Interfund transactions are reciprocal or nonreciprocal. Prepare journal entries to record the following interfund transactions:
A. The General fund loans the Capital Projects fund $200,000 to hire an architect to start planning a building.
B. The Enterprise fund bills the General fund $30,000 for electrical power provided.
C. The General fund pays the Enterprise fund power bill of $30,000
D. The General fund perminately transfers $200,000 in capital to an Enterprise fund to help with start-up expenses.
E. The General fund transfers $25,000 to the Debt Service fund to pay principal and interest on long-term debt.Putting it all together Prepare journal entries to record the following transactions for a city:
a. The budget is enacted into law permitting $3,000,000 in spending and estimating $2,950,000 in revenues will be received.
b. Property tax revenues of $2,800,000 are levied during the fiscal period and 5% are estimated to be uncollectable.
c. Employee salaries are paid totaling $1,900,000 during the fiscal period.
d. Purchase orders are issued totaling $1,000,000 during the fiscal period.
e. All good are received from the purchase orders with invoices of $990,000.
f. Property taxes are collected in the amount of $2,700,000.
g. Property taxes become delinquent and 2% of the delinquent taxes are estimated to be uncollectible.
h. H. License, permit and fine revenues of $100,000 are received during the fiscal period.
i. The vouchers payable outstanding are paid.
j. Ofice supplies are ordered just before fiscal year-end (but not received) for $20,000.
k. The budgetary accounts are closed at fiscal year-end.