band Debt Service Fund b-2. Prepare the closing entries. (If no entry is required for a transaction event select "No Journal Entry Required in the first account field. Do not round intermediate calculations.) Debit Creo Transaction Fund General Journal . All propriate closing entries were made waune 30, 2017, for the debt service fund Ter Bord Debt Service Fund Record the entry to come the budgetary station account b Record the entry to close the operating statement account