Record the appropriate journal entries for Johnson City for the following transactions. The city uses encumbrance accounting and maintains a provision for uncollectible accounts. Note: Each transaction may involve more than one fund. The appropriate fund must be identified to receive credit.

8. The police department ordered 3 new cars at a cost of $50,000 each. 9. The City received a gift of $300,000 with the stipulation that the principal must be maintained in perpetuity and that all earnings on investments be used solely for the purchase of library books. The city established a Permanent Fund and deposited the donation. 10. The entire gift was immediately invested in various securities. The investments earned $30,000 in dividends and interest during the year. 11. Collections of property taxes during the year totaled $490,000. 12. Two cars (transaction 8) were received with an invoice for $102,000. 13. A $2,000,000 contract was signed with a developer as part of the fire station construction. 14. The developer submitted a progress billing for $100,000. The contract includes provisions for a 10% retained percentage. 15. The invoice for the cars (transaction 12) was paid. 16. Prepare the closing entries for the General Fund Budget.