ESSENTIALS OF ACCOUNTING FOR GOVERNMENTAL AND NOT-FOR-PROFIT
ORGANIZATIONS 12TH EDITION COPLEY
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CHAPTER 6Proprietary Funds
6-1. THE SOLUTION TO THIS AND THE FIRST EXERCISE OF CHAPTERS 1 THROUGH 9 WILL DIFFER FROM STUDENT TO STUDENT ASSUMING EACH HAS A DIFFERENT CAFR.
6-2. GOVERNMENT DEPARTMENTS PURCHASING GOODS AND SERVICES FROM AN INTERNAL SERVICE FUND RECORD EXPENDITURES EQUAL TO THE REVENUES (NOT THE EXPENSES) OF AN INTERNAL SERVICE FUND. IF AN INTERNAL SERVICE FUND HAS POSITIVE OPERATING INCOME, THEN THE EXPENDITURES REPORTED IN THE GENERAL FUND EXCEED THE TRUE COST OF OPERATING THE GOVERNMENT.
IF AN INTERNAL SERVICE FUND HAS NEGATIVE OPERATING INCOME, THEN THE EXPENDITURES REPORTED IN THE GENERAL FUND UNDERSTATE THE TRUE COST OF OPERATING THE GOVERNMENT.
6-3. UNLIKE INTERNAL SERVICE FUNDS, IT IS FREQUENTLY DESIRABLE FOR ENTERPRISE FUNDS TO OPERATE AT A PROFIT (INCREASE IN NET POSITION). LIKE COMMERCIAL BUSINESSES, OPERATING PROFITS ARE NECESSARY TO ESTABLISH ADEQUATE WORKING
Chapter 06- Proprietary Funds 6-1
CAPITAL, PROVIDE FOR EXPANSION OF PHYSICAL FACILITIES, AND RETIRE DEBT. ADDITIONALLY, GOVERNMENTS MAY FIND IT DESIRABLE TO USE ENTERPRISE FUND PROFITS TO SUPPORT GENERAL GOVERNMENT EXPENDITURES THAT WOULD OTHERWISE REQUIRE INCREASED TAXES.
Chapter 06- Proprietary Funds 6-2
Chapter 06- Proprietary Funds 6-3 6-4
VILLAGE OFSEASIDE PINES ENTERPRISE FUND GENERAL JOURNAL DEBITS CREDITS OPERATING REVENUES –CHARGES FOR SALES AND SERVICES TRANSFERS IN NONOPERATING REVENUES- INTEREST OPERATING EXPENSES: COSTS OF SALES AND SERVICES DEPRECIATION ADMINISTRATIVE AND SELLING NONOPERATING EXPENSES-INTEREST NET POSITION 550,000 100,000 28,000 492,000 45,000 25,000 17,000 99,000 6-4(B). VILLAGE OFSEASIDE PINES ENTERPRISE FUND STATEMENT OFREVENUES, EXPENSES, ANDCHANGES INFUNDNET POSITION FORTHE YEARENDED JUNE 30, 2015 OPERATING REVENUES: CHARGES FOR SALES AND SERVICES $ 550,000 OPERATING EXPENSES: COSTS OF SALES AND SERVICES ADMINISTRATIVE AND SELLING DEPRECIATION TOTAL OPERATING EXPENSES $ 492,000 25,000 45,000 562,000 OPERATING INCOME (LOSS) (12,000) NONOPERATING REVENUES (EXPENSES): INTEREST REVENUE INTEREST EXPENSE 28,000 (17,000) INCOME (LOSS)BEFORE TRANSFERS (1,000) TRANSFER IN FROM GENERAL FUND INCREASE IN NET POSITION 100,000 99,000 NET POSITION,JULY 1, 2014 -0NET POSITION,JUNE 30, 2015 $99,000
(A)
I
Chapter 06- Proprietary Funds 6-4 6-4(C). NET INVESTMENT IN CAPITAL ASSETS RESTRICTED NET POSITION UNRESTRICTED NET POSITION TOTAL CAPITAL ASSETS 700,000 700,000 LESS ACCUMULATED DEPRECIATION (45,000) (45,000) LESS REVENUE BOND PAYABLE (625,000) (565,000) RESTRICTED -0- -0UNRESTRICTED (PLUG) 69,000 69,000 TOTAL NET POSITION $30,000 -0- 69,000 99,000 VILLAGE OFSEASIDE PINES ENTERPRISE FUND STATEMENT OFNETPOSITION JUNE 30, 2015 NET POSITION: NET INVESTMENT IN CAPITAL ASSETS UNRESTRICTED TOTAL NET POSITION 30,000 69,000 $ 99,000 6-5 VILLAGE OFSEASIDE PINES ENTERPRISE FUND RECONCILIATIONOFOPERATINGINCOMETO NETCASHPROVIDEDBYOPERATINGACTIVITIES FOR THE YEAR ENDED JUNE 30,2015
PERATING INCOME (LOSS) $(1,000) ADJUSTMENTS:
EPRECIATION EXPENSE
O
D
NCREASE IN RECEIVABLES
NCREASE IN ACCOUNTS RECEIVABLE (
NCREASE IN SUPPLIES
NCREASE IN ACCOUNTS PAYABLE $45,000 (40,000) (35,000) (18,000) 115,000 67,000 NET CASH PROVIDED BY OPERATING ACTIVITIES $66,000 6-6(A).
