Question

Prepare a journal entry for governmental funds and government-wide governmental activities for each of the following transactions entered into by the City of Loveland. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
	Transaction Fund General Journal Debit Credit 1. The city received a donation of land that is to be used by Parks and Recreation to develop a public park. At the time of the donation, the land had a fair value of $4,600,000 and was recorded on the donor’s books at a historical cost of $3,900,000. 1 General Fund Governmental Activities 2. The Public Works Department sold machinery with a historical cost of $34,500 and accumulated depreciation of $28,400 for $5,600. The machinery had originally been purchased with special revenue funds. 2 General Fund Governmental Activities 3. A car was leased for the mayor’s use. Since the term of the lease exceeded 75 percent of the useful life of the car, the lease was capitalized. The first payment was $1,100 and the present value of the remaining lease payments was $24,000. 3a General Fund 3b Governmental Activities Record the lease of car to the Mayor. 4. During the current year, a capital projects fund completed a new public safety building that was started in the prior year. The total cost of the project was $9,570,000. Financing for the project came from a $8,880,000 bond issue that was sold in the prior year, and from a $690,000 federal capital grant received in the current year. Current year expenditures for the project totaled $1,116,000. The full cost is attributed to the building since it was constructed on city-owned property. 4a Capital Project Fund Record the funds received for the public safety building. 4b Record the current year's expenditure for the public safety building. 4c Governmental Activities Record the funds received for the public safety building. 4d Record the current year's expenditure for the public safety building. 4e Record the transfer of the work in progress to the capital asset. 5. Due to technological developments, the city determined that the service capacity of some of the technology equipment used by general government had been impaired. The calculated impairment loss due to technology obsolescence was $1,096,000. 5 General Fund Governmental Activities

Answer 1