The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2017 Beginning balances were Cash, $95,000 Taxes Receivable, $192,500 Accounts Payable, $53,750 and Fund Balance, $233,750 The budget was passed Estimated revenues amounted to $1,250,000 and appropriations totaled $1,247,000 All expenditures are classified as General Government Property taxes were levied in the amount of $925,000 All of the taxes are expected to be collected before February 2018 Cash receipts totaled $895,000 for property taxes and $302,500 from other revenue Contracts were issued for contracted services in the amount of $98,750 Contracted services were performed relating to $88,500 of the contracts with invoices amounting to $86,500 Other expenditures amounted to $972,500 Accounts payable were paid in the amount of $1,107,500 The books were closed Required a Prepare journal entries for the above transactions b Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund c Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding encumbrances are committed by contractual obligation

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Aug 27, 2024

The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2017: Beginning balances were: Cash,

The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2017:

Beginning balances were: Cash, $95,000; Taxes Receivable, $192,500; Accounts Payable, $53,750; and Fund Balance, $233,750.
The budget was passed. Estimated revenues amounted to $1,250,000 and appropriations totaled $1,247,000. All expenditures are classified as General Government.
Property taxes were levied in the amount of $925,000. All of the taxes are expected to be collected before February 2018.
Cash receipts totaled $895,000 for property taxes and $302,500 from other revenue.
Contracts were issued for contracted services in the amount of $98,750.
Contracted services were performed relating to $88,500 of the contracts with invoices amounting to $86,500.
Other expenditures amounted to $972,500.
Accounts payable were paid in the amount of $1,107,500.
The books were closed.

Required: a. Prepare journal entries for the above transactions. b. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund. c. Prepare a Balance Sheet for the General Fund assuming there are no restricted or assigned net resources and outstanding encumbrances are committed by contractual obligation.