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Question - Prepare entries in general journal to record the following transactions in the City of Decator's General Fund general ledger accounts for fiscal year 2012.
A) Assume there are $140,000 of purchase orders outstanding at the end of last year and that these will be honored in the current year. Prepare the entries to re-establish the encumbrances/
B) Purchase orders were issued for equipment and supplies in the amount of $3,040,000
C) Supplies relating to all of the prior year purchase orders ($140,000) were received along with invoices amounting to $144,000
D) Orders that were issued (in B) have arrived in the amount of $3,035,000. The invoice is paid.
Your assignment is to write a professional business letter to the vendor inquiring about the bill and the vendor's billing practices.
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