F. Miscellaneous
________ 1. Capital grant received by a city from a state
________ 2. Property tax levied by city
________ 3. Library use fees
________ 4. Building permit
80) The Fort Worth city council approved and adopted its fiscal year budget. The budget for the
General Fund contained the following amounts:
Estimated revenues
$
1,900,000
Appropriations
1,860,000
Authorized transfer to the debt service fund
30,000
When the General Fund budget for the fiscal year is recorded, indicate whether each of the
following accounts should be debited (D), credited (C), or is not affected (N).
________ 1. Estimated revenues
________ 2. Budgetary Fund balance
________ 3. Appropriations
________ 4. Estimated other financing uses
________ 5. Expenditures
81) At the time items for which purchase orders had previously been issued are received, indicate
whether each of the following accounts of the General Fund should be debited (D), credited (C), or
is not affected (N).
________ 1. Encumbrances
________ 2. Encumbrances Outstanding
________ 3. Expenditures
________ 4. Vouchers payable
________ 5. Appropriations
82) Indicate whether the following revenues should be classified as program revenues or general
revenues on the government-wide statement of activities.
________ 1. Unrestricted operating grants that can be used at the discretion of the city council.
________ 2. Capital grants restricted for highway construction.
________ 3. Charges for building inspections.
________ 4. A special assessment for snow removal.
________ 5. Fines and forfeits.
________ 6. Motor vehicle fuel taxes restricted for road repair.
________ 7. Unrestricted investment earnings.
83) Define the term revenue and distinguish between revenue and other financing sources.
84) Explain the difference between an expenditure and an expense.
85) What benefits do financial statement users derive from the net (expense) revenue format used
for the government-wide statement of activities?
86) How should depreciation expense be reported in the government-wide statement of activities?
87) How does the use of encumbrance procedures improve budgetary control over expenditures?
88) The City of Jackson Hole adopted the following General Fund budget for the fiscal year:
Estimated revenues:
Taxes
$
3,000,000
Intergovernmental revenues
1,000,000
Licenses and permits
400,000
Fines and forfeits
150,000
Miscellaneous revenues
100,000
Total estimated revenues
$
4,650,000
Appropriations:
General government
$
1,000,000
Public safety
2,000,000
Public works
950,000
Health and welfare
850,000
Miscellaneous revenues
50,000
Total appropriations
$
4,850,000
Prepare a summary general journal entry to record the adopted budget at the beginning of the fiscal
year. (If no entry is required for a transaction/event, select “No Journal Entry Required” in
the first account field.)
89) During the first month of its fiscal year, the City of Jackson Hole issued the following purchase
orders and contracts:
General government
$
50,000
Public safety
200,000
Public works
75,000
Health and welfare
65,000
Miscellaneous
5,000
Total
$
395,000
Show the summary general journal entry to record the issuance of the purchase orders and
contracts. (If no entry is required for a transaction/event, select “No Journal Entry
Required” in the first account field.)
90) The following information is provided about some of the Town of Truesdale’s General Fund
operating statement and budgetary accounts for the fiscal year ended June 30.
Estimated revenues
$
3,150,000
Revenues
3,190,000
Appropriations
3,185,000
Expenditures
3,175,000
Estimated other financing sources
400,000
Encumbrances
20,000
Encumbrances outstanding
20,000
Budgetary fund balance
(calculate)
The Town of Truesdale will honor all of its outstanding encumbrances in the next fiscal period.
Prepare the journal entry(ies) to close budgetary accounts required to be closed at the fiscal year
end using the information provided. (If no entry is required for a transaction/event, select “No
Journal Entry Required” in the first account field.)