On 9/1/09 Hill County sold bonds at par value in the amount of $ 5,000,000 to finance construction of a new library. On 10/10/09 Hills County entered into a contract with a private contractor to build a new library building in the amount of $5,000,000. On 12/1/09, when the contract was half finished, the contractor submitted a bill for $2,500,000. The bill was paid on 12/15/09 less Hills' standard 5% retention to assure any construction deficiencies are corrected. Hills County operates on a Dec. 31 fiscal year.
Required: Prepare the journal entries required in the Capital Projects Fund for the above transactions.

Question

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The Answer of On 9/1/09 Hill County sold bonds at par value in the amount of $ 5,000,000 to finance construction of a new library. On 10/10/09 Hills County entered into a contract with a private contractor to build a new library building in the amount of $5,000,000. On 12/1/09, when the contract was half finished, the contractor submitted a bill for $2,500,000. The bill was paid on 12/15/09 less Hills' standard 5% retention to assure any construction deficiencies are corrected. Hills County operates on a Dec. 31 fiscal year.
Required: Prepare the journal entries required in the Capital Projects Fund for the above transactions.

On 9/1/09 Hill County Sold Bonds at Par Value in the Amount