Group 1

1. The general ledger trial balance of the General Fund of the City of Bedford on January 1,
2008, shows the following:
Dr. Cr.
Cash $100,000
Taxes Receivable 75,000
Allowance for Uncollectible Taxes $ 35,000
Unreserved Fund Balance 110,000
Reserve for Encumbrances—2007 30,000
Total $175,000 $175,000
A summary of activities and transactions for the General Fund during 2008 is presented here:
1. The City Council adopted a budget for the General Fund with estimated revenues of
$1,560,000 and authorization for appropriated expenditures of $1,400,000. The budget
authorized the transfer of $50,000 from the Water Fund to the General Fund for operating
expenses as a payment in lieu of taxes. Cash for the payment of interest due for the year on the
$1,000,000, 8% bond issue for the Civic Center is approved for transfer from the General Fund
to the Debt Service Fund.
2. The annual property tax levy of 10% on assessed valuation ($11,000,000) is billed to property
owners. Two percent is estimated to be uncollectible.
3. Goods and services amounting to $1,150,000 were ordered during the year.
4. Invoices for all goods ordered in 2007 amounting to $29,000 were approved for payment.
5. Funds for bond interest on Civic Center bonds were transferred to the Debt Service Fund.
6. Invoices for goods and services received during the year totaling $1,155,000 were recorded.
These were encumbered previously [see (3) above].
7. Transfer of funds from the Water Company was received in lieu of taxes.
8. Taxes were collected from property owners in the amount of $1,050,000.
9. Past-due tax bills of $17,000 were charged off as uncollectible.
10. Checks in payment of invoices for goods and services ordered in 2007 and 2008 were issued
[see items (4) and (6) above].
11. Revenues received from miscellaneous sources, other than property taxes, of $455,000 were
recorded.

1|Page
12. Purchase order for two trash collection vehicle systems complete with residence trash
containers for automatic pickup of trash was issued. Bid price per system was $120,000.
Required:
a) Prepare journal entries to record the summary transactions. You may find it necessary or
convenient to post journal entries to ledger t-accounts before the preparation of the
required trial balances.
b) Prepare a preclosing trial balance
c) Prepare a balance sheet and a statement of revenues, expenditures, and changes in fund
balance for the General Fund
d) Prepare closing entries.

Group 2

1. The trial balance for the General Fund of the City of Monte Vista as of December 31,
2008, is presented here:

Debit Credit
Cash $300,000
Supplies Inventory 75,000
Unreserved Fund Balance $300,000
Reserve for Supplies Inventory 75,000
$375,000 $375,000
Transactions of the General Fund for the year ended December 31, 2009, are summarized as
follows:
1. The City Council adopted the following budget for 2009:
Estimated revenue $1,600,000
Transfer from trust fund 50,000
Appropriations 1,530,000
Transfer to debt service fund 80,000
2. Property taxes of $1,500,000 were levied, of which it is estimated that $30,000 will not be
collected.
3. Purchase orders in the amount of $1,400,000 were placed with suppliers and other vendors.
4. Property taxes in the amount of $1,450,000 were collected.
5. Cash was received from the Trust Fund in the amount of $50,000.
6. Invoices in the amount of $1,380,000 were approved for payment. The amount originally
encumbered for these invoices was $1,360,000. The invoices included $25,000 net of trade-in
allowance for the purchase of a new minicomputer and $400,000 for supplies.

2|Page
The City received a trade-in-allowance of $4,000 on its old minicomputer, which had been
purchased three years earlier for $16,000. At the time the old minicomputer was purchased, it
was estimated that it would have a useful life of four years. The new minicomputer is expected to
last at least six years. The City of Monte Vista uses the purchase method to account for supplies
inventory.
7. Licenses and fees in the amount of $48,000 were collected.
8. Vouchers in the amount of $1,300,000 were paid.
9. Cash in the amount of $80,000 was transferred to the Debt Service Fund.
10. Supplies on hand at the end of the year amount to $100,000.
Required:
a) Prepare entries in general journal form to record the transactions of the General Fund for
the year ended December 31, 2009.
b) Prepare a preclosing trial balance for the General Fund as of December 31, 2009.
c) Prepare a balance sheet and a statement of revenues, expenditures, and changes in fund
balance for the General Fund for the year ended December 31, 2009.
d) Prepare the necessary closing entries for the General Fund for the year ended December
31, 2009.

