Question

The Fire Department of a certain city received an appropriation in the amount of $13,000,000 for the fiscal year ended December 31, 2016. During the month ended January 31, 2017, the following transactions occurred: (a) purchase orders were issued in the amount of $480,000; (b) purchase orders, related to (a) above, were filled in the amount of $380,000; the related invoice amount was $368,000; invoices were paid in the amount of $350,000; (c) salaries were accrued and paid in the amount of $575,000; (d) the appropriation was increased in amount of $100,000. The amount available for the Fire Department as of January 31, 2017 would be:

Answer 1

Answer:

$12,175,000 dollars available.

Explanation:

In order to calculate this, you just have to keep in mind that they have $13,000,000 in their accounts, so they had purchase orders, for 480,000, but only 350,000 from those were actually paid, so we withdraw that and the wages from the 13 million, and then as appropiration increased $100,000 we add it up to the account in the banks, we are left with $12,175,000 dollars in the bank.