The following information pertains to the Richardson County General Fund:
$\begin{array}{lr}
\text { Expenditures } & \$ 12,800 \
\text { Revenues } & 9,200 \
\text { Long-term bond issue proceeds } & 1,000 \
\text { Short-term note principal retirements } & 250 \
\text { Operating transfers to other funds } & 75
\end{array}$
The change in fund balance for Richardson County's General Fund for the year is a

Question

The following information pertains to the Richardson County General Fund: 
$\begin{array}{lr}
\text { Expenditures } & \$ 12,800 \
\text { Revenues } & 9,200 \
\text { Long-term bond issue proceeds } & 1,000 \
\text { Short-term note principal retirements } & 250 \
\text { Operating transfers to other funds } & 75
\end{array}$
The change in fund balance for Richardson County's General Fund for the year is a

Quizplus · Accepted Answer

The change in fund balance is calculated by subtracting expenditures and other financing uses from revenues and other financing sources. Here, revenues are $9,200, expenditures are $12,800, operating transfers to other funds are $75, and long-term bond issue proceeds are $1,000. Short-term note principal retirements are not a revenue or an expenditure but a liability payment. Therefore, the change in fund balance is $9,200 (Revenues) + $1,000 (Long-term bond issue proceeds) - $12,800 (Expenditures) - $75 (Operating transfers to other funds) = -$2,675.

The Following Information Pertains to the Richardson County General Fund