12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 1 Complete
Completed on Friday,
Mark684.00
December 2019, 11:07 PM
out of 92.00

ScenarioTime
and taken
General5Fund
days budgetary
9 hours journal entries
Marks 538.00/961.00
The scenario: Croton City maintains four governmental-type funds: a General Fund, a Library Special Revenue Fund, a Capital Projects Fund, and a
Grade 55.98 out of 100.00
Debt Service Fund.

Croton City started its calendar year 2019 with the following General Fund balances (all numbers are in thousands of dollars).
Debits Credits
Cash $1,800
Property taxes receivable 800
Salaries payable $700
Deferred property tax revenues 300
Unassigned fund balance - 1,600
Totals $2,600 $2,600

Croton has adopted the following budgetary and accounting policies:

Encumbrance accounting is used only for the acquisition of supplies and for the award of contracts for construction and construction-related
activities. Open encumbrances lapse at the end of the year, but are considered in developing the next year's budget.
Because final income tax returns are not required to be filed until April 15 of the year following the end of a calendar year, "available" for income
taxes is defined as taxes expected to be collected within 120 days after the end of the calendar year.
Croton allows its employees to accumulate unused vacation days and to receive cash for up to 30 days of unused vacation leave at retirement. Such
payments are charged to the department’s appropriation for salaries.
All revenues received by the library from fines, donations, and fundraising events are credited to Revenues—miscellaneous.

General Fund budgetary journal entries: Prepare journal entries to record the following budgetary transactions applicable to the General Fund. Also,
prepare an appropriations ledger for the Public safety supplies appropriation. (Because you will need to prepare trial balances for each of the funds
for Part D of this problem, it is suggested that you post the opening trial balance and the journal entries to general ledger T accounts.)

1. The Croton council adopted the following General Fund budget for 2019:

Revenues—property taxes $9,000

Revenues—personal income taxes 5,000
Revenues—intergovernmental 1,000
Revenues—recreation fees 600
Appropriations:
Public safety salaries 7,000
Public safety supplies 500
Public works salaries 5,000
Parks salaries 2,300
Transfer to Library Fund 100
Transfer to Debt Service Fund 1,200

2. Croton's Public Safety Department placed two purchase orders against its supplies appropriation, one for $300 for firearms and one for $150 for
uniforms.
3. The firearms were received, with an invoice for $330. The purchase order allowed shipment of 10 percent over the amount ordered, so the
invoice was approved.
4. The invoice for firearms was paid.
5. The Croton Cats won the World Series. To provide more funds for crowd control at the parade, the council increased the Public safety salaries
appropriation by $100.

NOTE: Not all of the journal entry rows are needed to record the budget in Ref. 1.  Select "No entry" as your answer and leave the Debit and Credit
answers blank (zero) for any rows that are not needed.

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12/6/2019 Continuing Problem Semester Project!

Ref. Description Debit Credit

1 Estimated revenues – property taxes 9,000 0
Estimated revenues – personal incom 5,000 0
Estimated revenues – intergovernme 1,000 0
Estimated revenues – recreation fees 600 0
No entry 0 0
No entry 0 0
Budgetary fund balance 500 0
No entry 0 0
Appropriations – public safety salar 0 7,000
Appropriations – public safety supp 0 500
Appropriations – public works salar 0 5,000
Appropriations – parks salaries 0 2,300
Appropriations – transfer to Library 0 100
Appropriations – transfer to Debt S 0 1,200
2 Encumbrances 450 0
Budgetary fund balance reserved fo 0 450
3a Budgetary fund balance reserved for 450 0
Encumbrances 0 0
To reserve encumbrances.
3b Expenditures – public safety supplies 330 0
Vouchers payable 0 330
To record expenditure.
4 Vouchers payable 330 0
Cash 0 330
5 Budgetary fund balance 100 0
Appropriations – public safety salar 0 100