FROM OTHER FUNDS I
NET) I
I
Chapter 06- Proprietary Funds 6-5
WATER
GENERALJOURNAL JULY1,2014-JUNE30,2015 DEBITS CREDITS 1. ACCRUED EXPENSES CASH 75,000 75,000 2. CUSTOMER ACCOUNTS RECEIVABLE DUE FROM OTHER FUNDS OPERATING REVENUES-CHARGES FOR SALES AND SERVICES 1,400,000 107,000 1,507,000 3. MATERIALS AND SUPPLIES OPERATING EXPENSES-COSTS OF SALES AND SERVICES OPERATING EXPENSES-ADMINISTRATION CONSTRUCTION WORK IN PROGRESS ACCOUNTS PAYABLE 215,000 354,000 200,000 220,000 989,000 4. OPERATING EXPENSES-COSTS OF SALES AND SERVICES MATERIALS AND SUPPLIES 265,700 265,700 5. ALLOWANCE FOR UNCOLLECTIBLE ACCOUNTS CUSTOMER ACCOUNTS RECEIVABLE 8,000 8,000 6. CASH CUSTOMER ACCOUNTS RECEIVABLE DUE FROM OTHER FUNDS 1,518,400 1,470,000 48,400 7. ACCOUNTS PAYABLE CASH 1,035,000 1,035,000 8. NONOPERATING EXPENSES-INTEREST CASH 175,000 175,000 9. UTILITY PLANT IN SERVICE CONSTRUCTION WORK IN PROGRESS 185,000 185,000 10. OPERATING EXPENSES-DEPRECIATION ACCUMULATED DEPRECIATION OF UTILITY PLANT 226,000 226,000 11. CONSTRUCTION WORK IN PROGRESS NONOPERATING EXPENSES-INTEREST 25,000 25,000 12. OPERATING REVENUES -CHARGES FOR SALES AND SERVICES ALLOWANCE FOR UNCOLLECTIBLE ACCOUNTS 13,100 13,100 6-6(A)(CONTINUED). DEBITS CREDITS
TOWN OFWESTON
UTILITYFUND
Chapter 06- Proprietary Funds 6-6 13. RESTRICTED ASSETS CASH 100,000 100,000 14. OPERATING EXPENSES-COSTS OF SALES AND SERVICES ACCRUED EXPENSES 63,000 63,000 15. OPERATING REVENUES-CHARGES FOR SALES AND SERVICES
PERATING EXPENSES
OSTS OF SALES AND SERVICES
PERATING EXPENSES-ADMINISTRATION
PERATING EXPENSES-DEPRECIATION NONOPERATING EXPENSES-INTEREST NET POSITION 1,493,900 682,700 200,000 226,000 150,000 235,200 6-6(B).
OFWESTON WATER
STATEMENTOFREVENUES,EXPENSES,ANDCHANGES
FUNDNETPOSITION FORTHEYEARENDEDJUNE30,2015
PERATING REVENUES: CHARGES FOR SALES AND SERVICES
PERATING EXPENSES: COSTS OF SALES AND SERVICES ADMINISTRATION DEPRECIATION TOTAL OPERATING EXPENSES $682,700 200,000 226,000 $1,493,900 1,108,700 OPERATING INCOME NONOPERATING REVENUES (EXPENSES): INTEREST ON LONG-TERM DEBT 385,200 (150,000) CHANGE IN NET POSITION 235,200 NET POSITION -JULY 1,2014 1,675,000 NET POSITION -JUNE 30,2015 $1,910,200 6-6(C). TOWNOFWESTON WATERUTILITYFUND STATEMENTOFNETPOSITION ASOFJUNE30,2015
O
-C
O
O
TOWN
UTILITYFUND
IN
O
O
ASSETS:
CURRENT AND ACCRUED ASSETS:
CASH
CUSTOMER ACCOUNTS RECEIVABLE
LESS ALLOWANCE FOR UNCOLLECTIBLE ACCOUNTS
DUE FROM OTHER FUNDS M
LESS ACCUMULATED DEPRECIATION
C
WORK IN PROGRESS
Chapter 06- Proprietary Funds 6-7
ATERIALS AND
TOTAL CURRENT AND
CCRUED
SSETS $222,000 (25,100) $363,400 196,900 58,600 69,300 $688,200
SUPPLIES
A
A
RESTRICTED ASSETS 350,000
TILITY
LANT
OTHER PROPERTY AND INVESTMENTS:
U
P
: UTILITY PLANT IN SERVICE
UTILITY PLANT-NET
NET UTILITY PLANT TOTAL ASSETS 7,185,000 (2,826,000) 4,359,000 160,000 4,519,000 $5,557,200 LIABILITIES: CURRENT LIABILITIES: ACCOUNTS PAYABLE ACCRUED EXPENSES TOTAL CURRENT LIABILITIES 84,000 63,000 147,000 LONG-TERM DEBT: REVENUE BONDS PAYABLE TOTAL LIABILITIES 3,500,000 3,647,000 NET POSITION: (1) NET INVESTMENT IN CAPITAL ASSETS RESTRICTED RESTRICTED UNRESTRICTED TOTAL NET POSITION 1,019,000 350,000 541,200 $1,910,200 (1) Net investment in capital assets Restricted Unrestricted Total Invested in Capital Assets net of Debt Capital Assets (net) 4,519,000 4,519,000 Less Revenue Bond Payable (3,500,000) (3,500,000) Restricted 350,000 350,000 Unrestricted (plug) 541,200 541,200 Total Net position $ 1,019,000 350,000 541,200 1,910,200
ONSTRUCTION
6-6(D).
TOWNOFWESTON WATERUTILITYFUND STATEMENTOFCASHFLOWS FORTHEYEARENDEDJUNE30,2015
CASH FLOWS FROM OPERATING ACTIVITIES:
CASH RECEIVED FROM CUSTOMERS
CASH PAID TO SUPPLIERS AND EMPLOYEES (1)
NET CASH PROVIDED BY OPERATING ACTIVITIES
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES:
INTEREST PAID ON LONG-TERM DEBT
CONSTRUCTION OF FIXED ASSETS
NET CASH USED FOR CAPITAL AND
RELATED FINANCING ACTIVITIES
NET INCREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS,JULY 1,2014
CASH AND CASH EQUIVALENTS,JUNE 30,2015(2)
RECONCILIATION OF OPERATING INCOME TO NET
CASH PROVIDED BY OPERATING ACTIVITIES:
OPERATING INCOME
ADJUSTMENTS:
DEPRECIATION EXPENSE
DECREASE IN CUSTOMER ACCOUNTS
RECEIVABLE (NET)
INCREASE IN INTERFUND RECEIVABLES
DECREASE IN MATERIALS AND SUPPLIES
