Question

Problem 16-33 (LO 16-2, 16-6, 16-7) A city orders a new computer for its General Fund at an anticipated cost of $91,700. Its actual cost when received is $93,810. Payment is subsequently made a. Prepare all required journal entries for both fund and government-wide financial statements. (Select the appropriate fund for each situation when required. If no entry is required for a transaction/event, select "No journal entry required in the first account field.) X Answer is not complete. Debit Credit Transaction Fund/Activity General Journal 1. Received in the computers and the accompanying liability Government Activities Record the receipt of computers and the accompanying liability Encumbrances control Record payment made. Vouchers payable Cash 2. Received in the payment made for computers. 2 General Fund Record payment made for computers. Cash Vouchers payable Record entry to remove encumbrance for computers that has now been received No journal entry required Cash Record the receipt of computers and the accompanying liability. Fund balance - reserve for encumbrances Vouchers payable Record payment made. Vouchers payable Cash

Answer 1

Fund/Activity General Journal Order of Computer No entry Debit Credit Transaction 1 1 Government Activities 2 3 4 Recording the receiving of Computer Computer Vouchers Payable 5 6 93,810 7 93,810 8 Record Payament Made Vouchers Payable 9 10 93,810 Cash 11 93,810 12 2 General Fund 13 Order of Computer Encumbrance Control 14 15 S 91,700 91,700 Fund Balance- Reserve for Encumbrance 16 17 18 Recording the receiving of Computer Expenditures Computer Vouchers Payable 19 20 93,810 93.810 21 22 Fund Balance- Reserve for Encumbrance 23 91,700 24 Encumbrance Control 91,700 25 Record Payament Made 26 Vouchers Payable 27 93.810 Cash 28 93,810 29