Appropriations Ledger
Appropriation: Public Safety Supplies
Appropriation Encumbrances Expenditures Available
Item Cr. Dr. Cr. Dr. Appropriation
1 15,600 0 0 0 15,600
2 0 450 0 0 15,150
3a 0 0 450 0 15,600
3b 0 0 0 330 15,270

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 2 Complete
Completed on Friday,
Mark694.00
December 2019, 11:07 PM
out of 110.00
Time taken
Journal entries 5 days Fund
for General 9 hours
financial transactions for Croton City 
Marks 538.00/961.00
Prepare journal entries,
Grade as out
55.98 appropriate,
of 100.00 to record these transactions. (We suggest you post the journal entries to general ledger T-accounts.)
Note: The Croton City continuing problem is introduced in Chapter 3 on page 3-32. You should review the scenario in Chapter 3 before
preparing the journal entries for the General Fund in this chapter.
1. Of the $800 in property taxes receivable at January 1, $780 was collected in cash. The remaining $20 was written off as uncollectible. Deferred
property taxes at the beginning of the year were recognized as revenue ($300).
2. Accrued salaries from the previous year ($700) were paid.
3. Property taxes in the amount of $9,030 were levied in order to provide revenues of $9,000. Tax bills were sent to the property owners. An
allowance for uncollectible taxes was established.
4. During the year, property taxes of $8,100 were collected in cash.
5. The state collects personal income taxes on behalf of the city. During the year, Croton received personal income taxes of $4,600 from the state. 
6. The Parks Department collected $700 in recreation fees during the year.
7. Croton paid salaries of $13,600, charging the salary appropriations as follows: 
Public safety   $6,700
Public works     4700
Parks                  2,200
8. The state sent the city a check for $1,000 to finance a special public safety program, stipulating that the resources could be used at any time
during 2019 or 2020. The $6,700 in public safety salaries paid in the previous transaction includes $800 of salaries for this program, so $200
remains available for spending on the program in 2020.
9. Unpaid salaries at year-end (to be paid during the first week of 2020) were as follows:
Public safety    $350
Public works      250
Parks                  100
10. At year-end, the uncollected property taxes were declared delinquent. The existing allowance for uncollectible taxes is reclassified to delinquent.
Croton’s director of finance estimated that $500 of the uncollected taxes would be collected in January and February 2020 and $400 would be
collected during the rest of 2020.
11. In January 2020, the state advised Croton that the state held $500 in personal income taxes on the city’s behalf and that it would send the taxes
to Croton by February 10. It also told Croton that it was likely that, by April 30, Croton would receive an additional $200 of taxes with final
returns, but that tax refunds would probably be $300. (Remember that “available” for income taxes is defined as taxes expected to be collected
within 120 days after the end of the calendar year.)
12. Police officers who retired at the end of 2019 will be paid $10 for unused vacation pay on January 6, 2020

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12/6/2019 Continuing Problem Semester Project!

Ref. Description Debit Credit

1 Cash 780 0
Allowance for uncollectible taxes 20 0
Revenues – property taxes 0 800
To record receipt of cash and write-off of uncollectible receivable.
Deferred property tax revenues 300 0
Revenues – property taxes 0 300
To recognize previously deferred property tax revenues.
2 Salaries payable 700 0
Cash 0 700
3 Property taxes receivable 9,030 0
Revenues - property taxes 0 9,000
Allowance for uncollectible taxes 0 30
4 Cash 8,100 0
Property taxes receivable 0 8,100
5 Cash 4,600 0
Revenues – personal income taxes 0 4,600
6 Cash 700 0
Revenues – recreation fees 0 700
7 Expenditures - public saftey salaries 6,700 0
Expenditures - public works salaries 4,700 0
Expenditures – parks salaries 2,200 0
Cash 13,600 0
8 Cash 200 0
Revenues – intergovernmental grants 0 200
9 Expenditures - public safety salaries 350 0
Expenditures - public works salaries 250 0
Expenditures – parks salaries 100 0
Salaries payable 0 700
10 Allowance for uncollectible taxes 900 0
Property taxes receivable 0 900
To record delinquent property tax receivables.
Allowance for uncollectible taxes 500 0
Deferred property tax revenues 0 500
To record allowance account to delinquent.
Allowance for uncollectible taxes – delinquent 400 0
Property taxes receivable – delinquent 0 400
To defer taxes expected to be collected more than 60 days after end of 2019.
11 Income taxes receivable 500 0
Revenues – personal income taxes 0 500
To accrue taxes applicable to 2019, to be received in 2020.
Income taxes receivable 200 0
Revenues – personal income taxes 100 0
Income tax refunds payable 0 300
To accrue estimated taxes receivable and refunds payable applicable to 2019.
12 Accrued vacation pay payable 10 0
Expenditures – public safety salaries 0 10