Group 3
1. The trial balance for the General Fund of the City of Fairfield as of December 31, 2008,
is presented here:
City of Fairfield
The General Fund
Adjusted Trial Balance
December 31, 2008
Debit Credit
Cash $430,000
Property Tax Receivable 45,000
Estimated Uncollectible Taxes $ 20,000
Due from Trust Fund 50,000
Vouchers Payable 60,000
Reserve for Encumbrances 30,000
Unreserved Fund Balance 415,000
$525,000 $525,000
Transactions for the year ended December 31, 2009, are summarized as follows:
1. The City Council adopted a budget for the year with estimated revenue of $735,000 and
appropriations of $700,000.
2. Property taxes in the amount of $590,000 were levied for the current year. It is estimated that
$24,000 of the taxes levied will prove to be uncollectible.

3|Page
3. Proceeds from the sale of equipment in the amount of $35,000 were received by the General
Fund. The equipment was purchased 10 years ago with resources of the General Fund at a cost of
$150,000. On the date of purchase, it was estimated that the equipment had a useful life of 15
years.
4. Licenses and fees in the amount of $110,000 were collected.
5. The total amount of encumbrances against fund resources for the year was $642,500.
6. Vouchers in the amount of $455,000 were authorized for payment. This was $15,000 less than
the amount originally encumbered for these purchases.
7. An invoice in the amount of $28,000 was received for goods ordered in 2008. The invoice was
approved for payment.
8. Property taxes in the amount of $570,000 were collected.
9. Vouchers in the amount of $475,000 were paid.
10. Fifty thousand dollars was transferred to the General Fund from the Trust Fund.
11. The City Council authorized the write-off of $30,000 in uncollected property taxes.
Required:
a) Prepare entries in general journal form to record the transactions for the year ended
December 31, 2009.
b) Prepare a preclosing trial balance for the General Fund as of December 31, 2009.
c) Prepare a balance sheet and a statement of revenues, expenditures, and changes in fund
balance for the General Fund for the year ended December 31, 2009.
d) Prepare the necessary closing entries for the year ended December 31, 2009.

Group 4

1. X organization adopted a general fund budget at the beginning of the fiscal year. The
estimated revenue was Birr 1,100,000 birr and appropriation was Birr 1,000,000.
2. Purchased orders and contracts were approved for goods and services expected to cost:
For Police force $50,000
For fire protection $40,000
Total 90,000
3. Most of the goods and services ordered above were received.
Estimated actual
For police $40,000 $41,000
For fire 50,000 54,000
Total 100,000 95,000
4. Paid cash for the purchase order received

4|Page
 5. Assume local taxes were assessed and levied on jan1, 2010 for Birr 100,000 birr. The tax
payer should make a payment up to feb28, 2010 if not until march 30, 2010 with 5% flat
penalty and 6% interest per year. And the local tax authority declared 2% of allowance
for uncollectable tax.
6. On Feb. 15, 2010 40% of current tax was collected.
7. On march5, 2010 the remaining tax becomes delinquent.
8. On March 30, 2010 the delinquent tax were fully collected with interest and penalties.
9. The company acquired short term fixed asset for Birr 35,000 on cash.
10. General fund decided to transfer Birr 5,000 to debit service fund for the payment of
interest.
11. The funds were already transferred from general fund to debit service fund.
12. Utility bill for birr 11,000 were incurred.

Required:

a) journalize the above transactions

b) Prepare a preclosing trial balance for the General Fund
c) Prepare a balance sheet and a statement of revenues, expenditures, and changes in fund
balance for the General Fund
d) Prepare the necessary closing entries for the year

GROUP 5
1. Revenue for the year was estimated to be birr 420,000 and appropriation was to be birr
400,000.
2. Property tax of birr 420,000 was set and 2% of estimated allowance for uncollectible was
included.
3. Purchase order for supplies costing birr 60,000 was issued.
4. Birr 300,000 of the property tax was collected.
5. Fixed asset of birr 100,000 was purchased on cash.
6. Received supplies ordered at a price of birr 55,000.

5|Page
 7. It was decided to transfer 200,000 to general fund from capital project fund
8. Payroll of birr 24,000 was paid.
Required;
a. Journalize the above transactions.
b. Prepare statement of position
Additional information
9. Collected tax for the amount of birr 100,000.
10. Tax receivable current become delinquent.
11. Paid the amount due to supplies birr 40,000.
12. General fund received the transfer from capital project fund.
13. Delinquent tax was paid with an additional interest and penalties of 2400 birr.
14. Paid telephone bill of 15,000 birr.
15. Transfer 100,000 birr to debit service fund by receiving an order from higher officials.
16. Utility bill of 25,000 birr was received

Required;
a. Journalize the above transactions
b. Prepare trial balance
c. Prepare statement of revenue expenditure and fund balance.
d. Close the temporary accounts.

