Question: Jefferson County General Fund began the year 2012 with the following account balances:
During 2012, Jefferson experienced the following transactions:
1. The budget was passed by the County Commission, providing estimated revenues of $250,000 and appropriations of $180,000 and estimated other financing uses of $40,000. Classify expenditures in the General Fund as either General Government or Capital Outlay. Make entries directly to these and the individual revenue accounts; do not use subsidiary ledgers.
2. The encumbrances outstanding at December 31, 2011, were reestablished.
3. The deferred revenue at December 31, 2011, is recognized as revenue in the current period.
4. Property taxes in the amount of $260,000 were levied by the County. It is estimated 0.5% (1/2 of 1 percent) will be uncollectible.
5. Property tax collections totaled $247,000. Accounts totaling $950 were written off as uncollectible.
6. Encumbrances were issued for supplies in the amount of $36,000.
7. Supplies in the amount of $39,800 were received. Jefferson County records supplies as an asset when acquired. The related encumbrances for these items totaled $40,000 and included the $4,800 encumbered last year. The County paid $35,650 on accounts payable during the year.
8. The County contracted to have alarm systems (capital assets) installed in the administration building at a cost of $46,600. The systems were installed and the amount was paid.
9. Paid wages totaling $131,970, including the amount payable at the end of 2011. (These were for general government operations.)
10. Paid other general government operating items of $7,600.
11. The General Fund transferred $38,500 to the debt service fund in anticipation of bond interest and principle payments.
Additional Information
12. Wages earned but unpaid at the end of the year amounted to $2,200.
13. Supplies of $250 were on hand at the end of the year. (Supplies are used for general government operations.)
14. A review of property taxes receivable indicates that $17,500 of the outstanding balances would likely be collected more than 60 days after year-end and should be deferred.
Required: Use the Excel template provided on the textbook Web site to complete the following requirements. A separate tab is provided in Excel for each of these steps.
a. Prepare journal entries to record the information described in items 1 to 14.
b. Post these entries to T-accounts.
c. Prepare closing journal entries; post to the T-account provided. Classify fund balances assuming there are no restricted or committed net resources and the only assigned net resources are the outstanding encumbrances.
d. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund for the year ending 2012. Use Excel formulas to calculate the cells shaded in blue.
e. Prepare a Balance Sheet for the General Fund as of December 31, 2012. Use Excel formulas to calculate the cells shaded in blue.