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 3 Complete
Completed on Friday,
Mark637.00
December 2019, 11:07 PM
out of 37.00
Time taken
Journal entries 5 daysRevenue
for Special 9 hours Fund transactions
Marks 538.00/961.00
The Library Special Revenue Fund commenced calendar year 2019 with a cash balance of $5, no liabilities, and a restricted fund balance of $5.
Grade 55.98 out of 100.00
Prepare journal entries to record these transactions in the Library Special Revenue Fund and, where appropriate, in the General Fund. (We suggest
you post opening balances and the journal entries to general ledger T-accounts.)
1. The General Fund transferred $100 cash to the Library Special Revenue Fund to help the library finance its activities for the year.
2. The library received a grant of $300 from the county. The grant must be used only for library purposes, but there is no requirement as to when it
must be spent.
3. The library received $20 from fines, donations, and various fundraising events.
4. The library paid $350 for salaries and $40 to acquire books and periodicals. Charge the Expenditures—culture salaries and Expenditures—
culture supplies accounts, respectively.

Note: In the Fund column, select the appropriate fund in which the journal entry is recorded (General Fund: GF or Library Special Revenue Fund:
LSRF).
Ref. Fund Description Debit Credit
1 GF Transfer out to Library Special Reve 100 0
Cash 0 100
To record transfer out to Library Special Revenue Fund.
LSRF Cash 100 0
Transfer in from General Fund 0 100
To record receipt of transfer funds.
2 LSRF Cash 300 0
Revenues - intergovernmental gr 0 300
3 LSRF Cash 20 0
Revenues - miscellaneous 0 20
4 LSRF Expenditures - culture salaries 350 0
Expenditures - culture supplies 40 0
Cash 0 390

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 4 Complete
Completed on Friday,
Mark660.00
December 2019, 11:07 PM
out of 68.00
Time taken
Journal entries 5 daysProjects
for Capital 9 hours Fund transactions
Marks 538.00/961.00
At the start of 2019, Croton’s Capital Projects Fund had no assets or liabilities. Prepare appropriate journal entries to record these transactions in the
Grade 55.98 out of 100.00
Capital Projects Fund. (We suggest you post the journal entries to general ledger T-accounts.)
1. Croton undertook construction of a new police station, designed to house both the Croton police and the county sheriff and to serve as a
detention center. To finance construction, Croton received a cash grant of $1,000 from the county as an advance pending incurrence of
expenditures. It also sold $2,000 of 20-year general obligation bonds. The bonds, sold April 1, 2019, were to be redeemed in equal semiannual
installments of principal, with interest on the unpaid balance at the rate of 5 percent per annum, starting October 1, 2019.
2. Croton awarded two contracts, one for architectural and construction supervision services ($200) and one for construction ($2,800).
3. The construction contract was completed in a timely manner, and the contractor submitted an invoice for $2,800. The invoice was paid, except
that 5 percent was withheld, pending completion of inspection.
4. All construction and construction supervision work was completed. The construction architect/supervisor was paid in full, and the contractor
was paid the balance due.

