Equipment acquired several years ago by a capital projects fund and recorded in the governmental activities general journal was sold.The cash received was considered to be unrestricted revenue.Entries are necessary in the

Question

Quizplus · Accepted Answer

The sale of the equipment would only affect the General Fund and the governmental activities journal. The General Fund would receive the cash from the sale, which would be considered unrestricted revenue. The governmental activities journal would need to record the sale to correctly reflect the changes in the government's financial position. The sale of the equipment would not affect the capital projects fund or enterprise fund because those funds were not involved in the original acquisition of the equipment.

Equipment Acquired Several Years Ago by a Capital Projects Fund