On 9/1/09 Birmingham County sold bonds at par value in the amount of $10,000,000 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 $10,000,000.On 12/1/09,when the contract was half finished,the contractor submitted a bill for $5,000,000.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

On 9/1/09 Birmingham County sold bonds at par value in the amount of $10,000,000 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 $10,000,000.On 12/1/09,when the contract was half finished,the contractor submitted a bill for $5,000,000.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

Quizplus · Accepted Answer

The Answer of On 9/1/09 Birmingham County sold bonds at par value in the amount of $10,000,000 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 $10,000,000.On 12/1/09,when the contract was half finished,the contractor submitted a bill for $5,000,000.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 Birmingham County Sold Bonds at Par Value in the Amount