The following events take place: 1. Hector Madras died and left 100 acres of undeveloped land to the city for a future park. He acquired the land at $100 an acre, but at the date of his death, the land was appraised at $8,000 an acre. 2.The city authorized the transfer of $100,000 of general revenues and the issuance of $1,000,000 in general obligation bonds to construct improvements on the donated land. The bonds were sold at par. 3.The improvements were complete data cost of $1,100,000, and the operation of the park was turned over to the City Parks Department. Required: Prepare entries in general journal form to record these transactions in the proper fund(s). Desig- nate the fund in which each transaction is recorded. If the transaction did not result in a journal entry to a government fund, record the journal entry needed to reflect the information in the government-wide Statement of Net Position.

The following events take place: 1. Hector Madras died and left 100 acres of undeveloped land to the city for a future park. He acquired the land at $100 an acre, but at the date of his death, the land was appraised at $8,000 an acre. 2.The city authorized the transfer of $100,000 of general revenues and the issuance of $1,000,000 in general obligation bonds to construct improvements on the donated land. The bonds were sold at par. 3.The improvements were complete data cost of $1,100,000, and the operation of the park was turned over to the City Parks Department. Required: Prepare entries in general journal form to record these transactions in the proper fund(s). Desig- nate the fund in which each transaction is recorded. If the transaction did not result in a journal entry to a government fund, record the journal entry needed to reflect the information in the government-wide Statement of Net Position.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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