QUESTION 11 A federal grant was approved to Old Carson City with the amount of $1,000,000 on January 1, 2020. There was a restriction for the prant where sha be used to pay for the wages of Cavid-19 frontliners that served in the city The terms of the grant permitted reimbursement only after qualified expenditures have been made the grant could be used over a two year period The following data pertain to operations of the Covid-19 Frontliners Grant Fund, a special revenue fund of Old Carson City during the year ended December 31, 2020 a. The budget was recorded. It provided for Estimated Revenues for the year in the amount of $350,000, and for Appropriations in the amount of $550,000. b. During the year frontliners earned and were paid $198.000 under terms of the Covid-19 battling program. An additional $2.000 saccrued as payable on December 31. Recognize the receivable and revenue include the 52,000 of wages payable). c. Each month a properly documented request for reimbursement was sent to the federal government; checks for $210.000 were received, d. Necessary closing entries were made. Required: a. Define Special Revenue Fund as per GASB. (2 marks) b. Show entries in general Journal form to record the above events and transactions in the accounts of the Covid: 19 Frontliners Grant Fund (11 marks) c. Identify two situations where Special Revenue Funds cannot be used for. 12 marks Sare Al Answers Click Save and submit to save and submit. Click Save All Answer to save all answers QUESTION 11 A federal grant was approved to Old Carson City with the amount of $1,000,000 on January 1, 2020. There was a restriction for the prant where sha be used to pay for the wages of Cavid-19 frontliners that served in the city The terms of the grant permitted reimbursement only after qualified expenditures have been made the grant could be used over a two year period The following data pertain to operations of the Covid-19 Frontliners Grant Fund, a special revenue fund of Old Carson City during the year ended December 31, 2020 a. The budget was recorded. It provided for Estimated Revenues for the year in the amount of $350,000, and for Appropriations in the amount of $550,000. b. During the year frontliners earned and were paid $198.000 under terms of the Covid-19 battling program. An additional $2.000 saccrued as payable on December 31. Recognize the receivable and revenue include the 52,000 of wages payable). c. Each month a properly documented request for reimbursement was sent to the federal government; checks for $210.000 were received, d. Necessary closing entries were made. Required: a. Define Special Revenue Fund as per GASB. (2 marks) b. Show entries in general Journal form to record the above events and transactions in the accounts of the Covid: 19 Frontliners Grant Fund (11 marks) c. Identify two situations where Special Revenue Funds cannot be used for. 12 marks Sare Al Answers Click Save and submit to save and submit. Click Save All Answer to save all answers
