The following transactions occurred during the 2020 fiscal year for the City of Evergreen. For budgetary purposes, the city reports encumbrances in the Expenditures section of its budgetary comparison schedule for the General Fund but excludes expenditures chargeable to a prior year’s appropriation.

1. The budget prepared for the fiscal year 2020 was as follows:

Estimated Revenues:
Taxes	$	2,034,000
Licenses and permits		385,000
Intergovernmental revenue		410,000
Miscellaneous revenues		75,000
Total estimated revenues		2,904,000
Appropriations:
General government		498,300
Public safety		913,300
Public works		677,300
Health and welfare		627,300
Miscellaneous		99,000
Total appropriations		2,815,200
Budgeted increase in fund balance	$	88,800

2. Encumbrances issued against the appropriations during the year were as follows:

General government	$	71,000
Public safety		263,000
Public works		405,000
Health and welfare		172,870
Miscellaneous		84,000
Total	$	995,870

3. The current year’s tax levy of $2,107,700 was recorded; uncollectibles were estimated as $78,000

4. Tax collections of the current year’s levy totaled $1,472,000. The City also collected $145,000 in taxes from the prior year’s levy in the first 60 days after year end. (These delinquent collections had been anticipated prior to year-end.)

5. Personnel costs during the year were charged to the following appropriations in the amounts indicated. Encumbrances were not recorded for personnel costs. Because no liabilities currently exist for withholdings, you may ignore any FICA or federal or state income tax withholdings. (Expenditures charged to Miscellaneous should be treated as General Government expenses in the governmental activities general journal at the government-wide level.)

General government	$	424,000
Public safety		648,000
Public works		267,000
Health and welfare		452,000
Miscellaneous		12,400
Credit to Vouchers Payable	$	1,803,400

6. Invoices for all items ordered during the prior year were received and approved for payment in the amount of $14,730. Encumbrances had been recorded in the prior year for these items in the amount of $14,130. The amount chargeable to each year’s appropriations should be charged to the Public Safety appropriation.

7. Invoices were received and approved for payment for items ordered in documents recorded as encumbrances in Transaction (2) of this problem. The following appropriations were affected.

	Actual Liability				Estimated Liability
General government	$	65,700			$	65,200
Public safety		249,200				253,900
Public works		373,000				370,000
Health and welfare		143,600				143,100
Miscellaneous		84,000				84,000
	$	915,500			$	916,200

8. Revenue other than taxes collected during the year consisted of licenses and permits, $387,300; intergovernmental revenue, $414,300; and $80,300 of miscellaneous revenues. For purposes of accounting for these revenues at the government-wide level, the intergovernmental revenues were operating grants and contributions for the Public Safety function. Miscellaneous revenues are not identifiable with any function and, therefore, are recorded as General Revenues at the government-wide level.

9. Payments on Vouchers Payable totaled $2,518,000.

Additional information follows: The General Fund Fund Balance—Unassigned account had a credit balance of $109,900 as of December 31, 2019; no entries have been made in the Fund Balance—Unassigned account during 2020.

Required

1. a-1. Prepare general journal for the fiscal year 2020 for the General Fund and for governmental activities.

 

Fund / Governmental Activties Transaction 1. Record the budget estimates and appropriations. 1 General Fund Governmental Activities General Journal Debit Credit