The transactions that follow relate to the Danville County Comptrollers Department over a twoyear period.

Year 1

The county appropriated $12,000 for employee education and training.

The department signed contracts with outside consultants to conduct accounting and auditing workshops. Total cost was $10,000.

The consultants conducted the workshops and were paid $10,000.

The department ordered books and training materials, which it estimated would cost $1,800. As of yearend, the materials had not been received.

Year 2

The county appropriated $13,500 for employee education and training.

The department received and paid for the books and training materials that it ordered the previous year. Actual cost was only $1,700. The countys accounting policies require that the books and training materials be charged as an expenditure when they are received (as opposed to being recorded as inventory and charged as an expenditure when used).

It authorized employees to attend various conferences and training sessions. Estimated cost was $10,500.

Employees submitted $10,800 in reimbursement requests for the conferences and training sessions they attended. The department paid them the requested amounts and at yearend did not expect to receive any additional reimbursement requests.

4. Assume instead that appropriations for goods on order at yearend do not lapse. When the goods are received they are charged as expenditures against the budget of the year in which they were encumbered. How would this change affect your entries and the yearend financial statements? How would it affect the amount that the department had available to spend in Year 2 on goods or services not previously ordered?

I just need part 4 answer.