Ref. Description Debit Credit

1 Cash 1,000 0
Advance on construction grant 0 1,000
To record receipt of advance on county grant.
Cash 2,000 0
Other financing source – long-term 0 2,000
To record proceeds from bond issue.
2 Encumbrances 3,000 0
Budgetary fund balance reserved fo 0 3,000
3 Budgetary fund balance reserved for 2,800 0
Encumbrances 0 2,800
To reverse encumbrance for construction contact.
Expenditures – construction costs 2,800 0
Retainage payable 0 140
Construction contracts payable 0 2,660
To record construction expenditures and liabilities.
Cash 2,660 0
Construction contracts payable 0 2,660
To record payment of amount currently due contractor.
Advance on construction grant 1,000 0
Revenues – intergovernmental gran 0 1,000
To record recognition of revenues on grant.
4 Budgetary fund balance reserved for 200 0
Encumbrances 0 200
To reverse encumbrance for supervision contract.
Cash 140 0
Retainage payable 0 140
To record payment of retainage after approval of all work.
Vouchers payable 200 0
Expenditures – architect/supervisio 0 200
To record liability for supervision fees.
Cash 200 0
Vouchers payable 0 200
To record payment to construction supervisor.

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 5 Complete
Completed on Friday,
Mark646.00
December 2019, 11:07 PM
out of 54.00
Time taken
Journal entries 5 days
for Debt 9 hours
Service Fund transactions
Marks 538.00/961.00
At the start of 2019, Croton’s Debt Service Fund had no assets or liabilities. Prepare appropriate journal entries to record these transactions in the
Grade 55.98 out of 100.00
Debt Service Fund and where appropriate, in the General Fund. (We suggest you post opening balances and the journal entries to general ledger T-
accounts.)
1. The General Fund transferred $1,200 cash to the Debt Service Fund.
2. The first installment of principal and interest on the bonds sold in Part C (1) came due for payment.
3. The principal and interest due for payment were paid.
4. Debt service on bonds sold by Croton in previous years came due and was paid. Principal and interest payments on those bonds were $600 and
$470, respectively.

Note: In the Fund column, select the appropriate fund in which the journal entry is recorded (General Fund: GF or Debt Service Fund: DSF).
Ref. Fund Description Debit Credit
1 GF Transfer out to Debt Service 1,200 0
Cash 0 1,200
To record transfer out to Debt Service Fund.
DSF Cash 1,200 0
Transfer in from General F 0 1,200
To record receipt of transfer funds.
2 DSF Expenditures - interest 0 0
Expenditures - bond princip 0 0
Matured interest payable 0 0
Mature bond principal pay 0 0
3 DSF Matured interest payable 0 0
Mature bond principal paya 0 0
Cash 0 0
4 DSF Expenditures - interest 470 0
Expenditures - bond princip 600 0
Matured interest payable 0 470
Mature bond principal pay 0 600
To record maturing of debt service.
DSF Matured interest payable 470 0
Mature bond principal paya 600 0
Cash 0 10,700
To record payment of debt service.

