The City of Galena General Fund has the following net resources at year$-$end:

$$1,775,000$ total fund balance.

$$212,000$ unexpended proceeds of a state grant required by law to be used for health education.

$$4,000$ of prepaid insurance.

$$500,000$ rainy day fund approved by the city council for use under specified circumstances.

$$200,000$ budget stabilization fund to be used in the event of a revenue shortfall.

$$275,000$ provided for contractual obligations for capital projects.

$$34,000$ unexpended proceeds of a tax required by law to be used for emergency $911$ services.

Required: Prepare the fund balance section of the Balance Sheet.