Question: (Journal entries for several funds and a trial balance for a Debt Service Fund) Following are several transactions that relate to the Village of Brooks Haven in 2012. Prepare all the journal entries necessary to record these transactions. In addition, identify the fund(s) in which each entry is recorded. Also, prepare a trial balance for the Debt Service Fund as of December 31, 2012.

1. The General Fund operating budget was approved. It included estimated revenues of $500,000, appropriations of $400,000, and estimated other financing uses of $90,000.

2. Encumbrances of $50,000 were recorded in the General Fund.

3. The budget for the Parks Special Revenue Fund was approved. It included estimated revenues of $60,000 and appropriations of $59,000.

4. The General Fund made its annual transfer of $100,000 to a Debt Service Fund.

5. The Debt Service Fund recorded the liability for principal and interest, $20,000 and $40,000, respectively.

6. The Debt Service Fund invested $10,000 of Debt Service Fund cash in securities.

7. The salaries of the general governmental administrative staff were paid: $15,000. Assume that salaries were not encumbered.

8. The fiscal agent who manages the investment activities of the Debt Service Fund was paid a fee of $1,000.

9. The property tax used to service the bond issue was levied. The total levy was $30,000, of which $29,000 is expected to be collected.

10. A cash expenditure for office supplies for the mayor's office was made: $900. The amount that had been encumbered was $1,000.

11. Debt Service Fund cash of $60,000 was paid to the fiscal agent to pay interest and principal (see transaction 5).