Problem II: Prepare catries, in general journal form, to record the following transactions in the proper fund) and/or account groups). Designate the fund or account group in which each entry is recorded 1. Bond proceeds of $3,000,000 were received to be used in constructing a new City Jail. An equal amount is contributed from general revenues. 2. Serial boods in the amount of $300,000 matured. Interest of $75,000 was paid on these and cther serial bonds outstanding 3. Insurance proceeds mounting to $24,000 were received as a result of the accidental destruction of a garbage truck costing 533,000. Accumulated depreciation on the truck was $21,000. 4. The City Parks Endowment Fund transferred $160,000 in expendable funds to the City Parks Special Revenue Fund. 5. Proceeds of $19,000 were received from the sale of equipment which had been purchased from general revenues at a cost of $100,000. Accumulated depreciation on the equipment was $75,000 6. The City Power Company (an enterprise fund) issued a bill for $400,000 for electricity provided to municipal government buildings. 7. The City Power Company transferred excess funds of $90,000 to the General Fund. 8. A central data processing center was established by a contribution of $300,000 from the General Fund, a long-term loan of $130,000 from the City Parks Special Revenue Fund, and general obligation bond proceeds of $180,000. 9. The Data Processing Fund billed the General Fund $15,000 and the City Parks Special Revenue Fund 58,500 for data processing services. 10. The City Power Company received 57,000 as customer deposits during the year. The moties are to be held in trust until customers request that their services be discontinued and final bills are collected 11. In order to retire general obligation term bonds when they become due, it is determined that the Debt Service Fund will require annual contributions of $60,000 and earnings in the current year of $5,000. 12. The City sold 8% 10-year special assessment bonds at face value of $120,000. Interest is payable anually. The City supervised the use of the proceeds to finance a fencing construction The City has made no commitments and has not obligated itself in any manner with respect to the payment of principal and interest on the debt. During the year, the full $115.000 cost of the construction was recorded and paid. The related homeowners received the bill for the first year's interest of the bonds. The money was collected and paid to the bond holders. og mer Problem ll: Prepare entries in general journal form, to record the following transactions in the proper fund(s) and for account groups) Designate the fund or account group in which cach entry is recorded 1. Bond proceeds of $3,000,000 were received to be used in constructing a new City Jail An equal amount is contributed from general revenues 2. Serial bonds in the amount of $300,000 matured Interest of $75,000 was paid on these and other serial bonds outstanding 3. Insurance proceeds amounting to $24,000 were received as a result of the accidental destruction of a garbage truck costing $33,000. Accumulated depreciation on the truck was $21,000 4. The City Parks Endowment Fund transferred $160,000 in expendable funds to the City Parks Special Revenue Fund 5. Proceeds of $19,000 were received from the sale of equipment which had been purchased from general revenues at a cost of $100,000 Accumulated depreciation on the equipment was 575.000 6. The City Power Company can enterprise fund) issued a bull for $400,000 for electricity provided to municipal government buildings 7. The City Power Company transferred excess funds of 50,000 to the General Fund A central data processing center was established by a contribution of $300,000 from the General Fund a long-term loan of $130.000 from the City Parks Special Revenue Fund, and general obligation bond proceeds of S180,000 9. The Data Processing Fund billed the General Fund $15.000 and the City Parks Special Revenue Fund 58,500 for data processing services 10. The City Power Company received 57,000 as customer deposits during the year. The monies are to be held in trust until customers request that their services be discontinued and final bills are collected 11. In order to retire general obligation term boods when they become due, it is determined that the Debt Service Fund will require annual contributions of $60,000 and earnings in the current year of $5.000 12. They ar e of The fyth yw w