DECREASE IN ACCOUNTS PAYABLE
DECREASE IN ACCRUED EXPENSES
TOTAL ADJUSTMENTS
NET CASH PROVIDED BY OPERATING
NOTE:
(1)CASH PAID TO SUPPLIERS AND EMPLOYEES =
(#1)+$1,035,000(#7)-$220,000(CONST WIP IN ENTRY #3)=$890,000 (2)CASH AND CASH EQUIVALENTS =
Chapter 06- Proprietary Funds 6-8
$1,518,400 (890,000) 628,400 (
(220,000) (395,000) 233,400 480,000 $713,400
175,000)
$226,000 83,100 (58,600) 50,700 (46,000) (12,000) $385,200 243,200 $628,400
ACTIVITIES
$75,000
$363,400
SSETS
CASH (PER BALANCE SHEET)+$350,000RESTRICTED A
=$713,400
Chapter 06- Proprietary Funds 6-9 6-7
SANDWICH
GENERALJOURNAL JANUARY1-DECEMBER31,2015 DEBITS CREDITS 1. CASH TRANSFERS IN NOTES PAYABLE 400,000 150,000 250,000 2. CASH DUE TO WATER UTILITY FUND 120,000 120,000 3. LAND IMPROVEMENTS OTHER THAN BUILDINGS BUILDINGS CASH 100,000 200,000 100,000 400,000 4. CASH OPERATING REVENUES –CHARGES FOR SALES AND SERVICES 305,000 305,000 5. OPERATING EXPENSES-COSTS OF SALES AND SERVICES OPERATING EXPENSES-ADMINISTRATION CASH 75,000 35,000 110,000 6. SUPPLIES INVENTORY CASH 40,000 40,000 OPERATING EXPENSES-COSTS OF SALES AND SERVICES SUPPLIES INVENTORY 35,000 35,000 7. OPERATING EXPENSES-ADMINISTRATION CASH 12,000 12,000 8. NONOPERATING EXPENSES-INTEREST CASH 250,000*6%*6/12 7,500 7,500 9. DUE TO WATER UTILITY FUND CASH 120,000 120,000 10. OPERATING EXPENSES-DEPRECIATION ACCUMULATED DEPRECIATION IMPROVEMENTS OTHER THAN BUILDINGS ACCUMULATED DEPRECIATION-BUILDINGS 30,000 22,500 7,500
(A). CITYOF
SWIMMINGPOOLFUND
(A)(C
SWIMMINGPOOLFUND STATEMENT
Chapter 06- Proprietary Funds 6-10
ONTINUED). DEBITS CREDITS 11. NONOPERATING EXPENSES-INTEREST ACCRUED INTEREST PAYABLE 250,000*6%*3/12 3,750 3,750 12. TRANSFERS IN OPERATING REVENUES –CHARGES FOR SALES AND SERVICES
PERATING EXPENSES -COSTS OF SALES AND SERVICES
PERATING EXPENSES-ADMINISTRATION
PERATING EXPENSES-DEPRECIATION NONOPERATING EXPENSES-INTEREST NET POSITION 150,000 305,000 110,000 47,000 30,000 11,250 256,750 6-7
CITYOFSANDWICH
OF
CHANGES INFUNDNETPOSITION YEARENDEDDECEMBER31,2015 OPERATING REVENUES: CHARGES FOR SALES AND SERVICES OPERATING EXPENSES: COSTS OF SALES AND SERVICES ADMINISTRATION DEPRECIATION $110,000 47,000 30,000 $305,000 187,000 OPERATING INCOME 118,000 NONOPERATING EXPENSES: INTEREST INCOME BEFORE TRANSFERS TRANSFER FROM GENERAL FUND CHANGE IN NET POSITION (11,250) 106,750 150,000 256,750 NET POSITION –JANUARY 1,2015 NET POSITION-DECEMBER 31,2015 -0$256,750
6-7
O
O
O
(B).
REVENUES,EXPENSES,AND
6-7(C). CITYOFSANDWICH SWIMMINGPOOLFUND STATEMENTOFNETPOSITION
Chapter 06- Proprietary Funds 6-11
ASSETS: CURRENT ASSETS: CASH SUPPLIES TOTAL CURRENT ASSETS $135,500 5,000 140,500 FIXED ASSETS: LAND IMPROVEMENTS OTHER THAN BUILDINGS LESS:ACCUMULATED DEPRECIATION BUILDINGS LESS:ACCUMULATED DEPRECIATION TOTAL FIXED ASSETS $200,000 (22,500) 100,000 (7,500) $100,000 177,500 92,500 370,000 TOTAL ASSETS $510,500 LIABILITIES: CURRENT LIABILITIES: ACCRUED INTEREST PAYABLE $3,750 LONG-TERM LIABILITIES: NOTES PAYABLE TO BANK TOTAL LIABILITIES 250,000 253,750 NET POSITION:(1) NET INVESTMENT IN CAPITAL ASSETS UNRESTRICTED TOTAL FUND EQUITY 120,000 136,750 $256,750 (1) Net investment in capital assets Restricted Unrestricted Total Net investment in capital assets Capital Assets (net) 370,000 370,000 Less Revenue Bond Payable (250,000) (250,000) Restricted 0 0 Unrestricted (plug) 136,750 136,750 Total Net position $ 120,000 0 136,750 256,750
DECEMBER31,2015
CITYOFSANDWICH SWIMMINGPOOLFUND STATEMENTOFCASHFLOWS
YEARENDEDDECEMBER31,2015
CASH FLOWS FROM OPERATING ACTIVITIES:
FROM CUSTOMERS
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: SHORT-TERM LOAN FROM WATER UTILITY FUND
REPAYMENT OF LOAN TO WATER UTILITY FUND
EW CASH PROVIDED BY NONCAPITAL FINANCING
CASH FLOWS FROM CAPITAL AND RELATED FINANCING
EQUITY TRANSFER FROM GENERAL FUND
LOAN FROM BANK
ACQUISITION OF CAPITAL ASSETS
INTEREST PAID TO BANK
NET CASH USED FOR CAPITAL AND RELATED
NET INCREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS,JANUARY 1,2015
CASH AND CASH EQUIVALENTS,DECEMBER 31,2015
RECONCILIATION OF OPERATING INCOME TO NET CASH
PROVIDED BY OPERATING ACTIVITIES:
OPERATING INCOME
ADJUSTMENTS: DEPRECIATION
ET CASH PROVIDED BY OPERATING ACTIVITIES
*$110,000(5)+$40,000(6)+$12,000(7)
Chapter 06- Proprietary Funds 6-12
6-7(D).
