For each of the summarized transactions for the Village of Sycamore General Fund, prepare the general ledger journal entries.

For each of the summarized transactions for the Village of Sycamore General Fund, prepare the general ledger journal entries.

The budget was formally adopted, providing for estimated revenues of $1,076,000 and appropriations of $1,006,000. Revenues were received, all in cash, in the amount of $1,019,000. Purchase orders were issued in the amount of $486,000. Of the $486,000 in (c), purchase orders were filled in the amount of $479,500; the invoice amount was $478,000 (not yet paid). Expenditures for payroll not encumbered amounted to $518,000 (not yet paid). Amounts from (d) and (e) are paid in cash.

Answers

a.No entry

b. Dr Cash 1010000

        Cr   Revenue     1010000

c. No entry

d. Dr Purchases 470500

          Cr Accounts payable   470500

e. Dr Payroll expense  510000

              Cr Payroll payable       510000

Explanation:

c. As orders is issued not invoice has come yet.

d.Expense incurred but not payable.

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