Transactions in governmental accounting may be classified as being either:
• External - transactions between the governmental unit and its citizens, employees, suppliers, creditors, or other governments.
• Internal - transactions between funds
A listing of all possible transactions would then look like this:
A. External transactions
B. Long-term loans
C. Transfers
D. Interfund services provided and used
E. Reimbursements
F. Short-term loans
G. Other transactions between funds that do not meet the criteria B to F
Identify the type of transaction that best fits each of the following events:
1. A government-owned and operated electric utility billed its industrial and commercial users $2,000,000 for electric usage.
2. The same government-owned and operated electric utility billed the local government $150,000 for electric usage. The entire bill was sent to the General Fund.
3. Some General Fund money was advanced to a Capital Projects Fund to allow construction on a project to begin before related bonds were to be issued. The amount is to be repaid in 6 months.
4. A vehicle used by the Parks and Recreation Activity, which is accounted for in the General Fund, was reassigned to the Golf course, which is accounted for in an Enterprise Fund.
5. Property taxes were levied by the General Fund on the property owners of the City.
6. The annual payment from the General Fund to a Debt Service Fund for the annual long-term debt principal and interest payment on some serial bonds issued five years earlier by the General Fund.
7. An invoice that should have been paid by Special Revenue Fund #1 was erroneously paid by Special Revenue Fund #2. Money was paid by SRF #1 to SRF #2 to correct the error.
8. Computer support for government functions is provided centrally by an Automated Data Processing Internal Service Fund which bills each department monthly based on CPU time. The bill for November was sent to the General Fund for payment.
9. Special Revenue Fund cash was contributed to establish an Enterprise Fund.
10. A payment from an Enterprise Fund to the General Fund for utilities paid for with General Fund cash and recorded as expenditures in the General Fund in the current year (See entry 2).
11. The remaining assets of a Debt Service Fund were transferred to the General Fund for use in operations.
12. The General Fund provided money to an Enterprise Fund to purchase capital assets. This payment is to be repaid in 5 years without interest.

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The Answer of Transactions in governmental accounting may be classified as being either:
• External - transactions between the governmental unit and its citizens, employees, suppliers, creditors, or other governments.
• Internal - transactions between funds
A listing of all possible transactions would then look like this:
A. External transactions
B. Long-term loans
C. Transfers
D. Interfund services provided and used
E. Reimbursements
F. Short-term loans
G. Other transactions between funds that do not meet the criteria B to F
Identify the type of transaction that best fits each of the following events:
1. A government-owned and operated electric utility billed its industrial and commercial users $2,000,000 for electric usage.
2. The same government-owned and operated electric utility billed the local government $150,000 for electric usage. The entire bill was sent to the General Fund.
3. Some General Fund money was advanced to a Capital Projects Fund to allow construction on a project to begin before related bonds were to be issued. The amount is to be repaid in 6 months.
4. A vehicle used by the Parks and Recreation Activity, which is accounted for in the General Fund, was reassigned to the Golf course, which is accounted for in an Enterprise Fund.
5. Property taxes were levied by the General Fund on the property owners of the City.
6. The annual payment from the General Fund to a Debt Service Fund for the annual long-term debt principal and interest payment on some serial bonds issued five years earlier by the General Fund.
7. An invoice that should have been paid by Special Revenue Fund #1 was erroneously paid by Special Revenue Fund #2. Money was paid by SRF #1 to SRF #2 to correct the error.
8. Computer support for government functions is provided centrally by an Automated Data Processing Internal Service Fund which bills each department monthly based on CPU time. The bill for November was sent to the General Fund for payment.
9. Special Revenue Fund cash was contributed to establish an Enterprise Fund.
10. A payment from an Enterprise Fund to the General Fund for utilities paid for with General Fund cash and recorded as expenditures in the General Fund in the current year (See entry 2).
11. The remaining assets of a Debt Service Fund were transferred to the General Fund for use in operations.
12. The General Fund provided money to an Enterprise Fund to purchase capital assets. This payment is to be repaid in 5 years without interest.

Transactions in Governmental Accounting May Be Classified as Being Either