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Question - The City of Happy Valley records the following property tax transactions. Prepare the journal entries.
a. Property taxes of $10,000,000 are levied and 5% are estimated to be uncollectible.
b. Property taxes of $9,800,000 are collected.
c. The property taxes become delinquent after the due date passes. The city estimates that 5% of the delinquent amount will not be collected.
d. Interest and penalties of $10,000 are charged on the delinquent taxes.
e. Delinquent taxes of $180,000 and $9,000 in interest and penalties are paid.
f. The property tax liens are filed on the outstanding taxes and $2,000 are estimated to be uncollectible.
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