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 6 Complete
Completed on Friday,
Mark6144.00
December 2019, 11:07 PM
out of 359.00
Timeof
Preparation taken 5 days 9 hours
fund financial statements and schedules 
Marks 538.00/961.00
Prepare preclosing trial balances for all funds. Prepare a governmental funds balance sheet; a governmental funds statement of revenues,
Grade 55.98 out of 100.00
expenditures, and changes in fund balances; and a General Fund budgetary comparison schedule. Consider all funds as major funds for this exercise,
and classify the fund balance for the Debt Service Fund as Assigned fund balance. In addition, make calculations to determine which of the funds
would be considered as nonmajor if Croton had not considered all of them to be major.
Preclosing Trial Balance for Croton City
General Fund
December 31, 2019
Debits Credits
Budgetary Accounts
Estimated revenues – property taxes 9,000 0
Estimated revenues – personal income taxes 5,000 0
Estimated revenues – intergovernmental 1,000 0
Estimated revenues – recreation fees 600 0
Budgetary fund balance 500 0
Appropriations – public safety salaries 0 7,000
Appropriations – public safety supplies 0 500
Appropriations – public works salaries 0 5,000
Appropriations – parks salaries 0 2,300
Appropriations – transfer to Library Fund 0 100
Appropriations – transfer to Debt Service Fund 0 1,200
Encumbrances 0 0
Budgetary fund balance reserved for encumbrances 0 0
Financial Accounts
Cash 0 0
Property taxes receivable – delinquent 0 0
Income taxes receivable 0 0
Allowance for uncollectible property taxes – delinquent 0 0
Income tax refunds payable 0 0
Salaries payable 0 0
Accrued vacation pay payable 0 0
Deferred property tax revenues 0 0
Unassigned fund balance 0 0
Revenues – property taxes 0 0
Revenues – personal income taxes 0 0
Revenues – intergovernmental 0 0
Revenues – recreation fees 0 0
Expenditures – public safety salaries 0 0
Expenditures – public safety supplies 0 0
Expenditures – public works salaries 0 0
Expenditures – parks salaries 0 0
Transfer out to Library Special Revenue Fund 0 0
Transfer out to Debt Service Fund 0 0
Totals $ 0 $ 0

Preclosing Trial Balance for Croton City

Library Special Revenue Fund
December 31, 2019
Debits Credits
Cash 30 0
Restricted fund balance 0 0
Transfer in from General Fund 0 100
Revenues - intergovernmental grant 0 0
Revenues - miscellaneous 0 0
Expenditures - culture salaries 0 0
Expenditures - culture supplies 0 0
Totals $ 0 $ 0

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12/6/2019 Continuing Problem Semester Project!

Preclosing Trial Balance for Croton City

Capital Projects Fund
December 31, 2019
Debits Credits
Revenues - intergovernmental grants 0 0
Other financing source – long-term debt issued 0 0
Expenditures - construction costs 0 0
Expenditures - architect/supervision fees 0 0
Totals $ 0 $ 0

Preclosing Trial Balance for Croton City

Debt Service Fund
December 31, 2019
Debits Credits
Cash 0 0
Transfer in from General Fund 0 0
Expenditures - interest 0 0
Expenditures - bond principal 0 0
Totals $ 0 $ 0

Croton City
Governmental Funds
Balance Sheet
December 31, 2019
Library Total
Special Debit Capital Governmental
General Revenue Service Projects Funds
Assets
Cash $ 0 $ 0 $ 0 $ 0 $ 0
Receivables:
Property taxes - delinquent (net) 0 0 0 0 0
Personal income taxes 0 0 0 0 0
Total assets $ 0 $ 0 $ 0 $ 0 $ 0
Liabilities
Salaries payable $ 0 $ 0 $ 0 $ 0 $ 0
Income tax refunds payable 0 0 0 0 0
Accrued vacation pay payable 0 0 0 0 0
Total liabilities 0 0 0 0 0
Deferred inflows of resources
Deferred revenues 0 0 0 0 0
Fund balances
Restricted 0 0 0 0 0
Assigned 0 0 0 0 0
Unassigned 0 0 0 0 0
Total fund balances 0 0 0 0 0
Total liabilities balancesresources and fund balances $ 0 $ 0 $ 0 $ 0 $ 0

NOTE: Only use a negative sign with answers to indicate a deficiency of revenues over expenditures, other financing uses, and a decrease in net
change in fund balances.

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12/6/2019 Continuing Problem Semester Project!

Croton City
Governmental Funds
Statement of Revenues, Expenditures, and Changes in Fund Balances
For the Year Ended December 31, 2019
Library Total
Special Debt Capital Governmental
General Revenue Service Projects Funds
Revenues:
Property taxes $ 0 $ 0 $ 0 $ 0 $ 0
Personal income taxes 0 0 0 0 0
Intergovermental 0 0 0 0 0
Recreation fees 0 0 0 0 0
Miscellaneous 0 0 0 0 0
Total revenues 0 0 0 0 0
Expenditures:
Current:
Public Saftey 0 0 0 0 0
Public works 0 0 0 0 0
Parks 0 0 0 0 0
Culture 0 0 0 0 0
Capital outlay 0 0 0 0 0
Debt service:
Principal retirement 0 0 0 0 0
Interest 0 0 0 0 0
Total expenditures 0 0 0 0 0
Excess (deficiency) of
revenues over expenditures 0 0 0 0 0
Other financing sources (uses):
Proceeds of long-term debt 0 0 0 0 0
Transfers in 0 0 0 0 0
Transfers out 0 0 0 0 0
Total other financing sources (uses) 0 0 0 0 0
Net change in fund balances 0 0 0 0 0
Fund balances - beginning 0 0 0 0 0
Fund balances - end $ 0 $ 0 $ 0 $ 0 $ 0

NOTE: Only use a negative sign with answers for other financing uses (and transfers); and to indicate a decrease in net change in fund balances or an
unfavorable variance.
Croton City
General Fund
Budgetary Comparison Schedule
For the Year Ended December 31, 2019
Budget
Original Final Actual Variance
Revenues:
Property taxes $ 0 $ 0 $ 0 $ 0
Personal income taxes 0 0 0 0
Intergovermental 0 0 0 0
Recreation fees 0 0 0 0
Total revenues 0 0 0 0
Expenditures:
Public safety salaries 0 0 0 0
Public safety supplies 0 0 0 0
Public works salaries 0 0 0 0
Parks salaries 0 0 0 0
Total expenditures 0 0 0 0
Excess of revenues
over expenditures 0 0 0 0
Other financing uses:
Transfer to Library Fund 0 0 0 0
Transfer to Debt Service Fund 0 0 0 0
Total other financing uses 0 0 0 0
Net change in fund balance 0 0 0 0
Fund balance, beginning 0 0 0 0
Fund balance, end $ 0 $ 0 $ 0 $ 0

Make the calculations to determine which of the funds would be considered as major and nonmajor had Croton not considered all of them to be
major.

Round answers to the nearest whole number.

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12/6/2019 Continuing Problem Semester Project!

Total
Governmental 10% of
Funds Total
Assets $ 0 $ 0
Liabilities 0 0
Revenues 0 0
Expenditures 0 0

Based on the above analysis, what funds would be classified as major funds:

General Fund only

General Fund and Capital Projects fund

Capital Projects Fund and Library Special Revenue Fund

General Fund, Library Special Revenue Fund, and Capital Projects Fund

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12/6/2019 Continuing Problem Semester Project!

Started on Sunday, 1 December 2019, 1:21 PM

State Finished
Question 7 Complete
Completed on Friday,
Mark673.00
December 2019, 11:07 PM
out of 241.00
Time
Preparation oftaken
journal 5 days 9for
entries hours
government-wide financial statements and preparation of government-wide financial statements
Marks 538.00/961.00
The following additional information is furnished to complete this part of the problem.
Grade 55.98 out of 100.00
1. Croton has no activities other than governmental activities. The city’s government-wide statement of net position for the year ended December
31, 2018, showed general capital assets of $14,000 and related accumulated depreciation of $6,400.
2. Depreciation expense on Croton’s general capital assets for 2019 (including assets acquired in 2019) was $700, all of which was applicable to
public safety.
3. The city’s government-wide statement of net position for the year ended December 31, 2018, showed bonds payable of $5,500. All the debt had
been issued to finance capital assets. Analysis of Croton’s debt service requirements showed that $700 of the total bonds payable as of
December 31, 2019, should be reported as current because it is due to be paid during 2020.
4. The city’s government-wide statement of net position for the year ended December 31, 2018, showed accrued interest payable of $120 on its
outstanding long-term debt. Analysis of the city’s debt service requirements showed accrued interest payable of $135 on all outstanding long-
term debt as of December 31, 2019, including the debt sold by the city during 2019.
5. Croton’s government-wide statement of net position for the year ended December 31, 2018, showed accrued vacation pay of $75. Vacation
leave records showed that, as of December 31, 2019, accumulated vacation leave had increased to $87, exclusive of the $10 due to be paid to
retired police officers early in 2020. (Assume vacation leave applies only to the public safety function.)

