Stores & Services Fund
STORES AND SERVICES INTERNAL SERVICE FUND
INVENTORY OF XXXXXXXXXXDUE FROM
reference XXXXXXXXXXAccount Titles Debits Credits XXXXXXXXXXCASH XXXXXXXXXXSUPPLIES XXXXXXXXXXOTHER FUNDS XXXXXXXXXXLAND
28,000
27,500
27,000
18,000
6-C-1 1 type debit accounts in this column
type credit accounts in this column
28,000 27,500 27,000 18,000
ACCUMULATED DEPR' ACCUMULATED DEPR'
XXXXXXXXXXBUILDINGS XXXXXXXXXXBUILDINGS XXXXXXXXXXEQUIPMENT XXXXXXXXXXEQUIPMENT
84,000 30,000
46,000 25,000
84,000 30,000 46,000 25,000
ADVANCE FROM XXXXXXXXXXNET POSITION
ACCOUNTS PAYABLE ENTERPRISE FUND XXXXXXXXXXbeginning)
19,000
30,000
126,500
19,000 30,000 126,500
REVENUES - CHARGES OPERATING EXPENSES OPERATING EXPENSES OPERATING EXPENSES
FOR SALES & SERVICES COST OF SALES & SERVs ADMINISTRATION DEPRECIATION
- - - -
Total Debits 230,500
Total Credits 230,500
-
&16City of Monroe
Stores & Services Internal Service Fund &16
Water & Sewer Fund
WATER AND SEWER ENTERPRISE FUND
XXXXXXXXXXCASH CUSTOMER ESTIMATED XXXXXXXXXXDUE FROM
reference XXXXXXXXXXAccount Titles Debits Credits
98,000 ACCOUNTS RECEIVABLE UNCOLLECTIBLE ACCNTS GENERAL FUND
84,000 4,000
6-C-2 1 type debit accounts in this column
type credit accounts in this column
98,000 84,000 4,000 -
MATERIALS & SUPPLIES ADVANCE TO SUPPLIES WATER TREATMENT ACCUMULATED DEPR'
XXXXXXXXXXINVENTORIES AND STORES FUND XXXXXXXXXXPLANT - WATER PLANT
28,000
30,000
4,200,000 1,200,000
28,000 30,000 4,200,000 1,200,000
CONSTRUCTION XXXXXXXXXXPAYROLL
XXXXXXXXXXIN PROCESS RESTRICTED ASSETS ACCOUNTS PAYABLE XXXXXXXXXXTAXES PAYABLE
203,000
117,000 97,000
-
203,000 117,000 97,000 -
DUE TO STORES XXXXXXXXXXREVENUE XXXXXXXXXXNET POSITION REVENUES - CHARGES
XXXXXXXXXXRESERVE FOR ENCUMBRANCES & SERVICES FUND BONDS PAYABLE XXXXXXXXXXbeginning) FOR SALES & SERVICES
-
2,500,000
959,000
- 2,500,000 959,000 -
OPERATING EXPENSES OPERATING EXPENSES OPERATING EXPENSES OPERATING EXPENSES
COST OF SALES & SERVs XXXXXXXXXXSELLING ADMINISTRATION DEPRECIATION
- - - -
NON- OPERATING EXPENSES
XXXXXXXXXXINTEREST
Total Debits 4,760,000
Total Credits 4,760,000
-
-
-
&"Arial,Bold"&14City of Monroe - Water and Sewer Enterprise Fund
Closing Entries
Stores and Services Internal Service Fund Closing Entry
Account Title Debits Credits NET POSITION
126,500 Preclosing
closing entry
126,500
Net Investment in Capital Assets Restricted Unrestricted Total
Net Investment in Capital Assets
Capital Assets -
Less: Accumulated Depreciation -
Less: Advance from Enterprise fund -
Restricted -
Unrestricted -
- - - -
Water and Sewer Enterprise Fund Closing Entry
Account Title Debits Credits NET POSITION
959,000 Preclosing
closing entry
959,000
Net Investment in Capital Assets Restricted Unrestricted Total
Net Investment in Capital Assets
Capital Assets -
Less: Accumulated Depreciation -
Less: Revenue Bond Payable -
Restricted -
Unrestricted -
- - - -
&14City of Monroe &14
PROPRIETARY FUNDS- Closing Entries
Stmt of revenues & expenses
Business-Type Activities Enterprise Funds Water and Sewer Governmental Activities XXXXXXXXXXInternal Service Funds
Operating Revenues
Charges for Services
XXXXXXXXXXTotal Cu
ent Assets - -
Operating Expenses
Cost of Sales and Services
Selling
Administration
Depreciation
XXXXXXXXXXTotal Operating Expenses - -
Operting Income - -
Nonoperating Expenses
Interest Expense -
Change in Net Position - -
Net Position, January 1
Net Position, December 31 $ - $ -
&"Times New Roman,Regular"&14City of Monroe
Statement of Revenues, Expenses and Changes in Fund Net Position
Proprietary-type Funds
For the year ended December 31, 2017
Stmt of net position
Business-Type Activities Enterprise Funds Water and Sewer Governmental Activities Internal Service Funds
Assets
Cu
ent Assets
Cash
Customer Accounts Receivable (Net)
Due from Other Funds
Inventories
XXXXXXXXXXTotal Cu
ent Assets - -
Noncu
ent Assets
Advance to Stores and Services Fund
Restricted Assets (Cash)
Capital Assets, Net of Accumulated Depreciation
XXXXXXXXXXTotal Noncu
ent Assets - -
XXXXXXXXXXTotal Assets - -
Liabilities
Cu
ent Liabilities
Accounts Payable
Payroll Taxes Payable
Due to Internal Service Fund
XXXXXXXXXXTotal Cu
ent Liabilities - -
Noncu
ent Liabilities
Revenue Bonds Payable
Advance from Water Utility Fund
XXXXXXXXXXTotal Noncu
ent Liabilities - -
XXXXXXXXXXTotal Liabilities - -
Net Position
Net Investment in Capital Assets
Restricted
Unrestricted
XXXXXXXXXXTotal Net Position $ - $ -
&"Times New Roman,Regular"&14City of Monroe
Statement of Net Position
Proprietary-type Funds
As of December 31, 2017
Stmt of Cash Flows
Business-Type Activities Enterprise Funds Water and Sewer Governmental Activities XXXXXXXXXXInternal Service Funds
Cash Flows from Operating Activities
Cash Received from Customers and Departments
Cash Paid to Suppliers and Employees
Net Cash Provided by Operating Activities - -
Cash Flows from Capital Related Financing Activities
Acquisition of Capital Assets
Interest Paid on Long-term Debt
Partial Repayment of Advance from Enterprise Fund
Net Cash Used in Capital Related Financing Activities - -
Cash Flows from Investing Activities
Partial Receipt of Advance to Internal Service Fund
Net Cash Provided from Investing Activities - -
Net Increase (Decrease) in Cash - -
Cash and Restricted Cash, January 1
Cash and Restricted Cash, December 31 $ - $ -
Reconciliation of Operating Income to Net Cash Provided by Operating Activities
Operating Income
Adjustments to Reconcile Operating Income to Net Cash Provided by Operating Actitities
Depreciation
(Increase) Decrease in Customer Accounts Receivable
(Increase)Decrease in Interfund Receivables
(Increase) Decrease in Inventories
Increase (Decrease) in Accounts Payable
Increase (Decrease) in Payroll Taxes Payable
Increase (Decrease) in Interfund Liabilities
Net Cash Provided by Operating Activities $ - $ -
Non-cash investing, capital, and financing activities: 0 0
&"Arial,Bold"City of Monroe
Statement of Cash Flows
Proprietary-type Funds
For the year ended December 31, 2017
Continuous Problem
Continuous Problem – City of Monroe
Continuous Problem – City of Monroe
to Accompany
Essentials of Accounting for Governmental
and Not-for-Profit Organizations:
Thirteenth Edition
Chapters 2 through 8 describe accounting and financial reporting by state and local governments. A continuous problem is presented to provide an overview of the reporting process, including preparation of fund basis and government-wide statements. The problem assumes the government is using fund accounting for its internal record-keeping and then at year-end makes necessary adjustments to prepare the government-wide statements. The problem that follows is presented in the same order as the textbook (beginning with Chapters 3, and 4).
Each chapter requires the preparation of journal entries to record the events and transactions of governmental, proprietary, or fiduciary funds. For the General Fund, use control accounts for the budgetary accounts, revenues, expenditures and encum
ances. For all other funds, use separate accounts for each type of revenue and expenditure/expense. At appropriate stages, preparation of the fund and government-wide statements are required. The following funds are included in this series of problems:
Governmental Funds
· General
· Special revenue—Street and Highway Fund
· Capital projects—City Hall Annex Construction Fund
· Debt service—City Jail Annex Debt Service Fund
· Debt service—City Hall Debt Service Fund
Proprietary Funds
· Internal service—Stores and Services Fund
· Enterprise—Water and Sewer Fund
Fiduciary Funds
· Private-purpose—Student Scholarship Fund
· Pension trust—Fire and Police Retirement Fund
Chapters 3 & 4
The Balance Sheets of the General Fund and the Street and Highway Fund of the City of Monroe as of December 31, 2016, follow. These (beginning) balances have been entered in the proper general ledger accounts, as of 1/1/2017.
CITY OF MONROE
General Fund Balance Sheet
As of December 31, 2016
Assets
Cash
$497,000
Taxes receivable
$210,000
Less: Estimated uncollectible taxes
(37,000)
net
173,000
Interest and penalties receivable on taxes
5,200
Less: Estimated uncollectible interest and penalties
(950)
net
4,250
Due from state government
210,000
Total assets
$884,250
Liabilities, Defe
ed Inflows, and Fund Equity
Liabilities:
Accounts payable
$ 99,000
Due to other funds
27,000
Total liabilities
126,000
Defe
ed inflows – Property taxes
21,000
Fund equity:
Fund balance—assigned
(for outstanding encum
ances)
$17,000
Fund balance—unassigned
720,250
Total fund balance
737,250
Total liabilities, defe
ed inflows and fund equity
$884,250
CITY OF MONROE
Street and Highway Fund Balance Sheet
As of December 31, 2016
Assets
Cash
$23,000
Investments
59,000
Due from state government
107,000
Total assets
$189,000
Liabilities and Fund Equity
Liabilities:
Accounts payable
$9,000
Fund equity:
Fund balance—assigned for streets and
XXXXXXXXXXhighways
180,000
Total liabilities and fund equity
$189,000
3–C. This portion of the continuous problem continues the General Fund and special revenue fund examples by requiring the recording and posting of the budgetary entries. To reduce clerical effort required for the solution use control accounts for the budgetary accounts