User Account

All Pages

City of sharpesburg-library book permanent fund

Assignment Help Accounting Basics
Reference no: EM1356611

Complete in excel in proper format with no lines in the journal entry.

The City of Sharpesburg received a gift of $950,000 from a local resident on June 1, 2012, and signed an agreement that the funds would be invested permanently and that the income would be used to purchase books for the city library.
The following transactions took place during the year ended December 31, 2012:

1. The gift was recorded on June 1.

2. On June 1, ABC Company bonds were purchased as investments in the amount of $950,000 (par value). The bonds carry an annual interest rate of 6 percent, payable semiannually on December 1 and June 1.

3. On December 1, the semiannual interest payment was received.

4. From December 1 through December 31, $27,700 in book purchases were made; full payment was made in cash.

5. On December 31, an accrual was made for interest.

6. Also, on December 31, a reading of the financial press indicated that the ABC bonds had a fair value of $966,000, exclusive of accrued interest.

7. The books were closed.

Required:

a. Record the transactions on the books of the Library Book Permanent Fund.

b. Prepare a separate Statement of Revenues, Expenditures, and Changes in Fund Balances for the Library Book Permanent Fund for the Year Ended December 31, 2012.

Reference no: EM1356611

Questions Cloud

Calculate pay for the bond : Suppose you are planning about the purchase of a $1000 par value bond that pays interest of $70 each six months and has ten years to go before it matures.
Show the distinctions between costs, price and profit : Show the distinctions between costs, price, and profit -description of cost analysis and price analysis in the discussion
Moderate-discrepancy hypothesis : Identify and describe the types of educational materials the moderate-discrepancy hypothesis predicts are most likely to hold children's attention?
Ways to ensure that website is easy to navigate : A good practice would be to spread the content out among several pages. What are some ways to ensure that your website is easy to navigate?
City of sharpesburg-library book permanent fund : Prepare a separate Statement of Revenues, Expenditures, and Changes in Fund Balances for the Library Book Permanent Fund for the Year Ended December 31, 2012.
Determine the portfolio required rate of return : The risk free rate is 6 percent and the portfolio's required rate of return is 12.5 percent. The manager would like to sell all of the holdings of stock 1 and use the proceeds to purchase more shares of stock 4.
Explain what are the benefits/downsides of creating : Explain What are the benefits/downsides of creating manufacturing operations outside the United states and What are the advantages/disadvantages of just-in-time manufacturing?
What will be the induced emf in the short coil during time : An infinite line of charge has linear charge density 5.50x 10-12 C/m. A proton (mass 1.67x 10-27 kg, charge +1.60 10-19 C) is 18.0 cm from line and moving directly toward the line at 1.20 x10^3 m/s. How close does the proton get to the line of char..
Show where does decision making bias come from : Show bias and the impact on decision making - Show where does decision making bias come from

Reviews

Write a Review

Accounting Basics Questions & Answers

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Elements for action which is based on strict liability

Eagle Tools, Inc., the manufacturer of the gun, for product liability, on the ground of strict liability. What are the elements for an action based on strict liability? In whose favor is the court likely to rule?

  Determining the amount of ordinary income

The corporation elected S corporation status at the starting of 2011. On February 13, 2012, the property was sold for $40,000, payable in 4 yearly instalments of $10,000 plus interest. What is the amount of ordinary income to be reported from the s..

  Determine foreign exchange transaction

Post Inc, had a receivable from a foregn customer that is payable in customer's loca currency. On Dec 31, 2009, Post correctly included this receivable for 200,000 local currency units

  Prepare a partial income statement

The company mostly sells on a retail basis to household consumers, but occasionally receives large orders for tables and chairs from schools and businesses.

  How would we determine the cost of normal spoilage

How would we find out the cost of normal spoilage so that we can record it in general ledger? How would we fin out the cost of normal spoilage so that we can record it in general ledger

  Current taxable on gifts

Total 2008 gift of life insurance policy is 72,000. annual exclusions are 24,000 (two donees at 12,00). Current taxable gifts equal 48,000.

  Premium expense-inventory of premiums

Bonita places a coupon in each box of its product. Customers may send in five coupons and $3-A total of 400,000 boxes of product were sold in 2010. It was estimated that 6% of the coupons would be redeemed.

  Connection with consolidation of assest

What worksheet entries are needed in connection with the consolidation of this asset? Assume that the parent applies the partial equity method.

  Sec and european equivalent views of gaap

The SEC and its European equivalent are trying to merge their respective views of GAAP (Generally Accepted Accounting Principles). What are the easy points and what are the stumbling blocks?

  Determine the quantity of spoiled units

Explain the product and the production process. Describe how you would find out the quantity of spoiled units that are normal versus abnormal. Explain how you would determine the cost of good units, normal spoilage and abnormal spoilage.

  Accounting cycle-sample financial statements

Collect the 4 main financial statements from credible sources (newspaper, peer-reviewed journals, investor relations, web sites or annual reports. Create a flow chart that illustrates the steps in the accounting cycle.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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