The City of Ayers Accounts for the Following Activities in Its

The City of Ayers accounts for the following activities in its Special Revenue Fund. The City receives the following grants:
a. The City of Ayers seeks to be reimbursed by the state for costs incurred in training police officers to better handle stressful situations. To receive reimbursement, the City must submit quarterly reports showing its expenditures, which it has done. Its expenditures for the quarter January through March 2019 were $320,000. Prepare separate journal entries to record (1) its expenditures under the grant and (2) its billing to the state.
b. The City of Ayers receives an expenditure-driven grant from the federal government to provide public concerts to traditionally underserved communities. The grant contains no time limits, but the City of Ayers must sponsor "qualifying" concerts as an eligibility requirement to be reimbursed for concert costs. The City will be reimbursed for each dollar it spends on qualifying concerts up to a maximum of $60,000.
Prepare three separate journal entries in the City of Ayers' Parks and Recreation Special Revenue Fund to record (1) receipt of a $20,000 of grant proceeds that is received from the federal government prior to City sponsoring a qualifying concert, (2) incurring $65,000 of cash expenditures in the Special Revenue Fund for qualifying concerts during the current year, and (3) recording revenue from and the billing to the federal government.