Question

For each of the summarized transactions for the Village of Sycamore General Fund, prepare the general ledger journal entries. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)


The budget was formally adopted, providing for estimated revenues of $1,070,000 and appropriations of $996,000.


Revenues were received, all in cash, in the amount of $1,010,000.


Purchase orders were issued in the amount of $479,000.


Of the $479,000 in (c), purchase orders were filled in the amount of $470,500; the invoice amount was $470,000 (not yet paid).


Expenditures for payroll not encumbered amounted to $510,000 (not yet paid).


Amounts from (d) and (e) are paid in cash.

Answer 1

Answer:

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.