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Excel-Based Problems 4-11. Jefferson County\'s General Fund began the year 2017

ID: 2510879 • Letter: E

Question

Excel-Based Problems 4-11. Jefferson County's General Fund began the year 2017 with the following account balances: Debits $132,348 47,220 Credits Cash Taxes Receivable Allowance for Uncollectible Taxes Supplies Deferred Inflows-Property Taxes $ 1,570 660 21,000 900 156,758 $180,228 Wages Payable Fund Balance Totals $180,228 During 2017, Jefferson experienced the following transactions: 1. The budget was passed by the County Commission, providing estimated revenues of $285,000 and appropriations of $235,000 and estimated 2. Encumbrances totaling $4,800 outstanding at December 31, 2016, were 3. The Deferred Inflows-Property Taxes at December 31, 2016, is 4. Property taxes in the amount of $290,000 were levied by the County. It 5. Property tax collections totaled $263,400. Accounts totaling $1.020 other financing uses of $40,000 re-established recognized as revenue in the current period. is estimated 0.5 percent (1/2 of 1 percent) will be uncollectible were written off as uncollectible. 6. Encumbrances were issued for supplies in the amount of $37,100 7. Supplies in the amount of $40,500 were received. Jefferson County records supplies as an asset when acquired. The related encumbrances for these items totaled $41,000 and included the $4,800 encumbered last year. The County paid $37,800 on accounts payable during the year.

Explanation / Answer

Jefferson County General Fund Journal Entries December 31, 2017 Item # Account Title Debits Credits 1 Estimated Revenue A/c                                Dr.        285,000 To            Appropriations       235,000 To            Estimating other Financing Uses         40,000 To            Budgetary Fund Balance         10,000 2 Encumbrances A/c                                     Dr.            4,800 To              Fund Balances           4,800 3 Deferred Revenue           A/c                        Dr.          21,000 To        Property Tax Revenue         21,000 4 Taxes Receivables         A/c                        Dr.        290,000 To      Allowance for Uncollectible Taxes           1,450 To      Property Tax Revenue       288,550 5 Cash                        A/c                           Dr.        263,400 To         Taxes Receivable       263,400 6 Allowance for Uncollectible Taxes   A/c       Dr.            1,020 To         Taxes Receivable           1,020 Encumbrances Control     A/c                    Dr.          37,100 To      Budgetary Fund Balance - Reserve for Encumbrances         37,100 7 Supplies                    A/c                                          Dr.          40,500 To         Accounts Payable         40,500 Budgetary Fund Balance - Reserve for EncumbrancesA/c                     Dr.          41,000 To       Encumbrances Control         41,000 Accounts Payable    A/c                           Dr.          37,800 To    Cash         37,800 8 Emcumbrances         A/c                                       Dr          46,000 To                Budgetary Fund Balance - Reserve for Encumbrances         46,000 Capital Expenditures A/c              Dr.          46,000 To    Cash         46,000 Budgetary Fund Balance - Reserve for EncumbrancesA/c                     Dr.          46,000 To       Encumbrances         46,000 9 General Government Expenditures A/c      Dr.        135,000 To   Wages Payable               900 To   Cash       135,900 10 General Government Expenditures A/c      Dr.            7,600 To   Cash           7,600 11 Other Finance Uses- Transfer Out   A/c     Dr.          43,000 To   Cash         43,000 12 General Government Expenditures A/c      Dr.            1,050 To   Wages Payable           1,050 13 General Government Expenditures A/c      Dr.          40,810 To    Supplies         40,810 ( Opeing balance + Purchases - Closing balance ) : ( 660 + 40500- 350 ) 14 Property Tax Revenue                   A/c      Dr.          22,000 To    Deferred Property Taxes         22,000