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For Each of the Following Transactions, Select the Area of Accounting

Question 78

Matching

For each of the following transactions, select the area of accounting records in which an entry will be recorded.

Premises:

Responses:

Computers are ordered for the fire department.

Debt Service Fund and Governmental Activities.

Citizens are assessed for a street lighting project that has been legally restricted for those citizens.

General Fund only.

The principal and interest of a bond are paid.

General Fund and Debt Service Fund.

A building is acquired for the police department, and renovations begin immediately.

Capital Projects Fund and Governmental Activities.

A transfer of funds is made from the General Fund to the Debt Service Fund.

General Fund and Governmental Activities.

The city spends grant money received in (9) above and landscapes the tree-lined areas beside the streets for which the grant money was received.

Special Revenue Fund and Governmental Activities.

The city council adopts an annual budget for the General Fund.

Governmental Activities only.

Depreciation on fire trucks is recorded.

Property taxes are levied.

A grant is received to landscape tree-lined areas beside city-owned streets.

Premises:

Computers are ordered for the fire department.

Citizens are assessed for a street lighting project that has been legally restricted for those citizens.

The principal and interest of a bond are paid.

A building is acquired for the police department, and renovations begin immediately.

A transfer of funds is made from the General Fund to the Debt Service Fund.

The city spends grant money received in (9) above and landscapes the tree-lined areas beside the streets for which the grant money was received.

The city council adopts an annual budget for the General Fund.

Depreciation on fire trucks is recorded.

Property taxes are levied.

A grant is received to landscape tree-lined areas beside city-owned streets.

Responses:

Debt Service Fund and Governmental Activities.

General Fund only.

General Fund and Debt Service Fund.

Capital Projects Fund and Governmental Activities.

General Fund and Governmental Activities.

Special Revenue Fund and Governmental Activities.

Governmental Activities only.

Correct Answer:

Premises:

Responses:

Computers are ordered for the fire department.

Citizens are assessed for a street lighting project that has been legally restricted for those citizens.

The principal and interest of a bond are paid.

A building is acquired for the police department, and renovations begin immediately.

A transfer of funds is made from the General Fund to the Debt Service Fund.

The city spends grant money received in (9) above and landscapes the tree-lined areas beside the streets for which the grant money was received.

The city council adopts an annual budget for the General Fund.

Depreciation on fire trucks is recorded.

Property taxes are levied.

A grant is received to landscape tree-lined areas beside city-owned streets.