Problem
On January 1, Year 1, the general fund of a state government made a capital acquisition of $50,000. The asset's useful life is 10 years, and the government uses the straight-line basis of depreciation. What is the complete journal entry that should be recorded on December 31, Year 1, when reconciling the fund financial statements to the government-wide financial statements?
On January 1, Year 1, the general fund of a state government made a capital acquisition of $50,000. The asset's useful life is 10 years, and the government uses the straight-line basis of depreciation. What is the complete journal entry that should be recorded on December 31, Year 1, when reconciling the fund financial statements to the government-wide financial statements?