GROUP 6

1. The following transactions relate to the General Fund of the City of Buffalo Falls for the
year ended December 31, 2012:
a. Beginning balances were: Cash, $150,000; Taxes Receivable, $200,000; Accounts
Payable, $50,000; and Fund Balance, $300,000.
b. The budget was passed. Estimated revenues amounted to $2,000,000 and appropriations
totaled $1,980,000. All expenditures are classified as General Government.
c. Property taxes were levied in the amount of $1,200,000. All of the taxes are expected to
be collected before February 2013.
d. Cash receipts totaled $1,200,000 for property taxes and $740,000 from other revenue.

6|Page
 e. Contracts were issued for contracted services in the amount of $900,000.
f. Contracted services were performed relating to $765,000 of the contracts with invoices
amounting to $759,000.
g. Other expenditures amounted to $950,000.
h. Accounts payable were paid in the amount of $1,700,000.
i. The books were closed.
Required:

I. Prepare journal entries for the above transactions.

II. Prepare trial balance
III. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the
General Fund.
IV. Prepare a Balance Sheet for the General Fund assuming there are no restricted or
assigned net resources and outstanding encumbrances are committed by contractual
obligation.

GROUP 7

The following transactions relate to the General Fund of the City of DIBBO for the year ended
December 31, 2012:

1. Beginning balances were: Cash, $150,000; Taxes Receivable, $200,000; Accounts Payable,
$50,000; and Fund Balance, $300,000.
2. The budget was passed. Estimated revenues amounted to $2,000,000 and appropriations
totaled $1,980,000. All expenditures are classified as General Government.
3. Property taxes were levied in the amount of $1,200,000. All of the taxes are expected to be
collected before February 2013.
4. Cash receipts totaled $1,200,000 for property taxes and $740,000 from other revenue.
5. Contracts were issued for contracted services in the amount of $900,000.
6. Contracted services were performed relating to $765,000 of the contracts with invoices
amounting to $759,000.
7. Other expenditures amounted to $950,000 were accounted.
8. Accounts payable were paid in the amount of $1,700,000.
Required:
7|Page
 a. Prepare journal entries for the above transactions.
b. Prepare trial balance
c. Prepare a Statement of Revenues, Expenditures, and Changes in Fund Balance for the
General Fund.
d. Prepare a Balance Sheet for the General Fund assuming there are no restricted or
assigned net resources and outstanding encumbrances are committed by contractual
obligation.

Group 8

The General Fund trial balance of the City of Cordes as of January 1, 2012, was as follows:
Debits Credits
Cash $20,000
Taxes Receivable—Delinquent 77,200
Estimated Uncollectible Taxes—Delinquent $ 9,200
Accounts Payable 16,000
Budgetary Fund Balance—Reserve for Encumbrances 8,500
Fund Balance 63,500
$97,200 $97,200
The following data pertain to General Fund operations for the City of Cordes for the fiscal year
ended December 31, 2012:
1. Budget adopted:
Revenues:
Property Taxes $420,800
Fines, Forfeits, and Penalties 160,000
Miscellaneous Revenues 20,000
$600,800
Expenditures and Other Financing Uses:
Public Safety $390,000
General Government 120,000
Culture and Recreation 54,000

Transfers Out 30,000

$594,000
2. Encumbrances outstanding at the end of 2011 were re-established.
3. Property taxes of $430,000 were levied. Two percent of the tax levy is expected to be
uncollectible.
4. Purchase orders issued in 2012:

Public Safety $152,000

General Government 80,000
Culture and Recreation 54,000
$286,000

8|Page
 5. Cash collections and transfers:
Delinquent Taxes $ 39,200
Current Taxes 368,000
Fines, Forfeits, and Penalties 154,000
Miscellaneous Revenues 20,000
Transfers In 18,000
$599,200
6. Purchase orders issued in 2012 were filled in the following amounts:
Estimated Actual
Public Safety $149,000 $148,400
General Government 80,000 80,000
Culture and Recreation 54,000 54,000
$283,000 $282,400
7. Purchase orders issued in 2011 in the following amounts were filled in 2012:
Estimated Actual
Public Safety $8,500 $8,400

8. Additional accounts payable for salaries and wages (not encumbered):

Public Safety $230,000
General Government 37,000
267,000
9. Accounts paid amounted to $570,000; the transfer out, $30,000, was made in cash.
10. Reclassify Taxes Receivable—Current and Estimated Uncollectible Taxes—Current as
delinquent.

Required:
a) Prepare journal entries to record the effects of the foregoing data. Omit explanations and
subsidiary accounts.
b) Prepare closing entries.
c) Prepare for the General Fund of the City of Cordes
1) A Statement of Revenues, Expenditures, and Changes in Fund Balance for the year
ended December 31, 2012.
2) A Balance Sheet as of December 31, 2012, assuming there are no restricted or
committed net resources and the only assigned net resources are the outstanding
encumbrances.

9|Page