NET CASH PROVIDED
CTIVITIES $305,000 (162,000) 143,000
CASH RECEIVED
CASH PAID TO SUPPLIERS AND EMPLOYEES *
BY OPERATING A
N
ACTIVITIES $120,000 (120,000) -0-
A
CTIVITIES:
FINANCING
CTIVITIES 150,000
A
250,000 (400,000) (7,500) (7,500)
135,500 -0$135,500
$118,000
N
DJUSTMENTS $30,000
5,000) 25,000 N
$143,000
INCREASE IN SUPPLIES
ET A
(
6-8. VILLAGEOFPARRY-PRINTSHOPFUND STATEMENTOFCASHFLOWSYEARENDEDAPRIL30,2015
CASH FLOWS FROM OPERATING ACTIVITIES:
CASH RECEIVED FROM DEPARTMENTS
CASH PAID FOR SALARIES AND BENEFITS
CASH PAID TO SUPPLIERS
C
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
P
OF BANK LOAN PRINCIPAL
CASH FLOWS FROM INVESTING ACTIVITIES:
I
RECEIVABLES FROM OTHER FUNDS I
NONCASH INVESTING,CAPITAL RELATED FINANCING AND NON-
Chapter 06- Proprietary Funds 6-13
ASH
UTILITIES NET CASH PROVIDED BY OPERATING ACTIVITIES $1,095,000 (485,000) (205,000) (71,000) 334,000
PAID FOR
RANSFER FROM GENERAL FUND FORWORKING CAPITAL NEEDS NET CASH USED FOR NON-CAPITAL FINANCING ACTIVITIES (51,000) 80,000 29,000
ASH FLOWS FROM C
CTIVITIES:
RANSFER F
OAN FROM
ATER
PURCHASE OF EQUIPMENT PAYMENT OF INTEREST NET CASH USED FOR CAPITAL AND RELATED FINANCING ACTIVITIES 100,000 300,000 (500,000) (47,000) (147,000)
:
AYMENT
T
C
APITAL AND RELATED FINANCING A
T
ROM GENERAL FUND FOR EQUIPMENT PURCHASES L
W
UTILITY FUND
COLLECTION
PURCHASE OF INVESTMENTS NET CASH USED FOR INVESTING ACTIVITIES 24,000 (50,000) (26,000)
CASH AND CASH EQUIVALENTS,MAY 1,2014 CASH AND CASH EQUIVALENTS,APRIL 30,2015 190,000 151,000 $341,000 RECONCILIATION
CASH PROVIDED
PERATING
CTIVITIES: OPERATING INCOME $38,000 ADJUSTMENTS:
EPRECIATION
OF INTEREST
NET INCREASE IN CASH AND CASH EQUIVALENTS
OF OPERATING INCOME TO NET
BY O
A
D
EXPENSE
NCREASE
ECREASE IN
CCOUNTS
INCREASE IN UTILITY BILLS PAYABLE $300,000 (10,000) 10,000 (5,000) 1,000 296,000 NET CASH PROVIDED BY OPERATING ACTIVITIES $334,000
CAPITAL RELATED
CAPITAL LEASE OF EQUIPMENT $36,780
NCREASE IN
IN SALARIES AND BENEFITS PAYABLE D
A
PAYABLE
FINANCING ACTIVITIES:
CITY OFWRIGHTVILLE
Chapter 06- Proprietary Funds 6-14 6-9.
2015 CASH FLOWS FROM OPERATING ACTIVITIES: CASH RECEIVED FROM OTHER DEPARTMENTS $875,000 CASH PAID FOR CLAIMS (360,000) CASH PAID FOR SUPPLIES AND EMPLOYEES (120,000) NET CASH PROVIDED BY OPERATING ACTIVITIES $ 395,000 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: TRANSFER IN FROM GENERAL FUND 268,000 NET CASH PROVIDED BY NONCAPITAL FINANCING ACTIVITIES 268,000 CASH FLOWS FROM CAPITAL RELATED FINANCING ACTIVITIES: PROCEEDS FROM LONG TERM DEBT 82,000 PAYMENTS ON LONG TERM DEBT PRINCIPAL (14,000) PAYMENTS ON INTEREST ON LONG TERM DEBT (15,000) CASH PAID FOR CAPITAL ASSETS (290,000) CASH RECEIVED ON SALE OF CAPITAL ASSETS 42,000 NET CASH USED FOR CAPITAL RELATED FINANCING ACTIVITIES (195,000) CASH FLOWS FROM INVESTING ACTIVITIES: INVESTMENT INCOME 25,000 PURCHASE OF INVESTMENT SECURITIES (397,000) NET CASH PROVIDED BY INVESTING ACTIVITIES (372,000) NET INCREASE IN CASH $96,000 CASH ON HAND JANUARY 1, 2015 118,000 CASH ON HAND DECEMBER 31,2015 $214,000 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES: Not required by exercise
RISK MANAGEMENT INTERNAL SERVICEFUND STATEMENT OFCASH FLOWS FORTHE YEARENDED JUNE 30,
Chapter 06- Proprietary Funds 6-15 6-10(A) TOWN OF FROSTBITE RISK MANAGEMENT FUND GENERAL JOURNAL 2015 DEBITS CREDITS 1 CASH 700,000 LONG TERM ADVANCE FROM ENTERPRISE FUND 300,000 TRANSFER IN 400,000 2 PREPAID INSURANCE 200,000 CASH 200,000 3 OFFICE EQUIPMENT 25,000 CASH 25,000 4 INVESTMENTS 450,000 CASH 450,000 5 DUE FROM OTHER FUNDS 630,000 OPERATING REVENUES - CHARGES FOR SERVICES 630,000 6 CASH 425,000 DUE FROM OTHER FUNDS 425,000 7 CASH 27,000 NONOPERATING REVENUE: INVESTMENT INCOME 27,000 8 OPERATING EXPENSES -PERSONNEL SERVICES 210,000 CASH 210,000 9 OPERATING EXPENSES - INSURANCE CLAIMS 165,000 CASH 165,000 10 OPERATING EXPENSES - DEPRECIATION 5,000 ACCUMULATED DEPRECIATION -OFFICE EQUIPMENT 5,000 11 OPERATING EXPENSES - CONTRACTED SERVICES 190,000 PREPAID INSURANCE 190,000 12 INVESTMENTS 6,000 NONOPERATING REVENUES NET INCREASE IN FMV INVESTMENTS 6,000 6-10(A) CONTINUED DEBITS CREDITS
