The Town of Tonawanda Has $30,000 of Purchase Orders Outstanding

The Town of Tonawanda has $30,000 of purchase orders outstanding at the end of 2011 which will be honored.The goods and supplies were received early in January,2012.The invoice amounted to $28,950. What is the journal entry necessary to record receipt of goods and supplies?

A) Encumbrances Control (2011) 30,000 Budgetary Fund Balance
-- Reserve for Encumbrances (2011) 30,000
B) Budgetary Fund Balance -- Reserve for Encumbrances 30,0,00
Encumbrances Control (2011) 30,000
Expenditures Control (2011) 28,950
Accounts payable 28,950.
C) Encumbrances Control (2011) 28,950 Accounts payable 28,950.
D) Budgetary Fund Balance -- Reserve for Encumbrances (2011) 30,000
E) Fund Balance 30,000