Question

In: Accounting

Following is the information concerning operating activity for Annette County. For the year ended June 30,...

Following is the information concerning operating activity for Annette County. For the year ended June 30, 2017, the net change in total governmental fund balances was $(289,500), and the change in net position of governmental activities was $(402,000). During the year, Annette issued $2,030,000 in general obligation bonds at a premium of 102. The bonds are to be used for a construction project. The county acquired $2,780,000 in capital assets and sold capital assets with a book value of $564,500 for $573,900. At the beginning of the period accrued liabilities were $471,500 and at the end of the period they totaled $497,000. Depreciation on capital assets totaled $598,000. Revenue accrued for the period but not available for use totaled $366,100.

Required

Prepare a reconciliation of the change in governmental fund balance to the change in net position of governmental activities.

ANNETTE COUNTY
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances—Governmental Funds to the Statement of Activities
For the Year Ended June 30, 2017
Net change in fund balances—governmental funds
Amounts reported for governmental activities in the statement of activities are different because:
Governmental funds report capital outlays as expenditures.
Transactions involving capital assets resulted in a gain.
Bond proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the statement of net position.
An increase in accrued liabilities indicates that expenditures recorded in the governmental funds exceed expenses for the current period.
Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds.
Change in net position of governmental activities

Solutions

Expert Solution

ANNETTE COUNTY
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances—Governmental Funds to the Statement of Activities
For the Year Ended June 30, 2017
Net change in fund balances—governmental funds -$289,500.00
Amounts reported for governmental activities in the statement of activities are different because:
Governmental funds report capital outlays as expenditures ($2,780,000 - $598,000) $2,182,000.00
Transactions involving capital assets resulted in a gain ($573,900 - $564,500) $9,400.00
Bond proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the statement of net position. -$2,030,000.00
An increase in accrued liabilities indicates that expenditures recorded in the governmental funds exceed expenses for the current period. ($497,000 - $471,500) -$25,500.00
Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds. $366,100.00
Change in net position of governmental activities $212,500.00

Related Solutions

Following is the information concerning operating activity for Annette County. For the year ended June 30,...
Following is the information concerning operating activity for Annette County. For the year ended June 30, the net change in total governmental fund balances was $(289,500), and the change in net position of governmental activities was $(402,000). During the year, Annette issued $2,030,000 in general obligation bonds at a premium of 102. The bonds are to be used for a construction project. The county acquired $2,780,000 in capital assets and sold capital assets with a book value of $564,500 for...
Change in Net Position of Governmental Activities . You have been provided with the following information concerning operating activity for Annette County. For the year ended June 30,2017,
Change in Net Position of Governmental Activities . You have been provided with the following information concerning operating activity for Annette County. For the year ended June 30,2017, the net change in total governmental fund balances was $(289,200), and the change in net position of governmental activities was $194,300. During the year, Annette issued $2,000,000 in general obligation bonds at a premium of101. The bonds are to be used for a construction project. The county acquired$2,750,000 in capital assets and...
The following information relates to a company ABC Ltd for the year ended 30 June 2020:...
The following information relates to a company ABC Ltd for the year ended 30 June 2020: Transaction totals for the year ended 30 June 2020 R Credit purchases of raw materials 503750 Freight on raw materiasl purchased (on credit) 99833 Sales of finished producgts 11440000 Direct Labour: Factory wages 828600 Pension fund contributions paid by employer 172500 Medical aid paid by employer 227200 UIF Contributions paid by employer 8144 Indirect Labour 500250 Electricity Factory 211450 Administration offices 127900 Rent Expenses...
The following information is available for Jetson Manufacturing for the month ended June 30, Year 1....
The following information is available for Jetson Manufacturing for the month ended June 30, Year 1. Cost of direct materials used in production $325,000 Direct labor 280,000 Work in process inventory, June 1 135,000 Work in process inventory, June 30 142,000 Total factory overhead 195,000 Determine Jetson's cost of goods manufactured for the month ended June 30, Year 1. Show your work
The following information is related to Sunglow Solar Ltd: Sales for the year ended 30 June...
The following information is related to Sunglow Solar Ltd: Sales for the year ended 30 June 2019 was $1,200,000 Provision for warranties before adjustment was $36,000 At 30 June 2019, Sunglow Solar Ltd. adjusted its Provision for Warranties so that it would be equal to 4% of sales for the year ended on that date. On 16 September 2019, a successful claim for warranty on faulty goods to the cost of $700 was made on Sunglow Solar Ltd. Required: Prepare...
The following information relates to ABC Pty Ltd for the years ended 30 June Year 3...
The following information relates to ABC Pty Ltd for the years ended 30 June Year 3 and Year 2: Year 3 $ Year 2 $ Total assets Owners’ equity 6,020,000 3,250,000 5,470,000 3,200,000 Annual sales Net profit (after tax) Weighted average number of ordinary shares issued 6,100,000 810,000 10,234,518 3,154,350 475,200 10,046,430 Required: Calculate the net profit margin, asset turnover, earnings per share and debt to total assets ratios for ABC Ltd for the year ended 30 June Year 3
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500 Accounts payable 52,700 Electricity expense 7,500 Unearned revenue 11,600 Wages payable 12,500 Accumulated depreciation- Equipment 8,600 Capital ? Rent expense 32,000 Cash at bank 75,800 Wages expense 135,400 Supplies 3,900 Service revenue 282,600 Bank Loan (due in 2025) 38,000 Accounts receivable 7,500 Drawings 4,000 Equipment 235,200 Depreciation expense-Equipment 8,600 Required: Prepare an Income Statement , a fully classified Balance Sheet in narrative format and...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500 Accounts payable 52,700 Electricity expense 7,500 Unearned revenue 11,600 Wages payable 12,500 Accumulated depreciation- Equipment 8,600 Capital ? Rent expense 32,000 Cash at bank 75,800 Wages expense 135,400 Supplies 3,900 Service revenue 282,600 Bank Loan (due in 2025) 38,000 Accounts receivable 7,500 Drawings 4,000 Equipment 235,200 Depreciation expense-Equipment 8,600 Required: Prepare an Income Statement , a fully classified Balance Sheet in narrative format and...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500 Accounts payable 52,700 Electricity expense 7,500 Unearned revenue 11,600 Wages payable 12,500 Accumulated depreciation- Equipment 8,600 Capital ? Rent expense 32,000 Cash at bank 75,800 Wages expense 135,400 Supplies 3,900 Service revenue 282,600 Bank Loan (due in 2025) 38,000 Accounts receivable 7,500 Drawings 4,000 Equipment 235,200 Depreciation expense-Equipment 8,600 Required: Prepare an Income Statement , a fully classified Balance Sheet in narrative format and...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500...
The following information relates to YogaGuru for the year ended 30 June 2020. Prepaid rent 14,500 Accounts payable 52,700 Electricity expense 7,500 Unearned revenue 11,600 Wages payable 12,500 Accumulated depreciation- Equipment 8,600 Capital ? Rent expense 32,000 Cash at bank 75,800 Wages expense 135,400 Supplies 3,900 Service revenue 282,600 Bank Loan (due in 2025) 38,000 Accounts receivable 7,500 Drawings 4,000 Equipment 235,200 Depreciation expense-Equipment 8,600 Required: Prepare an Income Statement , a fully classified Balance Sheet in narrative format and...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT