The County Commission of Canyon County adopted its General Fund budget for the year ending June 30, comprising estimated revenues of $13,200,000 and appropriations of $12,900,000. The budgeted excess of estimated revenues over appropriations will be recorded as:

Question

Quizplus · Accepted Answer

The budgeted excess of estimated revenues over appropriations represents a surplus in the General Fund, which is a positive sign for the county. This surplus will be credited to the Budgetary Fund Balance account, which is a component of the Fund Balance. The Budgetary Fund Balance represents the unassigned portion of fund balance, and it is available for future appropriation by the county commission. Therefore, option (C) "A credit to Budgetary Fund Balance, $300,000" is the correct answer. Option (A) is incorrect because there is no account called Surplus Revenues. Option (B) is incorrect because there is no account called Estimated Excess Revenues. Option (D) is incorrect because a memorandum entry is not sufficient to record a budgeted surplus.

The County Commission of Canyon County Adopted Its General Fund