Pinehurst City established a capital projects fund at the beginning of fiscal 2017 to construct a courthouse. The estimated cost of the courthouse was $3,500,000. Construction will be financed in the following manner:

Reimbursement grant from the State $ 375,000

Transfer from general fund 125,000

Issuance of general obligation (G.O.) bonds 3,000,000 (face amount)

During fiscal 2017 (year ending on April 30), the following events occurred:

In anticipation of issuing the G.O. bonds, $500,000 was borrowed in May, 2016. The amount was repaid along with $10,000 of interest after the G.O. bonds were sold.

The general fund transfer was received in May, 2016.

The G.O bonds were issued at 102 on June 30, 2016. The premium was transferred to a debt service fund later during fiscal 2017. Interest on the G.O bonds at 6% legally matures and is paid on June 30 and December 31. The G.O. bonds are serial bonds; the first serial is due on June 30, 2017, in the amount of $200,000.

Signed a contract with Gleeson Construction for $3,400,000 in May, 2016.

The State reimbursed Pinehurst for the amount of the grant in April, 2017.

After the completion of the courthouse, Pinehurst paid Gleeson 80% of the contract price in April, 2017. The City paid Gleeson the remainder of the contract price in May, 2017, after the courthouse was inspected and found to be in compliance with all applicable building codes. Residual cash left over in the courthouse capital projects fund was transferred to the debt service fund in fiscal 2018, and the courthouse capital projects fund was closed.

Answer the following questions:

Prepare, in good form, the statement of revenues, expenditures, and changes in fund balance for the courthouse capital projects fund for the year ended April 30, 2017.

On the balance sheet of the courthouse capital projects fund at April 30, 2017, what is the amount reported for (a) cash and (b) fund balance restricted?

On the balance sheet of the debt service fund at April 30, 2017, what is the amount reported for fund balance restricted?