The trial balance for the General Fund of the City of Fairfieldas of December 31, 2015, is presented here:
City of Fairfield
The General Fund Adjusted
December 31, 2015
Property Tax Receivable 45,000
Estimated Uncollectible Taxes $ 20,000
Due from Trust Fund 50,000
Vouchers Payable 60,000
Fund Balance—Assigned (encumbrances) 30,000
Fund Balance—Unassigned 415,000
Transactions for the year ended December 31, 2016, aresummarized as follows:
1. The City Council adopted a budget for the year with estimatedrevenue of $735,000 and appropriations of $700,000.
2. Property taxes in the amount of $590,000 were levied for thecurrent year. It is estimated that $24,000 of the taxes levied willprove to be uncollectible.
3. Proceeds from the sale of equipment in the amount of $35,000were received by the General Fund. The equipment was purchased 10years ago with resources of the General Fund at a cost of $150,000.On the date of purchase, it was estimated that the equipment had auseful life of 15 years.
4. Licenses and fees in the amount of $110,000 werecollected.
5. The total amount of encumbrances against fund resources forthe year was $642,500.
6. Vouchers in the amount of $455,000 were authorized forpayment. This was $15,000 less than the amount originallyencumbered for these purchases.
7. An invoice in the amount of $28,000 was received for goodsordered in 2015. The invoice was approved for payment.
8. Property taxes in the amount of $570,000 were collected.
9. Vouchers in the amount of $475,000 were paid.
10. Fifty thousand dollars was transferred to the General Fundfrom the Trust Fund.
11. The City Council authorized the write-off of $30,000 inuncollected property taxes.
A. Prepare entries in general journal form to record thetransactions for the year ended December 31, 2016.
B. Prepare a preclosing trial balance for the General Fund as ofDecember 31, 2016.
C. Prepare the necessary closing entries for the year endedDecember 31, 2016.
D. Prepare a balance sheet and a statement of revenues,expenditures, and changes in fund balance for the General Fund forthe year ended December 31, 2016.