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[The following information applies to the questions displayed below.] Following is the June 30, 2022, statement of net position for the City of Bay Lake
[The following information applies to the questions displayed below.]
Following is the June 30, 2022, statement of net position for the City of Bay Lake Water Utility Fund.
CITY OF BAY LAKE | ||||||||
Water Utility Fund | ||||||||
Statement of Fund Net Position | ||||||||
June 30, 2022 | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and investments | $ | 1,776,396 | ||||||
Accounts receivable (net of $13,376 provision for uncollectible accounts) | 307,076 | |||||||
Accrued utility revenue | 500,100 | |||||||
Due from General Fund | 29,317 | |||||||
Interest receivable | 82,017 | |||||||
Total current assets | 2,694,906 | |||||||
Restricted assets: | ||||||||
Cash | 9,201 | |||||||
Capital assets: | ||||||||
Land | $ | 1,782,497 | ||||||
Buildings (net of $3,422,984 in accumulated depreciation) | 5,218,959 | |||||||
Machinery and equipment (net of $5,134,408 in accumulated depreciation) | 8,495,811 | |||||||
Total capital assets (net) | 15,497,267 | |||||||
Total Assets | 18,201,374 | |||||||
Liabilities | ||||||||
Current liabilities: | ||||||||
Accounts payable | 532,492 | |||||||
Interest payable | 131,883 | |||||||
Current portion of long-term debt | 408,000 | |||||||
Total current liabilities | 1,072,375 | |||||||
Liabilities payable from restricted assets: | ||||||||
Customer deposits | 9,201 | |||||||
Long-term liabilities: | ||||||||
Revenue bond payable | 11,832,000 | |||||||
Total Liabilities | 12,913,576 | |||||||
Net Position | ||||||||
Net investment in capital assets | 3,244,334 | |||||||
Unrestricted | 2,043,464 | |||||||
$ | 5,287,798 | |||||||
Following is the information of the Water Utility Fund for fiscal year 2023.
- The amount in the Accrued Utility Revenue account was reversed.
- Billings to customers for water usage during fiscal year 2023 totaled $2,860,657; $185,943 of the total was billed to the General Fund.
- Cash in the amount of $249,375 was received. The cash was for interest earned on investments and $78,650 in accrued interest.
- Expenses accrued for the period were management and administration, $345,681; maintenance and distribution, $660,944; and treatment plant, $666,830.
- Cash receipts for customer deposits totaled $2,331.
- Cash collections on customer accounts totaled $2,826,977, of which $201,243 was from the General Fund.
- Cash payments for the period were as follows: Accounts Payable, $1,404,740; interest (which includes the interest payable), $380,253; bond principal, $408,000; machinery and equipment, $595,097; and return of customer deposits, $928.
- A state grant amounting to $483,336 was received to help pay for new water treatment equipment.
- Accounts written off as uncollectible totaled $10,189.
- The utility fund transferred $814,064 in excess operating income to the General Fund.
- Adjusting entries for the period were recorded as follows: depreciation on buildings was $244,277 and on machinery and equipment was $366,415; the allowance for uncollectible accounts was increased by $15,177; an accrual for unbilled customer receivables was made for $712,392; accrued interest income was $16,129; and accrued interest expense was $62,494.
- The Revenue Bond Payable account was adjusted by $408,000 to record the current portion of the bond.
- Closing entries and necessary adjustments were made to the net position accounts.
- Prepare a statement of net position for the Water Utility Fund as of June 30, 2023.
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