Record the following transactions in the general journals of the City Hall Annex Construction Fund and governmental activities at the government-wide level. Do not record entries at this time in any other affected funds; those entries will be made in later chapters of this cumulative problem that cover those funds

1. [Para. 5-a-4] Preliminary plans for the design of the City Hall Annex were received from the architectural firm. The invoice amount of $145,000 is accrued in vouchers payable. This amount was not previously encumbered. Costs are capitalized in the governmental activities on the government-wide financial statements.

2. [Para. 5-a-5] Legal and other capitalizable costs of the bond issue were accrued in vouchers payable in the amount of $75,000.

3. [Para. 5-a-6] Advertisements soliciting construction bids were accrued at a cost of $8,500. Costs are capitalized in the governmental activities on the government-wide financial statements.

4. [Para. 5-a-7] Construction bids were opened and analyzed. A contract was signed with the firm that submitted the winning bid of $3,900,000. A provision of the contract permits the city to withhold 5 percent of payment pending final acceptance of the completed project.