1. The City of Milltown maintains its books so as to prepare fund accounting statements and records worksheet adjustments in order to prepare government-wide statements. You are to prepare, in journal form, worksheet adjustments for each of the following situations.

   1. General fixed assets as of the beginning of the year, which had not been recorded, were as follows:

      1. Land $ 7,820,000

      2. Buildings 32,355,000

      3. Improvements Other Than Buildings 14,690,000

      4. Equipment 11,554,000

      5. Accumulated Depreciation, Capital Assets 24,300,000

   2. During the year, expenditures for capital outlays amounted to $7,200,000. Of that amount, $4,800,000 was for buildings; the remainder was for improvements other than buildings.

   3. The capital outlay expenditures outlined in (b) were completed at the end of the year (and will begin to be depreciated next year). For purposes of financial statement presentation, all capital assets are depreciated using the straight-line method, with no estimated salvage value.

      1. Estimated lives are as follows: buildings, 40 years; improvements other than buildings, 20 years; and equipment, 10 years.

   4. In the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances, the City reported proceeds from the sale of land in the amount of $600,000. The land originally cost $505,000.

   5. At the beginning of the year, general obligation bonds were outstanding in the amount of $4,000,000. Unamortized bond premium amounted to $36,000.

   6. During the year, debt service expenditures for the year amounted to: interest, $580,000; principal, $400,000. For purposes of government-wide statements, $3,600 of the bond premium should be amortized. No adjustment is necessary for interest accrual.

   7. At year-end, additional general obligation bonds were issued in the amount of $1,700,000, at par.