Chapter 06- Proprietary Funds 6-16 13 OPERATING EXPENSES - INSURANCE CLAIMS 90,000 ACCRUED LIABILITIES 90,000 CLOSING ENTRIES OPERATING REVENUES - CHARGES FOR SERVICES 630,000 NONOPERATING REVENUES: INVESTMENT INCOME 27,000 NONOPERATING REVENUES NET INCREASE IN FMV INVESTMENTS 6,000 TRANSFERS IN 400,000 OPERATING EXPENSES -PERSONNEL SERVICES 210,000 OPERATING EXPENSES - CONTRACTED SERVICES 190,000 OPERATING EXPENSES - DEPRECIATION 5,000 OPERATING EXPENSES - INSURANCE CLAIMS 255,000 NET POSITION 403,000 6-10(B) TOWN OF FROSTBITE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION RISK MANAGEMENT FUND FOR THE YEAR ENDED DECEMBER 31, 2015 OPERATING REVENUES CHARGES FOR SERVICES -INTERFUND PREMIUMS $630,000 OPERATING EXPENSES: PERSONNEL SERVICES 210,000 CONTRACTUAL SERVICES 190,000 CLAIMS 255,000 DEPRECIATION 5,000 TOTAL OPERATING EXPENSES 660,000 OPERATING INCOME (LOSS) (30,000) NONOPERATING REVENUES NET INCREASE IN FMV OF INVESTMENTS 6,000 INVESTMENT INCOME 27,000 TOTAL NONOPERATING REVENUES 33,000 INCOME(LOSS) BEFORE CONTRIBUTIONS AND TRANSFERS 3,000 TRANSFERS IN 400,000 CHANGE IN NET POSITION 403,000 NET POSITION -JANUARY 1,2015 0 NET POSITION -DECEMBER 31,2015 $ 403,000
TOWN OF FROSTBITE STATEMENT OF NET POSITION RISK MANAGEMENT FUND DECEMBER 31, 2015
Chapter 06- Proprietary Funds 6-17
(C)
6-10
ASSETS: CURRENT ASSETS: CASH 102,000 INVESTMENTS 456,000 DUE FROM OTHER FUNDS 205,000 PREPAID INSURANCE 10,000 TOTAL CURRENT ASSETS 773,000 CAPITAL ASSETS: EQUIPMENT & MACHINERY 25,000 LESS,ACCUMULATED DEPRECIATION (5,000) TOTAL CAPITAL ASSETS 20,000 TOTAL ASSETS $ 793,000 LIABILITIES CURRENT LIABILITIES ACCRUED LIABILITIES 90,000 TOTAL CURRENT LIABILITIES 90,000 NONCURRENT LIABILITIES: 300,000 TOTAL LIABILITIES $390,000 NET POSITION: (1) NET INVESTMENT IN CAPITAL ASSETS 20,000 UNRESTRICTED 383,000 TOTAL NET POSITION $ 403,000 (1) Net investment in capital assets Restricted Unrestricted Total Net investment in capital assets: Capital Assets (net) 20,000 20,000 Less capital-related debt (0) (0) Restricted 0 0 Unrestricted (plug) 383,000 383,000 Total Net position $ 20,000 0 383,000 403,000
Chapter 06- Proprietary Funds 6-18 6-10(D)
MANAGEMENT
FOR THE YEAR ENDED DECEMBER 31, 2015 CASH FLOWS FROM OPERATING ACTIVITIES: CASH RECEIVED FROM INTERFUND PREMIUMS $ 425,000 CASH PAID FOR CLAIMS (165,000) CASH PAID FOR CONTRACTED SERVICES (200,000) CASH PAID FOR PERSONNEL SERVICES (210,000) NET CASH PROVIDED BY OPERATING ACTIVITIES $ (150,000) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: BORROWINGS FOR OPERATIONS: LONG-TERM ADVANCE 300,000 TRANSFER IN FROM GENERAL FUND 375,000 NET CASH PROVIDED BY NONCAPITAL FINANCING ACTIVITIES 675,000 CASH FLOWS FROM CAPITAL RELATED FINANCING ACTIVITIES: TRANSFER IN FROM GENERAL FUND 25,000 CASH PAID FOR CAPITAL ASSETS (25,000) NET CASH USED FOR CAPITAL RELATED FINANCING ACTIVITIES 0 CASH FLOWS FROM INVESTING ACTIVITIES: INVESTMENT INCOME 27,000 PURCHASE OF MARKETABLE SECURITIES (450,000) NET CASH PROVIDED BY INVESTING ACTIVITIES (423,000) NET INCREASE IN CASH 102,000 CASH ON HAND JANUARY 1, 2015 0 CASH ON HAND DECEMBER 31,2015 $ 102,000 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES: OPERATING INCOME (LOSS) $ (30,000) ADJUSTMENTS: INCREASE IN DUE FROM OTHER FUNDS (205,000) INCREASE IN PREPAID INSURANCE (10,000) INCREASE IN ACCRUED LIABILITIES PAYABLE 90,000 DEPRECIATION EXPENSE 5,000 NET CASH PROVIDED BY OPERATING ACTIVITIES $ (150,000)
TOWN OF FROSTBITE STATEMENT OF CASH FLOWS RISK
FUND
6-10(E)THE INTENT OF THE TOWN IS FOR THE RISK MANAGEMENT FUND TO CHARGE INDIVIDUAL DEPARTMENTS IN AMOUNTS SUFFICIENT TO COVER CURRNT-YEAR COSTS AND ESTABLISH A RESERVEFORLOSSES.SINCETHEFUNDHADANOPERATINGLOSSOF$30,000,ITISPRESENTLY NOT MEETING CURRENT COSTS AND CANNOT ESTABLISH A RESERVE.IT COULD BE THAT 2015 WAS AN ATYPICAL YEAR OR IT MAY INDICATE THAT THE AMOUNT CHARGED IS INADEQUATE THE TOWN SHOULD ASK THE ACTUARY TO RE-EVALUATE THE 6% OF WAGES INTERFUND PREMIUM CHARGED BY THE FUND TO DETERMINE IF IT IS ADEQUATE OR NEEDS TO BE INCREASED.
