The schedule of capital assets has a significant impact on the reconciliations between fund and governmentwide statements.

The schedule that follows pertaining to governmental capital assets was excerpted from the annual report of Urbana, Illinois (with changed dates):

A related schedule indicates the following:

Capital outlays	$ 3,358,611
Depreciation	(2,268,579)
	$ 1,090,032

1. As required by GASB Statement No. 34, the annual report includes reconciliations between: (1) total fund balance, governmental funds (per the funds statements), and net position of governmental activities (per the governmentwide statements); and (2) net change in fund balance, governmental funds (per the funds statements), and change in net position of governmental activities (per the governmentwide statements). In what way would the data provided in the accompanying schedules be incorporated into the two reconciliations? Be specific.
2. The amount deleted from the equipment account ($452,194) exactly equals the amount deleted from the related accumulated depreciation account. Is this merely a coincidence? Would the amounts always be the same?
3. Based simply on the amount of equipment retired, what would you estimate to be the average useful life of the equipment? Is this reasonable?

   	Balance June 30, 2020	Additions	Deletions	Balance June 30, 2021
   Land (not depreciated)	$2,843,487	$ 128,528		$2,972,015
   Capital assets being depreciated:
   Buildings and improvements	8,956,049	188,399		9,144,448
   Accumulated depreciation	(1,991,173)	(159,402)		(2,150,575)
   Buildings and improvements (net)	6,964,876	28,997		6,993,873
   Equipment	7,760,379	1,123,568	$ 452,194	8,431,753
   Accumulated depreciation	(3,775,555)	(904,509)	(452,194)	(4,227,870)
   Equipment (net)	3,984,824	219,059		4,203,883
   Infrastructure	39,983,947	1,918,116		41,902,063
   Accumulated depreciation	(8,935,986)	(1,204,668)		(10,140,654)
   Infrastructure (net)	31,047,961	713,448		31,761,409
   Total, governmental activities	$44,841,148	$1,090,032		$45,931,180