Problem
On October 11, 2014, Charleston, Alabama had estimated revenues from property taxes of $4,200,000 with approximately 4% of the gross tax levy deemed as uncollectible. Taxes assessments occur in early October and are due no later than November 30, 2014.
1. Calculate the gross tax levy assessed on October 11, 2014; round to the nearest dollar:
2. Prepare the October 11, 2014 entry at the Governmental Activities (Government-wide level) to record the property tax assessment.
3. Prepare the November 30, 2014 entry in the General Fund to record $3,987,000 in tax collections.
4. Prepare the December 1, 2014 entry in the General Fund to record the reclassification of current property taxes for any delinquent taxes as of that date. Make a T- account.