Chapter 06- Proprietary Funds 6-19
6-11(A)
SUMMER
ENTERPRISE
GENERAL JOURNAL FISCAL YEAR 2015 DEBITS CREDITS 1.CASH OPERATING REVENUES-CHARGES FOR SERVICES 130,000 130,000 1.CASH LONG-TERM NOTE PAYABLE 45,000 45,000 1.OPERATING EXPENSESPAYROLL TAX EXPENSE WAGES EXPENSE INSURANCE EXPENSES NON-OPERATING EXPENSE -INTEREST EXPENSE EQUIPMENT (BUS) CASH 13,250 66,575 6,000 1,350 70,000 157,175 2.NONOPERATING EXPENSES-INTEREST ACCRUED INTEREST PAYABLE ($45,000*6%*3/12) 675 675 3.OPERATING EXPENSES-DEPRECIATION ACCUMULATED DEPRECIATION OF EQUIPMENT ($70,000/5*9/12) 10,500 10,500 4.OPERATING EXPENSES-PAYROLL TAXES PAYROLL TAXES PAYABLE 900 900 OPERATING REVENUES-CHARGES FOR SERVICES OPERATING EXPENSES-PAYROLL TAXES OPERATING EXPENSES -WAGES OPERATING EXPENSES-INSURANCE OPERATING EXPENSES-DEPRECIATION NONOPERATING EXPENSES-INTEREST NET POSITION 130,000 14,150 66,575 6,000 10,500 2,025 30,750
CITY OF EVANSVILLE
CAMP
FUND
6-11(A)-C
ONTINUED
CITY OF EVANSVILLE SUMMER CAMP ENTERPRISE FUND STATEMENTOFREVENUES,EXPENSES,ANDCHANGES INFUNDNETPOSITION FORTHEYEARENDEDDECEMBER31,2015
Chapter 06- Proprietary Funds 6-20
PERATING REVENUES: CHARGES FOR SALES AND SERVICES OPERATING EXPENSES: WAGES PAYROLL TAXES INSURANCE DEPRECIATION TOTAL OPERATING EXPENSES $66,575 14,150 6,000 10,500 $130,000 97,225 OPERATING INCOME NONOPERATING REVENUES (EXPENSES): INTEREST ON LONG-TERM DEBT 32,775 (2,025) CHANGE IN NET POSITION 30,750 NET POSITION –JANUARY 1,2015 18,000 NET POSITION –DECEMBER 31,2015 $48,750
O
Chapter 06- Proprietary Funds 6-21 6-11(B) CITY OF EVANSVILLE SUMMER CAMP SPECIAL REVENUE FUND GENERAL JOURNAL FISCAL YEAR 2015 DEBITS CREDITS 1.CASH REVENUES-CHARGES FOR SERVICES 130,000 130,000 1.CASH OTHER FINANCING SOURCES:PROCEEDS FROM ISSUANCE OF LONG-TERM NOTE PAYABLE 45,000 45,000 1.CURRENT EXPENDITURES PAYROLL TAX WAGES INSURANCE DEBT SERVICE EXPENDITURE -INTEREST CAPITAL EXPENDITURE CASH 13,250 66,575 6,000 1,350 70,000 157,175 2. NO ACCRUAL FOR INTERST 3. NO DEPRECIATION 4. OPERATING EXPENSES-PAYROLL TAXES PAYROLL TAXES PAYABLE 900 900 REVENUES-CHARGES FOR SERVICES OTHER FINANCING SOURCES – DEBT PROCEEDS EXPENDITURES-PAYROLL TAXES EXPENDITURES -WAGES EXPENDITURES-INSURANCE DEBT SERVICE EXPENDITURE-INTEREST CAPITAL EXPENDITURE FUND BALANCE 130,000 45,000 14,150 66,575 6,000 1,350 70,000 16,925
6-11(B)-C
Chapter 06- Proprietary Funds 6-22
ONTINUED
EVANSVILLE
CITY OF
OF REVENUES, EXPENDITUES AND CHANGES IN FUND BALANCE
THE YEAR ENDED DECEMBER 31, 2015 REVENUES: CHARGE FOR SERVICES $130,000 EXPENDITURES: CURRENT: WAGES 66,575 PAYROLL TAXES 14,150 INSURANCE 6,000 DEBT SERVICE - INTEREST 1,350 CAPITAL OUTLAY 70,000 TOTAL EXPENDITURES 158,075 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (28,075) OTHER FINANCING SOURCES: DEBT PROCEEDS 45,000 INCREASE IN FUND BALANCE 16,925 FUND BALANCE,JANUARY 1,2015 18,000 FUND BALANCE,DECEMBER 31,2015 $ 34,925
SUMMER CAMP SPECIAL REVENUE FUND STATEMENT
FOR
Chapter 06- Proprietary Funds 6-23 6-12
OFTHOMASTON LANDFILL ENTERPRISE FUND GENERAL JOURNAL FISCAL YEAR 2015 DEBITS CREDITS 1.CASH OPERATING REVENUES-CHARGES FOR SERVICES 2,775,000 2,775,000 2.SUPPLIES:DIESEL FUEL ACCOUNTS PAYABLE 3.ACCOUNTS PAYABLE CASH 343,000 430,000 343,000 430,000 4.OPERATING EXPENSES-SUPPLIES EXPENSE SUPPLIES:DIESEL FUEL 355,000 355,000 5.OPERATING EXPENSES-DEPRECIATION ACCUMULATED DEPRECIATION OF EQUIPMENT 685,000 685,000 6.OPERATING EXPENSES-WAGES CASH 165,000 165,000 7.CLOSURE AND POSTCLOSURE CARE EXPENSE ACCRUED CLOSURE AND POSTCLOSURE CARE COSTS PAYABLE $81,250,000/ 25,000,000 =$3.25 TON $3.25 *500,000 =1,625,000 1,625,000 1,625,000 OPERATING REVENUES-CHARGES FOR SERVICES NET POSITION OPERATING EXPENSES-SUPPLIES OPERATING EXPENSES -WAGES OPERATING EXPENSES-CLOSURE AND POSTCLOSURE CARE OPERATING EXPENSES-DEPRECIATION 2,775,000 55,000 355,000 165,000 1,625,000 685,000
TOWN
6-12-CONTINUED
TOWNOFTHOMASTON LANDFILL ENTERPRISE FUND STATEMENTOFREVENUES,EXPENSES, ANDCHANGESINFUNDNETPOSITION FORTHEYEARENDEDDECEMBER30,2015
OPERATING REVENUES: CHARGES FOR SALES AND SERVICES
OPERATING EXPENSES: SUPPLIES WAGES CLOSURE AND POSTCLOSURE CARE DEPRECIATION
TOTAL OPERATING EXPENSES
Chapter 06- Proprietary Funds 6-24
$355,000 165,000 1,625,000 685,000 $2,775,000 2,830,000
N
EVENUES
(55,000) (0) CHANGE IN NET POSITION (55,000) NET POSITION –JANUARY 1,2015 4,790,000 NET POSITION –DECEMBER 31,2015 $4,735,000
OPERATING INCOME
ONOPERATING R
(EXPENSES):