Use the preceding information to do the following:

a. Prepare journal entries needed to convert the governmental funds financial statements to the governmental activities columns of the government-
wide financial statements. Review and make adjustments for journal entries made in Chapter 5 and Chapter 6 portions of this problem for revenues
—property taxes; deferred property tax revenue; other financing sources—long-term debt issued; expenditures—capital outlay; expenditures—
bond principal; and transfers in and out. Then, record journal entries for 1 through 5 above. Post the journal entries to a six-column worksheet
similar to that shown in Table 10-8.

NOTE: The reference (Ref.) letters next to each journal entry are only provided to help you complete the worksheet that immediately follows.

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12/6/2019 Continuing Problem Semester Project!

Ref. Description Debit Credit

a. 0 0
0 0
To adjust for beginning-of-year deferred revenues recognized as revenue in fund statements.
b. 0 0
0 0
To record 2019 property tax revenues on the accrual basis of accounting.
c. 0 0
0 0
To record bonds payable and reduce financing source
d. 0 0
0 0
To record capital assets and reduce expenditures
e. 0 0
0 0
To record reduction of bonds payable and reduce expenditures
f. 0 0
0 0
To eliminate interfund transfers amoung governmental-type funds
g. 0 0
0 0
Net position 0 0
To record beginning of-year balances (see item #1 described above).
h. 0 0
0 0
To record depreciation expense for 2019 (noted above in item #2).
i. 0 0
0 0
To record beginning-of-year balance (see item #3 described above).
j. 0 0
0 0
To record beginning of year balance (see item #4 described above).
k. 0 0
0 0
To record increase in interest payable over beginning of year balance
l. 0 0
0 0
To record beginning of year balance (see item #5 described above).
m. 0 0
0 0
To record increase in vacation pay accrual over beginning of year balance

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12/6/2019 Continuing Problem Semester Project!

Worksheet for government-wide statements

(in thousands of dollars)
Aggregated Balance
Fund Statements Adjustments Adjusted Balance
Debit Credit Debit Credit Debit Credit
Cash 1,115 0 0
Property taxes receivable-delinquent 930 0 0
Personal income taxes receivable 700 0 0
Allowance for uncollectible taxes-del. 30 0 0
Salaries payable 700 0 0
Income tax refunds payable 300 0 0
Accrued vacation pay payable 10 0 l. 0 0
0 m.
Deferred propety tax revenues 400 b. 0 0 0
Fund balances 1,605 0 0
Revenues - property taxes 8,880 a. 0 0 b. 0 0
Revenues - personal income taxes 5,000 0 0
Revenues - intergovernmental 2,300 0 0
Revenues - recreation fees 700 0 0
Revenues - miscellaneous 20 0 0
Expenditures - public safety 7,390 m. 0 0 0
Expenditures - public works 4,950 0 0
Expenditures - parks 2,300 0 0
Expenditures - culture 390 0 0
Expenditures - construction costs 3,000 0 d. 0 0
Expenditures - bond principal 650 0 e. 0 0
Expenditures - interest 520 k. 0 0 0
Tranfers out 1,300 0 f. 0 0
Transfers in 1,300 f. 0 0 0
Other financing source - long-term debt - 2,000 c. 0 0 0
$23,245 $23,245
Net position i. 0 0 a. 0 0
j. 0 0 g.
l. 0
Bonds payable e. 0 0 c. 0 0
0 i.
Capital assets d. 0 0 0
g. 0
Accumulated depreciation 0 g. 0 0
0 h.
Depreciation expense - public safety h. 0 0 0
Accrued interest payable 0 j. 0 0
- 0 k.
$ 0 $ 0 $ 0 $ 0

b. Prepare Croton City’s government-wide financial statements—a statement of net position and a statement of activities.
NOTE: Do not use negative signs with any of your answers below.

