Seaview township received a $ 1,000,000 gift from j. r.

Assignment Help Accounting Basics
Reference no: EM13871395

Seaview Township received a $ 1,000,000 gift from J. R. Chancellor to sponsor an annual community picnic. All reasonable costs associated with sponsoring the picnic are to be paid from the gift. To guaran tee proper use of the Toguaran-teeproperuseofthe money, Chancellor made the donation in the form of a trust, which is accounted for as a Private Purpose Trust. The following events and transactions took place during 2012. Record these entries in the Chancellor Community Picnic Fund. Then prepare a statement of changes in fiduciary net position for 2012 and a statement of fiduciary net position as of December 31, 2012, for the fund.
1. The township received the gift.
2. The city paid $ 10,000 to an advertising agency to publicize the picnic.
3. The cost of permits for the picnic totaled $ 500.
4. The Seaview Cafe agreed to cater the entire picnic for $ 75,000, payable in advance.
5. Various performers were engaged to provide entertainment during the picnic at a total cost of $ 12,500. Cash was paid in advance.
6. The picnic was held and was a great success. The weather cooperated, and picnic attendance met all expectations.
7. The Police Department spent $ 15,000 for extra police to control the traffic and crowds at the picnic. The trust reimbursed the department in cash for these costs.
8. The Sanitation Department incurred $ 35,000 of costs in cleaning up after the picnic. The trust agreed to reimburse the department (in the General Fund) for these costs. No cash has yet been paid.
9. The remaining cash, except for $ 10,000, was invested in CDs. According to the trust agreement, this money could be invested and used to provide for the 2013 picnic.

Reference no: EM13871395

Two thirds to bay town and one third to valley city

The trust fund income of $ 1,800 ($ 3,000  $ 700  $ 500) was distributed as provided in the trust agreement: two thirds to Bay Town and one third to Valley City.

The general fund charged the investment trust fund

The General Fund charged the Investment Trust Fund $ 500 for administrative expenses This amount was paid in cash Income of $ 50,000 was distributed to the participating citie

What should jon do if he wants better information

Using only the information provided (ignore other operating expenses), prepare comparative income statements for 2015 and 2016. Was 2015 really as profitable as indicated by i

Prepare a statement of fiduciary net position

The following information is available for Russellville at June 30, 2012. Prepare a statement of fiduciary net position for Russellville Pension Trust Fund as of June 30, 20

Granted credit with shorter payment deadlines

Indicate the most likely effect of the following changes in credit policy on the receivables turnover ratio and days to collect (+ for increase, for decrease, and NE for no ef

The accrued expenses at the beginning of the year

Costs of operating the plan were $ 175,000; of this amount $ 150,000 was paid in cash and the remainder was accrued. The accrued expenses at the beginning of the year were a

An individual wants to set up a long lasting

An individual wants to set up a long lasting trust for the education of children of deceased school teachers. In a written statement explain the best method of achieving thi

Contractors upon successful completion of the projects

Deposits of $ 93,750 were returned to contractors upon successful completion of the projects on which they had been working. In addition, these contractors received $ 8,750

Reviews

Write a Review

 
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd