Advanced Accounting 11th Edition by Paul Fischer,William Tayler, Rita Cheng

Exercise 14

Journal entries, identify funds. Belhurst purchased land costing $65,000 for park development. The amount had been encumbered at $70,000. Ten years later, because of a population shift, the park is no longer practical. The city sells the land for $105,000. Prepare journal entries to record the purchase and subsequent sale of the land, indicating in what fund or group each entry would be made. Use the following format: