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0 ER FUNDS Internal Service Fund Journal Entries December 31, 2017 18000 48,700

ID: 2391006 • Letter: 0

Question



0 ER FUNDS Internal Service Fund Journal Entries December 31, 2017 18000 48,700 Account Tide hwtory of Supplies Accounts payable 1012 Duehom omerAnda Operating Revenu Charges for services 12 13 3 Operaing expenses-cost of services DVANCE FROM DEPRECIATION S PAYABLE WAGES PAYABLE Inventary of Supplies Accounts payable Cash 164 4&80O 17 18 95 Due from other funds 22 6 OPERATING REVENLE ?erating expenses-cost o Wages payable NET POSITION SERVICES 26,200 720t 98,0003 7 Advance from enterprise fund Cash 9Cash Bank note payable OFERATING EXPENSES OPERATING EXPENSES DEPRECIATION NONOPERATING EXPENSES INTEREST 3 36700 8 48.400 10 ?noperating expenses-interest Interost payable 11 Operating expenses cost of services Wages payable

Explanation / Answer

Journal Entry Sr.No. Particulars Debit Credit 1 Supplies inventory $        38,000 To Accounts Payable $        38,000 (Being inventory purchased) 2 Due From General Fund $        68,000 Due From enterprise Fund $        30,000 To Revenue $        98,000 (Being service provided) 3 Cost of goods sold $        36,700 To Supplies inventory $        36,700 (Being supplies consumed) 4 Accounts Payable $        38,800 To Cash $        38,800 (Being payment made to payables) 5 Cash $        92,000 To Due from general Fund $        62,000 To Due from enterprise Fund $        30,000 (being cash colected) 6 Accounts wages Payable $              300 Salaries $        48,400 To cash $        48,700 (Being salaries paid) 7 Advance from enterprise fund $          8,000 To cash $          8,000 (being advance repaid) 8 Cash $        12,000 To 12% bank note $        12,000 (being money borrowed) 9 Depreciation expenses $          6,900 To Accumulated depreciation $          6,900 (Being depreciation for the year provided) 10 interest Expenses $              720 To interest acurred $              720 (being interest booked) 11 Salaries $              770 To Accounts wages Payable $              770 (Being unpaid wages booked) Clsing entry 12 Revenue $        98,000 To cost of goods sold $        36,700 To Salaries $        49,170 To depreciation $          6,900 To interest expnses $              720 To Net income $          4,510 Due From General Fund Journal No. Debit Journal No. Debit Opening Balance $          6,500 5 $        62,000 2 $        68,000 Closing balaance $        12,500 Due From enterprise Fund Journal No. Debit Journal No. Debit Opening Balance $                 -   5 $        30,000 2 $        30,000 Closing balance $                 -   Cash Journal No. Debit Journal No. Debit Opening Balance $        18,000 4 $        38,800 5 $        92,000 6 $        48,700 8 $        12,000 7 $          8,000 Closing balance $        26,500 Capital Assets Journal No. Debit Journal No. Debit Opening Balance $        35,000 Closing balance $        35,000 Supplies inventory Journal No. Debit Journal No. Debit Opening Balance $          4,000 3 $        36,700 1 $        38,000 Closing balance $          5,300 Accounts payable Journal No. Debit Journal No. Debit 4 $        38,800 Opening Balance $          5,500 Closing balance $          4,700 1 $        38,000 Accounts wages payable Journal No. Debit Journal No. Debit 6 $              300 Opening Balance $              300 Closing balance $              770 11 $              770 Accumulated Depreciation Journal No. Debit Journal No. Debit Closing balance $        13,400 Opening Balance $          6,500 9 $          6,900 Advance from enterprise fund Journal No. Debit Journal No. Debit 7 $          8,000 Opening Balance $        25,000 Closing balance $        17,000 12% bank note Journal No. Debit Journal No. Debit Closing balance $        12,000 8 $        12,000 interest acrrued Journal No. Debit Journal No. Debit Closing balance $              720 10 $              720 Net Position Journal No. Debit Journal No. Debit Closing balance $        30,710 Opening Balance $        26,200 P&L Account $          4,510 Revenue Journal No. Debit Journal No. Debit P&L Account $        98,000 2 $        98,000 Cost of goods sold Journal No. Debit Journal No. Debit 3 $        36,700 P&L Account $        36,700 Salaries Journal No. Debit Journal No. Debit 6 $        48,400 P&L Account $        49,170 11 $              770 Depreciation expenses Journal No. Debit Journal No. Debit 9 $          6,900 P&L Account $          6,900 interest Expenses Journal No. Debit Journal No. Debit 10 $              720 P&L Account $              720 Satement of revenue expenses Particulars Revenue $    98,000 Expenses Cost of goods sold $    36,700 Salaries $    49,170 Depreciation expenses $      6,900 interest expenses $          720 Net Income $      4,510 Satement of change in Net position Opening balance $    26,200 Net income $      4,510 Closing balance $    30,710 Statement of cash flow Net Income $    4,510 Non Cash expenses Depreciation $    6,900 Interest expenses $        720 Change in Working capital Increase in dues $ (6,000) Increase in inventory $ (1,300) Decrease in payables $      (800) Increase in wages payable $        470 Decrease in advance payable $ (8,000) Cash flow from operation $ (3,500) Cashflow from investing $           -   12% bank note $ 12,000 Cash flow from financing $ 12,000 Net change in cash $    8,500 Opening cash $ 18,000 Closing cash $ 26,500