Response to the following:
Using the information from exercise , prepare a schedule showing the status of the appropriation at the end of the first quarter.
Exercise :
Assume a federal agency has the following events:
1. Receives a warrant from the Treasury notifying the agency of appropriations of $2,400,000.
2. OMB apportions one-fourth of the appropriation for the first quarter of the year.
3. The director of the agency allots $590,000 to program units.
4. Program units place orders of $550,000.
5. Supplies ($100,000) and services ($320,000) are received during the first quarter. Supplies of $80,000 were used in the quarter.
Required:
Prepare any necessary journal entries to reflect the events described above. Identify whether the entry is a budgetary or proprietary type.