6-13(A) SOLUTIONS TO THE EXCEL BASED EXERCISES ARE ALSO AVAILABLE IN EXCEL ON THE INSTRUCTOR’S WEBSITE
Chapter 06- Proprietary Funds 6-25
JEFFERSON COUNTY INTERNAL SERVICE FUND JOURNAL ENTRIES DECEMBER 31, 2015 ACCOUNT TITLE DEBITS CREDITS 1 SUPPLIES 36,200 ACCOUNTS PAYABLE 36,200 2 DUE FROM OTHER FUNDS 96,250 OPERATING REVENUE: CHARGES FOR SERVICES 96,250 3 OPERATING EXPENSES - COST OF SERVICES 36,700 SUPPLIES 36,700 4 ACCOUNTS PAYABLE 37,350 CASH 37,350 5 CASH 87,000 DUE FROM OTHER FUNDS 87,000 6 OPERATING EXPENSES - COST OF SERVICES 46,500 WAGES PAYABLE 300 CASH 46,800 7 ADVANCE FROM ENTERPRISE FUND 8,000 CASH 8,000 8 CASH 10,000 BANK NOTE PAYABLE 10,000 9 OPERATING EXPENSE - DEPRECIATION 6,900 ACCUMULATED DEPRECIATION 6,900 10 NONOPERATING EXPENSES - INTEREST 600 INTEREST PAYABLE 600 11 OPERATING EXPENSES - COST OF SERVICES 490 WAGES PAYABLE 490
Chapter 06- Proprietary Funds 6-26 6-13(C) JEFFERSON COUNTY INTERNAL SERVICE FUND CLOSING ENTRIES DECEMBER 31, 2015 ACCOUNT TITLE DEBITS CREDITS OPERATING REVENUE - CHARGES FOR SERVICES 96,250 NET POSITION 5,060 OPERATING EXPENSES - COST OF SERVICES 83,690 OPERATING EXPENSES - DEPRECIATION 6,900 NONOPERATING EXPENSES - INTEREST 600 NET INVESTMENT IN CAPITAL ASSETS RESTRICTED UNRESTRICTED TOTAL NET INVESTMENT IN CAPITAL ASSETS CAPITAL ASSETS 35,000 35,000 LESS: ACCUMULATED DEPRECIATION (13,400) (13,400) LESS: ADVANCE FROM ENTERPRISE FUND (17,000) (17,000) RESTRICTED 0UNRESTRICTED 26,660 26,660 4,600 - 26,660 31,260
Chapter 06- Proprietary Funds 6-27
TATEMENT OF REVENUES
XPENSES
CHANGES IN NET POSITION FOR THE YEAR ENDED 12-31-2015 GOVERNMENTAL ACTIVITIES: INTERNAL SERVICE FUND REVENUES CHARGES FOR SERVICES $ 96,250 TOTAL REVENUES 96,250 OPERATING EXPENSES COST OF SERVICES 83,690 DEPRECIATION 6,900 TOTAL OPERATING EXPENSES 90,590 OPERATING INCOME (LOSS) 5,660 NONOPERATING INCOME (EXPENSES) INTEREST EXPENSE (600) TOTAL NONOPERATING REVENUE (600) CHANGE IN NET POSITION 5,060 NET POSITION-BEGINNING OF YEAR 26,200 NET POSITION -END OF YEAR $ 31,260
6-13(D) JEFFERSON COUNTY S
E
AND
Chapter 06- Proprietary Funds 6-28 JEFFERSON COUNTY STATEMENT OF NET POSITION AS OF 12-31-2015 GOVERNMENTAL ACTIVITIES: INTERNAL SERVICE FUND ASSETS CASH $ 22,850 DUE FROM OTHER FUNDS 15,750 SUPPLIES INVENTORY 3,500 TOTAL CURRENT ASSETS 42,100 CAPITAL ASSETS (NET) 35,000 LESS: ACCUMULATED DEPRECIATION (13,400) TOTAL ASSETS $ 63,700 LIABILITIES AND FUND EQUITY LIABILITIES ACCOUNTS PAYABLE 4,350 WAGES PAYABLE 490 INTEREST PAYABLE 600 TOTAL CURRENT LIABILITIES 5,440 BANK NOTE PAYABLE 10,000 ADVANCE FROM ENTERPRISE FUND 17,000 TOTAL LIABILITIES 32,440 NET POSITION UNRESTRICTED 26,660 NET INVESTMENT IN CAPITAL ASSETS 4,600 TOTAL NET POSITION $ 31,260 TOTAL LIABILITIES AND NET POSITIONS $ 63,700
Chapter 06- Proprietary Funds 6-29
JEFFERSON COUNTY STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 12-31-2015 GOVERNMENTAL ACTIVITIES: INTERNAL SERVICE FUND CASH FLOWS FROM OPERATING ACTIVITIES CASH RECEIVED FROM CUSTOMERS $ 87,000 CASH PAID TO SUPPLIERS (37,350) CASH PAID TO EMPLOYEES (46,800) NET CASH PROVIDED BY OPERATING ACTIVITIES 2,850 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES PROCEEDS OF BANK NOTE 10,000 NET CASH PROVIDED BY NONCAPITAL FINANCING ACTIVITIES 10,000 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES ACQUISITION OF CAPITAL ASSETS PRINCIPAL PAID ON LONG-TERM ADVANCE (8,000) INTEREST PAID NET CASH PROVIDED FROM CAPITAL AND RELATED FINANCING ACTIVITIES (8,000) CASH FLOWS FROM INVESTING ACTIVITIES NET CASH PROVIDED FROM INVESTING ACTIVITIESINCREASE IN CASH 4,850 CASH AND CASH EQUIVALENTS BEGINNING OF YEAR 18,000 CASH AND CASH EQUIVALENTS END OF YEAR $ 22,850 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES OPERATING INCOME 5,660 DEPRECIATION 6,900 (INCREASE) DECREASE IN RECEIVABLES (9,250) (INCREASE) DECREASE IN INVENTORY 500 INCREASE (DECREASE) IN ACCOUNTS PAYABLE (1,150) INCREASE (DECREASE) IN WAGES PAYABLE 190 NET CASH PROVIDED BY OPERATING ACTIVITIES $ 2,850
6-13(F)
6-14(PART 1-A) SOLUTIONS TO THE EXCEL BASED EXERCISES ARE ALSO AVAILABLE IN EXCEL ON THE INSTRUCTOR’S WEBSITE
Chapter 06- Proprietary Funds 6-30
