Exam 5: Accounting for Other Governmental Fund Types: Capital Projects, Debt Service, and Permanent

Fund basis financial statements in which capital projects funds are reported are the Governmental Funds Balance Sheet and the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances.

Funds whose earnings benefit individuals, private organizations, or other governments are reported in private-purpose trust funds.

Permanent funds account for resources that are donor restricted to the extent earnings but not principal may be used to support government programs.

Unexpended resources transferred to the debt service fund from the General Fund would typically be classified as Restricted Fund Balance.

The journal entry for the Debt Service fund upon the receipt of money from the General Fund would be:

Any governmental fund may have a positive Unassigned Fund Balance.

What would be the amount of debt service expenditures reported in the fiscal year ended June 30, 2018?

When a purchase order is issued under a Capital Projects fund, how should the transaction be recorded?

How would the construction costs of $4,968,750 be reported at year-end?

If a government issues new debt, and places the proceeds in an escrow account pending the maturity date of existing debt, the existing debt is said to be defeased.

Capital project funds exist for the duration of the project for which it is created and are then closed.

Budgets are typically recorded for which of the following:

Debt service funds are used to account for the payment of principal and interest of both general and enterprise related long-term debt of a state or local governmental unit.

Private-purpose Trust Funds benefit individuals, private organizations, or other governments.

Budgets are typically recorded for capital projects, debt service, and permanent funds.

Debt service funds may be required to account for resources used for interest and principal payments on term and serial bonds, notes, capital , or warrants

Budgets are typically recorded for Capital Projects Funds.

Fixed assets of completed projects are recorded in the accounts of capital projects funds.

In addition to reporting Bonds Payable and unamortized Bond Premium in the government-wide Statement of Net Position, how would the bond sale be reported?

What is the correct debit or credit for the following scenario: A contract was issued for the major part of work to be done by a private contractor in the amount of $1,200,000 for a new County court house?