16 2 94 Points Prepare Journal Entries For Each Of The Following Transactions Entered Into By The City Of Loveland If 1 (56.08 KiB) Viewed 41 times
16 2.94 points Prepare journal entries for each of the following transactions entered into by the City of Loveland. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Round your final answers to the nearest whole dollar.) Fund/ Governmental Activties Transaction General Journal Debit 1. The city received a donation of land that is to be used by Parks and Recreation to develop a public park. At the time of the donation, the land had an acquisition value of $5,300,000 and was recorded on the donor's books at a historical cost of $4,600,000. 1 General Fund No Journal Entry Required Governmental Activities X Answer is not complete. Governmental Activities Land Program Revenues-Culture and Recreation-Capital Grants and Contributions Cash Other Financing Sources-Proceeds of Sale of Assets 2. The Public Works Department sold machinery with a historical cost of $35,250 and accumulated depreciation of $28,750 for $5,975. The machinery had originally been purchased with special revenue funds. 2 General Fund Loss on Sale of Machinery Accumulated Depreciation Machinery and Equipment Cash Machinery and Equipment ✓ ✓ Cash Other Financing Sources-Lease Agreements ✓ ✓ ✓ ✓ ✓ Credit 3. A car was leased for the mayor's use. The first payment was $1,100 and the present value of the remaining lease payments was $30,000. (Note: The initial cash payment was made by the General Fund.) 3a General Fund Expenditures-General Government ✓ ✔
3b 4. During the current year, a capital projects fund completed a new public safety building started in the prior year. The total cost of the project was $9,745,000; current-year construction costs totaled $725,000, paid in cash. The full cost is attributed to the building because it was constructed on city-owned property. The building came in $5,100 under budget, which is transferred to the General Fund. 4a Record the $725,000 cash payment made for construction costs during this year. 4b 4c 4d Governmental Activities 4e Capital Project Fund General Fund Governmental Activities Cash Record the balance $5,100 transferred to the General Fund. Cash Cash Program Revenues-Public Safety-Capital Grants and Contributions ✔ Cash ✓ ✓ Record in the governmental activities general journal, the $725,000 cash payment made for construction costs during this year ✓ Record in the governmental activities general journal, the completion of a new public safety building on city-owned property started in the prior year costing $9,745,000. Buildings Construction in Progress ✓ 5. The city records a half year of straight-line depreciation on capital assets placed in service during the year. The building in item 4 above has an estimated 30-year life and no salvage value. 5 General Fund No Journal Entry Required ✓
Governmental Activities Depreciation Expenses-Buildings Accumulated Depreciation-Buildings Governmental Activities 6. Due to technological developments, the city determined that the service capacity of some of the technology equipment used by general government had been impaired. The calculated impairment loss due to technology obsolescence was $1,166,000. 6 General Fund No Journal Entry Required ›› Expenses-General Government Machinery and Equipment ››
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