Reference no: EM131960921

Problem

Prepare the General Ledger journal entries for the General Fund for the Johnson County General Fund for the year ended December 31, 2012. Use abbreviations to save time, Expd= Expenditures, Est Rev=Estimated Revenues, Rev.= Revenue, etc.

On Jan. 1, 2012 the City of Jones has Cash of $1,000,000, Accounts Payable of $20,000 and Fund Balance of $980,000.

The budget was formally adopted. Estimated revenues are $10,100,000 and appropriations are estimated to be $9,690,000.

Revenues were received in cash the amount of $10,045,000.

Purchase orders were issued in the amount of $2,300,000.

Purchase orders were filled in the amount of $1,725,000. The invoice amount was $1,738,000.

Expenditures, not encumbered, amounted to $7,745,000. (not yet paid)

The invoices in entry 4 and 5 less 10% withheld are paid in cash.

The Town Council amended the original budget. The Estimated Revenues are increased $35,000 and the Appropriations are increased $100,000.

The closing entry for the year is recorded. Expenditures and Encumbrances are closed by a credit and a debit to Appropriations and the Estimated Revenues is closed by a credit and a debit to Revenues and the balance from the above entry is charged against Fund Balance.

1. Prepare a statement of Revenues, Expenditures, Encumbrances and Changes in Fund Balance.

2. What is the ending cash balance? $____________

3. Prepare a Balance Sheet assuming the beginning balances and the entries through entry 7, the closing entry.