The City of Madison,a general purpose government,reported fund balances in the amount of $24,300,000 in the governmental funds balance sheet dated December 31,2012.In addition,the following information is relevant:
A.General government fixed assets amounted to $37,000,000.Accumulated depreciation of those fixed assets amounted to $18,000,000.
B.General long-term liabilities of the government amounted to $6,000,000.
C.Property taxes,which should be recognized as receivables in the government-wide statements,amounted to $3,000,000.Property taxes recognized as receivables in the governmental funds balance sheet amounted to $2,000,000; the remainder had been deferred,in accord with modified accrual accounting
D.Internal service funds net assets amounted to $6,000,000.These were reported in the proprietary funds balance sheet.
E.Liabilities,in addition to the amount reported in the governmental funds balance sheet included:
(1)accrued interest payable,$300,000; (2)compensated absences payable,$4,500,000.
Required:
Prepare a reconciliation from the fund balances recognized in the governmental funds balance sheet to the net assets recognized in the governmental funds column of the government-wide statement of net assets.

Question

The City of Madison,a general purpose government,reported fund balances in the amount of $24,300,000 in the governmental funds balance sheet dated December 31,2012.In addition,the following information is relevant:
A.General government fixed assets amounted to $37,000,000.Accumulated depreciation of those fixed assets amounted to $18,000,000.
B.General long-term liabilities of the government amounted to $6,000,000.
C.Property taxes,which should be recognized as receivables in the government-wide statements,amounted to $3,000,000.Property taxes recognized as receivables in the governmental funds balance sheet amounted to $2,000,000; the remainder had been deferred,in accord with modified accrual accounting
D.Internal service funds net assets amounted to $6,000,000.These were reported in the proprietary funds balance sheet.
E.Liabilities,in addition to the amount reported in the governmental funds balance sheet included:
 (1)accrued interest payable,$300,000; (2)compensated absences payable,$4,500,000.
Required:
 Prepare a reconciliation from the fund balances recognized in the governmental funds balance sheet to the net assets recognized in the governmental funds column of the government-wide statement of net assets.

Quizplus · Accepted Answer

The Answer of The City of Madison,a general purpose government,reported fund balances in the amount of $24,300,000 in the governmental funds balance sheet dated December 31,2012.In addition,the following information is relevant:
A.General government fixed assets amounted to $37,000,000.Accumulated depreciation of those fixed assets amounted to $18,000,000.
B.General long-term liabilities of the government amounted to $6,000,000.
C.Property taxes,which should be recognized as receivables in the government-wide statements,amounted to $3,000,000.Property taxes recognized as receivables in the governmental funds balance sheet amounted to $2,000,000; the remainder had been deferred,in accord with modified accrual accounting
D.Internal service funds net assets amounted to $6,000,000.These were reported in the proprietary funds balance sheet.
E.Liabilities,in addition to the amount reported in the governmental funds balance sheet included:
 (1)accrued interest payable,$300,000; (2)compensated absences payable,$4,500,000.
Required:
 Prepare a reconciliation from the fund balances recognized in the governmental funds balance sheet to the net assets recognized in the governmental funds column of the government-wide statement of net assets.

The City of Madison,a General Purpose Government,reported Fund Balances in the Amount