Para 5 a 3 A $235 purchase order for advertisements soliciting bids for the Elm Street Project was issued March 1, 2020 The bill for advertising in the amount of $230 was received March14, 2020 and a voucher for payment was issued Required Record the encumbrance, billing, and the Vouchers Payable liability in the Street Improvement Fund and governmental activities journals, as appropriate Para 5 a 4 On March 15, 2020, construction bids were opened and analyzed A bid of $2,400,000 was accepted, and the contract was awarded for the Elm Street Project The contract provided for a retained percentage of 5 percent from each progress payment, and from the final payment, until final inspection and acceptance by the citys public works inspectors Required Record the signing of the contract in the Street Improvement Fund general journal This transaction has no effect at the government wide level Para 5 a 5 Sales tax revenue of $240,000 was received Required Record this transaction in both the Street Improvement Fund and governmental activities general journals Para 5 a 6 Vouchers payable accumulated to date were paid on March 30, 2020 Required Record this transaction in both the Street Improvement Fund and governmental activities general journals Para 5 a 7 On April 1, 2020, 2 5 deferred serial bonds with a face value of $2,000,000 were sold for a total amount of $2,032,500, of which $12,500 was for accrued interest from the January 1, 2020 date of the bonds and $20,000 was a premium on the bonds sold Cash in the amount of the accrued interest and premium was deposited directly in the Street Improvement Bond Debt Service Fund Cash in the amount of $2,000,000 was deposited and recorded in the Street Improvement Fund Required Record these transactions in the Street Improvement Fund and governmental activities journals (Hint In addition to recording the liability for bonds payable in the governmental activities journal, you should record the premium on the bonds payable credit Premium on Deferred Serial Bonds and accrued interest on bonds sold we recommend that you credit ExpensesInterest on Long term Debt in the governmental activities general journal for the $12,500 of accrued interest ) For now you should not make the entries in the Street Improvement Bond Debt Service Fund to record the accrued interest and premium Those entries will be made in Chapter 6 of this cumulative problem Para 5 a 8 The city repaid the $40,000 tax anticipation note plus interest of $300 ($40,000 X 0 03 X 90 360) (see transaction 2) Required Record this transaction in both the Street Improvement Fund and governmental activities general journals The $300 of interest should be debited to Interest Expenditures in the Street Improvement Fund journal and to ExpensesGeneral Government in the governmental activities journal Para 5 a 9 In July 2020, the contractor for the Elm Street Project reported that the project was one half completed and requested a progress payment of $1,200,000 This amount was paid in late July, less the contractual retention of 5 percent Required Record this transaction in both the Street Improvement Fund and governmental activities general journals Para 5 a 10 Additional sales taxes were collected in the amount of $320,000 on December 1, 2020 Required Record this transaction in both the Street Improvement Fund and governmental activities journals Para 5 a 11 On December 10, 2020 the Elm Street project was completed and the contractor for the project requested a final payment of $1,200,000 This amount was recorded as a liability Payment was made, less the retained percentage, on December 15, 2020 Required Record this transaction in both the Street Improvement Fund and governmental activities journals Para 5 a 12 The city submitted a $190,000 purchase order for design plans and specifications for the second street improvement project, the Spruce Street Project Required Record this encumbrance in the Street Improvement Fund Para 5 a 13 The city engineer approved the final construction on the Elm Street Project, and the city paid the retained percentage (Transactions 9 and 11) to the contractor Required Record this transaction in both the Street Improvement Fund and governmental activities journals Total construction costs for the Elm Street Project should be capitalized in the Infrastructure account in governmental activities

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[Para. 5-a-3] A $235 purchase order for advertisements soliciting bids for the Elm Street Project was issued March 1, 2020. The bill for advertising in

[Para. 5-a-3] A $235 purchase order for advertisements soliciting bids for the Elm Street Project was issued March 1, 2020. The bill for advertising in the amount of $230 was received March14, 2020 and a voucher for payment was issued.

Required: Record the encumbrance, billing, and the Vouchers Payable liability in the Street Improvement Fund and governmental activities journals, as appropriate.
[Para. 5-a-4] On March 15, 2020, construction bids were opened and analyzed. A bid of $2,400,000 was accepted, and the contract was awarded for the Elm Street Project. The contract provided for a retained percentage of 5 percent from each progress payment, and from the final payment, until final inspection and acceptance by the citys public works inspectors.

Required: Record the signing of the contract in the Street Improvement Fund general journal. This transaction has no effect at the government-wide level.
[Para. 5-a-5] Sales tax revenue of $240,000 was received.

Required: Record this transaction in both the Street Improvement Fund and governmental activities general journals.
[Para. 5-a-6] Vouchers payable accumulated to date were paid on March 30, 2020.

Required: Record this transaction in both the Street Improvement Fund and governmental activities general journals.
[Para. 5-a-7] On April 1, 2020, 2.5% deferred serial bonds with a face value of $2,000,000 were sold for a total amount of $2,032,500, of which $12,500 was for accrued interest from the January 1, 2020 date of the bonds and $20,000 was a premium on the bonds sold. Cash in the amount of the accrued interest and premium was deposited directly in the Street Improvement Bond Debt Service Fund. Cash in the amount of $2,000,000 was deposited and recorded in the Street Improvement Fund.

Required: Record these transactions in the Street Improvement Fund and governmental activities journals. (Hint: In addition to recording the liability for bonds payable in the governmental activities journal, you should record the premium on the bonds payable [credit Premium on Deferred Serial Bonds] and accrued interest on bonds sold [we recommend that you credit ExpensesInterest on Long-term Debt] in the governmental activities general journal for the $12,500 of accrued interest.) For now you should not make the entries in the Street Improvement Bond Debt Service Fund to record the accrued interest and premium. Those entries will be made in Chapter 6 of this cumulative problem.
[Para. 5-a-8] The city repaid the $40,000 tax anticipation note plus interest of $300 ($40,000 X 0.03 X 90/360) (see transaction 2).

Required: Record this transaction in both the Street Improvement Fund and governmental activities general journals. The $300 of interest should be debited to Interest Expenditures in the Street Improvement Fund journal and to ExpensesGeneral Government in the governmental activities journal.
[Para. 5-a-9] In July 2020, the contractor for the Elm Street Project reported that the project was one-half completed and requested a progress payment of $1,200,000. This amount was paid in late July, less the contractual retention of 5 percent.

Required: Record this transaction in both the Street Improvement Fund and governmental activities general journals.
[Para. 5-a-10] Additional sales taxes were collected in the amount of $320,000 on December 1, 2020.

Required: Record this transaction in both the Street Improvement Fund and governmental activities journals.
[Para. 5-a-11] On December 10, 2020 the Elm Street project was completed and the contractor for the project requested a final payment of $1,200,000. This amount was recorded as a liability. Payment was made, less the retained percentage, on December 15, 2020.

Required: Record this transaction in both the Street Improvement Fund and governmental activities journals.
[Para. 5-a-12] The city submitted a $190,000 purchase order for design plans and specifications for the second street improvement project, the Spruce Street Project.

Required: Record this encumbrance in the Street Improvement Fund.
[Para. 5-a-13] The city engineer approved the final construction on the Elm Street Project, and the city paid the retained percentage (Transactions 9 and 11) to the contractor.

Required: Record this transaction in both the Street Improvement Fund and governmental activities journals. Total construction costs for the Elm Street Project should be capitalized in the Infrastructure account in governmental activities.