Part 1. Internal Service Fund Transactions The Stores and Service Fund of the City of Monroe had the following account balances as of January 1, 2015:
Debits Credits
Cash $31,000
Due from other funds 27,000
Inventory of supplies 27,500
Land 18,000
Buildings 84,000
Accumulated depreciation-buildings $33,000
Equipment 46,000 Accumulated depreciation-equipment 25,000
Accounts payable 19,000
Advance from water utility fund 30,000
Net assets 126,500
Totals $233,500 $233,500
Required: a. Open a general journal for the City of Monroe Stores and Service Fund and record the following transactions.
(1) A budget was prepared for FY 2015. It was estimated that the price charged other departments for supplies should be 1.25% of cost to achieve the desired breakeven for the year.