Summarizing transactions of the general fund

Question

Task: The following financial information is available for City of Angels for fiscal year ended June 30, 2010:

	Debits ($)		Credits ($)
Cash	15,000
Taxes Receivable - Delinquent	35,000
Allowance for Uncollectible Delinquent Taxes			2,600
Due from Water Fund	600
Vouchers Payable			10,500
Due to Taxpayers			5,500
Encumbrances	6,000
Deferred Revenues			7,000
Reserve for Encumbrances			6,500
Unreserved Fund Balance			24,500
	$  56,600		$  56,600

The following information summarizes transactions of the General Fund during 2010:

1. The city council approved the following budget:

	Dollars ($)
Expenditures
Police Department	15,000
Fire Department	12,500
Streets and Sanitation Department	17,000
	44,500
Revenues
Property Taxes	60,000
Fines and Fees	5,000
Miscellaneous Revenues	4,000
	69,000

2. The city levied property taxes of $55,000. It is estimated that $2,500 of those taxes are uncollectible. The city also collected $6,000 in fines and fees and $2,000 in miscellaneous revenues.

3. The city council borrowed $1,500 on a 90-day note.

4. Purchase orders placed during the year were as follows:

	Dollars ($)
Police Department	8,000
Fire Department	10,000
Streets and Sanitation Department	7,500
	25,500

5. Payroll vouchers during the year were as follows:

	Dollars ($)
Police Department	6,000
Fire Department	5,000
Streets and Sanitation Department	2,000
	13,000

6. Invoices vouchered during the year were as follows:

	Dollars ($)
Police Department	2,000
Fire Department	3,000
Streets and Sanitation Department	1,000
Repayment of note plus interest	1,600
	7,600

7. Additional payments were made as follows:

Fund		Purpose		Amount ($)
Debt Service Fund		For payment of bond including interest		10,000
Capital Project Fund		For construction of city roads		25,000
				35,000