Acc 460 Textbook week 4
Textbook Problems
Government Fund
Stephanie Wallis
ACC 460
Neil Fischer
May 5, 2015
Chapter 9 Exercise 9-3 Part A
Equipment 70,000 Capital Assets 70,000
(To record copier transferred)
Cash 35,000 Internal Service Fund 35,000
(To record contribution from general fund)
Cash 270,000 Note Payable 270,000
(To record note for 3 years)
Equipment 160,000 Accounts Payable 160,000
(To record equipment that was purchased)
Capital project facilities 100,000 Cash 100,000
(To record improvements on facilities)
Cash 2,500
Improvement Services 2,500 Operating Revenue 5,000
(To record printing services billed)
Operating Expenses 9,000 Cash 9,000
Depreciation Expense Equipment 1,500
Depreciation Expense Building 900 Accumulated Depreciation 2,400
(To record depreciation for operations)
Chapter 10 Question for Review and Discussion 1, 5, and 15
1. 1. The GASB states to identify all financial reporting by the government. The financial report will show all the information about the funds. To report a new fund is fine because there is too much information to put it in the financial statement of the government wide statements. Using an enterprise fund would allow revenue and expenses to show separately, than putting all revenue and expenses with the government activities.
2. 5. The GASB requires that the permanent fund to be reported as a specific program and it is non-restricted by the general revenue. The funds are recognized the same way by modified accrual the fiduciary funds. The fiduciary fund is recorded the same way as permanent funds, however the government wide statement does not record them.
3. 15. The agency fund has the cash and liabilities activities, however, it does not have the balances. The reason why that is the funds are separate and that means it does not have a budgets because it cannot spend money on its self.
Reference
Government Fund
Stephanie Wallis
ACC 460
Neil Fischer
May 5, 2015
Chapter 9 Exercise 9-3 Part A
Equipment 70,000 Capital Assets 70,000
(To record copier transferred)
Cash 35,000 Internal Service Fund 35,000
(To record contribution from general fund)
Cash 270,000 Note Payable 270,000
(To record note for 3 years)
Equipment 160,000 Accounts Payable 160,000
(To record equipment that was purchased)
Capital project facilities 100,000 Cash 100,000
(To record improvements on facilities)
Cash 2,500
Improvement Services 2,500 Operating Revenue 5,000
(To record printing services billed)
Operating Expenses 9,000 Cash 9,000
Depreciation Expense Equipment 1,500
Depreciation Expense Building 900 Accumulated Depreciation 2,400
(To record depreciation for operations)
Chapter 10 Question for Review and Discussion 1, 5, and 15
1. 1. The GASB states to identify all financial reporting by the government. The financial report will show all the information about the funds. To report a new fund is fine because there is too much information to put it in the financial statement of the government wide statements. Using an enterprise fund would allow revenue and expenses to show separately, than putting all revenue and expenses with the government activities.
2. 5. The GASB requires that the permanent fund to be reported as a specific program and it is non-restricted by the general revenue. The funds are recognized the same way by modified accrual the fiduciary funds. The fiduciary fund is recorded the same way as permanent funds, however the government wide statement does not record them.
3. 15. The agency fund has the cash and liabilities activities, however, it does not have the balances. The reason why that is the funds are separate and that means it does not have a budgets because it cannot spend money on its self.
Reference