The City of San Dominguez received a $800,000 federal grant to acquire several buses to be used in its public transit system. The City paid $400,000 to acquire several buses. At year-end, $100,000 of the grant had not yet been used. During the year total depreciation on the buses was $40,000. Revenues for the public system were $500,000; operating expenses (other than depreciation) were $450,000.

Assuming the Public Transit Enterprise Fund began the year with unrestricted net assets of $420,000, prepare the following for the Public Transit Enterprise Fund.

a) Statement of Revenues, Expenses, and Changes in Fund Net Assets.

b) Net Assets section of the Statement of Net Assets.