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12/6/2019 Continuing Problem Semester Project!

Croton City
Statment of Net Position
December 31, 2019
($ in 000)
Governmental
Activites
Assets
Current assets:
Cash $ 0
Property taxes receivable - delinquent (net) 0
Personal income taxes receivable 0
Total current assets 0
Noncurrent assets:
Capital assets 0
Less, accumulated depreciation 0
Total noncurrent assets 0
Total assets 0
Liabilities
Current Liabilities:
Salaries payable 0
Income tax refunds payable 0
Interest payable 0
Vacation pay payable 0
Current portion of bonds payable 0
Total current liabilities 0
Noncurrent liabilities:
Noncurrent portion of bonds payable 0
Accrued vacation pay 0
Total noncurrent liabilities 0
Total liabilities 0
Net position
Invested in capital assets, net of related debt 0
Restricted for intergovernmental grants 0
Unrestricted 0
Total net position $ 0

NOTE: Use a negative sign with your answers to indicate a "net expense" in the last column.
Croton City
Statement of Activites
Year Ended December 31, 2019
Net (Expense)
Program Revenues Revenues
Charges Operating Capital Changes
Functions: Expenses For Service Grants Grants Net Position
Governmental Activities
Public safety $ 0 $ 0 $ 0 $ 0 $ 0
Public works 0 0 0 0 0
Parks 0 0 0 0 0
Culture 0 0 0 0 0
Interest on long-term debt 0 0 0 0 0
Total governmental activities $ 0 $ 0 $ 0 $ 0 $ 0
General revenues:
Property taxes 0
Personal income taxes 0
Total revenues 0
Change in net position 0
Net position - beginning of year 0
Net position - end of year $ 0

c. Prepare Croton’s financial statement reconciliations—the funds balance sheet to the government-wide statement of net position and the funds
statement of revenues, expenditures, and changes in fund balances to the government-wide statement of activities.

NOTE: Use a negative sign with your answer to indicate a reduction in the reconciliation process.

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12/6/2019 Continuing Problem Semester Project!

Reconciliation of funds balance sheet to government-wide statement of net position ($ in 000)

Total fund balance, fund balance sheet $ 0
Amounts reported in statement of net position are different because:
Capital assets used in governmental activities are not financial resources and
therefore are not reported in the funds 0
Bonds payable are not due and payable in the current period and therefore are
not reported in the funds 0
A portion of the revenues is not available to pay for current period expenditures
and therefore is deferred in the funds 0
Certain expenses (interest, vacation pay) are not due and payable in the current period
and therefore are not reported as fund liabilities 0
Net position of governmental activities $ 0

NOTE: Use a negative sign with your answer to indicate a reduction in the reconciliation process.
Reconciliation of funds statement of revenues, e
government-wide stateme
Net change in fund balances
Amounts reported in statement of activities are different becasues:
Governmental funds report capital outlays as expenditures. In the statementof activities, the costs of capital assets are allocated over their useful lives as depreciation. The amou
Bond proceeds provide current financial resources and debt repayments areexpenditures in governmental funds. Issuing debt increases liabilities and repaying debt decreases th
Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds. This is the amount by which property tax revenu
Some expenses reported in the statement of activities do not require the useofcurrent financial resources and therefore are not reported as expendituresin thegovernmental fun
Change in net posititon of governmental activities.

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