The following transactions relate to Newport City's special revenue fund. 1. In 2020, Newport City created a special revenue fund to help fund the 911 emergency call center. The center is to be funded through a legally restricted tax on cellular phones. No budget is recorded. 2. During the first year of operations, revenues from the newly imposed tax totaled $525,000. Of this amount, $472,500 has been received in cash and the remainder will be received within 60 days of the end of the fiscal year. 3. Expenditures (salaries) incurred through the operation of the 911 emergency call center totaled $465,000. Of this amount, $434,775 was paid before year-end. 4. During the year the state government awarded Newport City a grant to reimburse the City's costs (not to exceed $177,000) for the purpose of training new 911 operators. During the year, the City paid $168,150 (not reflected in the expenditures above) to train new operators for the 911 emergency call center and billed the state government. 5. $155,150 of the amount billed to the State had been received by year-end. Required: a. Prepare the journal entries for the above transactions. It is not necessary to use control accounts and subsidiary ledgers. Prepare closing entries for year-end. b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the special revenue fund. c. Prepare a Balance Sheet assuming there are no committed or assigned net resources. Prepare a statement of Revenues, Expenditures, and Changes in Fund Balance for the special revenue fund. NEWPORT CITY 911 CALL CENTER SPECIAL REVENUE FUND Statement of Revenues, Expenditures, and Changes in Fund Balance For the Year Ended December 31, 2020 911 Emergency Services Revenues: Phone Taxes Receivable X $ 525,000 Intergovernmental Revenues 168,150 693,150 Total Revenues Expenditures: Current: 911 Operations 911 Training 465,000 168,150 Total Expenditures Excess of Revenues Over Expenditures Net Change in Fund Balance Fund Balance, January 1 Fund Balance, December 31 633,150 60,000 60,000 x 60,000 $ Prepare a Balance Sheet assuming there are no committed or assigned net resources. NEWPORT CITY 911 CALL CENTER SPECIAL REVENUE FUND Balance Sheet As of December 31, 2020 911 Emergency Services Assets: Cash Due from State Government Taxes Receivable x X $ 0 Total Assets Liabilities and Fund Balances Liabilities: Wages Payable Restricted Fund Balance Total Liabilities Fund Balances: x 60,000 60,000 0 Total Fund Balances Total Liabilities and Fund Balances $ 60,000