On January 1, 2019, a city recorded General Fund property tax revenues of $750,000 but made no provision for uncollectible receivables or tax refunds. During the year, it collected property taxes of $720,000, wrote off $4,000 as uncollectible, and made tax refunds of $3,000. At year-end, the city finance director concluded that $10,000 of the delinquent taxes would be collected in January and February of 2020, $12,000 would be collected later in 2020, and $1,000 would need to be written off as uncollectible. How much should the city report as Deferred revenues-property taxes in its General Fund financial statements for the year 2019?

Question

Quizplus · Accepted Answer

Deferred revenues-property taxes is the amount of the property taxes that is expected to be collected after the first 60 days of the next fiscal year. In this case, $12,000 is expected to be collected after February 2020.

On January 1, 2019, a City Recorded General Fund Property