RURAL COUNTY SPECIAL REVENUE FUND JOURNAL ENTRIES DECEMBER 31, 2015 ACCOUNT TITLE DEBITS CREDITS 1 CASH 85,000 FUND BALANCE 85,000 2 ESTIMATED REVENUES 30,000 ESTIMATED OTHER FINANCING SOURCES 55,000 BUDGETARY FUND BALANCE 9,000 APPROPRIATIONS 94,000 3 CASH 85,250 CUSTOMER FEE REVENUES 30,250 OTHER FINANCING SOURCES - LOAN PROCEEDS 55,000 SUPPLIES 7,300 EXPENDITURES: CURRENT OPERATING 17,400 EXPENDITURES: CAPITAL 63,000 EXPENDITURES: INTEREST 2,200 CASH 89,900 4 NO ACCRUAL OF INTEREST 5 NO DEPRECIATION 6 CUSTOMER FEES RECEIVABLE 2,400 CUSTOMER FEE REVENUES 2,400 7 SUPPLIES 500 ACCOUNTS PAYABLE 500 8 EXPENDITURES: CURRENT OPERATING 7,040 SUPPLIES 7,040 9 EXPENDITURES: CURRENT OPERATING 780 ACCOUNTS PAYABLE 780 10 ENCUMBRANCES 1,500 BUDGETARY FUND BALANCE - RESERVE FOR ENCUMBRANCES 1,500
Chapter 06- Proprietary Funds 6-31
(PART 1-C)
URAL COUNTY
PECIAL REVENUE FUND CLOSING ENTRIES
ECEMBER 31,2015 BUDGETARY ACCOUNT TITLE DEBITS CREDITS FUND BALANCE 9,000 APPROPRIATIONS 94,000 9,000 BUDGETARY FUND BALANCE 9,000 ESTIMATE OTHER FINANCING SOURCES 55,000 ESTIMATED REVENUES 30,000CUSTOMER FEE REVENUE 32,650 OTHER FINANCING SOURCES - BANK LOAN 55,000 FUND BALANCE 2,770 CURRENT OPERATING EXPENDITURES 25,220 FUND BALANCE CAPITAL EXPENDITURES 63,000 85,000 EXPENDITURES: INTEREST 2,200 2,770 BUDGETARY FUND BALANCE -RESERVE FOR ENCUMBRANCES 1,500 ENCUMBRANCES 1,500 82,230 NONSPENDABLE RESTRICTED ASSIGNED TOTAL FUND BALANCE 760 81,470 82,230
6-14
R
S
D
(P
1-D)
NET CHANGE IN FUND BALANCE
Chapter 06- Proprietary Funds 6-32
YEAR
PECIAL REVENUE FUND REVENUES CUSTOMER FEES $ 32,650 TOTAL REVENUES 32,650 EXPENDITURES CURRENT: TV TRANSMISSION CAPITAL OUTLAY 25,220 DEBT SERVICE 63,000 PRINCIPAL INTEREST TOTAL EXPENDITURES 2,200 90,420
XCESS
EXPENDITURES (57,798) (57,770)
PROCEEDS OF B
55,000 TOTAL OTHER FINANCING SOURCES
USES) 55,000
(2,770) FUND BALANCE,JANUARY 1 85,000 FUND BALANCE,DECEMBER 31 82,230
6-14
ART
RURAL COUNTY STATEMENT OF REVENUES EXPENDITURES AND CHANGES IN FUND BALANCE FOR THE
ENDED 12-31-2015 S
E
(DEFICIENCY) OF REVENUES OVER
OTHER FINANCING SOURCES (USES)
ANK LOAN
(
Chapter 06- Proprietary Funds 6-33 6-14(PART 1-E) RURAL COUNTY BALANCE SHEET AS OF 12-31-2015 SPECIAL REVENUE FUND ASSETS CASH $ 80,350 CUSTOMER FEES RECEIVABLE 2,400 SUPPLIES INVENTORY 760 CAPITAL ASSETS (NET) TOTAL ASSETS $ 83,510 LIABILITIES AND FUND EQUITY LIABILITIES ACCOUNTS PAYABLE 1,280 INTEREST PAYABLE BANK NOTE PAYABLE TOTAL LIABILITIES 1,280 FUND BALANCES NONSPENDABLE: SUPPLIES 760 ASSIGNED FOR: TV RECEPTION IMPROVEMENT 81,470 TOTAL FUND EQUITY 82,230 TOTAL LIABILITIES AND FUND EQUITY $ 83,510
Chapter 06- Proprietary Funds 6-34 6-14(PART 2-A) RURAL COUNTY ENTERPRISE FUND JOURNAL ENTRIES DECEMBER 31, 2015 ACCOUNT TITLE DEBITS CREDITS 1 CASH 85,000 LAND 40,000 NET POSITION 125,000 2 NO JOURNAL ENTRY 3 CASH 85,250 CUSTOMER FEE REVENUES 30,250 BANK NOTE PAYABLE 55,000 SUPPLIES 7,300 EXPENSES: CURRENT OPERATING 17,400 CAPITAL ASSETS 63,000 EXPENSES: INTEREST 2,200 CASH 89,900 4 EXPENSES: INTEREST 1,100 INTEREST PAYABLE 1,100 5 EXPENSES: CURRENT OPERATING 4,725 ACCUMULATED DEPRECIATION 4,725 63000/10 *9/12 6 CUSTOMER FEES RECEIVABLE 2,400 CUSTOMER FEE REVENUES 2,400 7 SUPPLIES 500 ACCOUNTS PAYABLE 500 8 EXPENSES: CURRENT OPERATING 7,040 SUPPLIES 7,040 9 EXPENSES: CURRENT OPERATING 780 ACCOUNTS PAYABLE 780 10 NO JOURNAL ENTRY
Chapter 06- Proprietary Funds 6-35 6-14(PART 2-C) RURAL COUNTY ENTERPRISE FUND CLOSING ENTRIES DECEMBER 31, 2015 ACCOUNT TITLE DEBITS CREDITS CUSTOMER FEE REVENUE 32,650 NET POSITION 595 CURRENT OPERATING EXPENSES 29,945 INTEREST EXPENSE 3,300 NET INVESTMENT IN CAPITAL ASSETS RESTRICTED UNRESTRICTED TOTAL NET INVESTMENT IN CAPITAL ASSETS CAPITAL ASSETS 103,000 103,000 LESS: ACCUMULATED DEPRECIATION (4,725) (4,725) LESS: BANK NOTE PAYABLE (55,000) (55,000) RESTRICTED 0UNRESTRICTED 81,130 81,130 43,275 - 81,130 124,405
Chapter 06- Proprietary Funds 6-36
URAL COUNTY
TATEMENT OF REVENUES EXPENSES AND CHANGES IN NET POSITION FOR THE YEAR ENDED 12-31-2015 TELEVISION RECEPTION IMPROVEMENT REVENUES CHARGES FOR SERVICES $ 32,650 TOTAL REVENUES 32,650 OPERATING EXPENSES CURRENT OPERATIONS 29,945 CAPITAL TOTAL OPERATING EXPENSES 29,945 OPERATING INCOME (LOSS) 2,705 NONOPERATING INCOME (EXPENSES) INTEREST EXPENSE (3,300) TOTAL NONOPERATING REVENUE (3,300) CHANGE IN NET POSITION (595) NET POSITION-BEGINNING OF YEAR 125,000 NET POSITION -END OF YEAR $ 124,405
6-14(PART 2-D) R
S
Chapter 06- Proprietary Funds 6-37 6-14(PART 2-E) RURAL COUNTY STATEMENT OF NET POSITION AS OF 12-31-2015 TELEVISION RECEPTION IMPROVEMENT ASSETS CASH $ 80,350 CUSTOMER FEES RECEIVABLE 2,400 SUPPLIES INVENTORY 760 TOTAL CURRENT ASSETS 83,510 CAPITAL ASSETS 103,000 LESS ACCUMULATED DEPRECIATION (4,725) TOTAL ASSETS $ 181,785 LIABILITIES AND FUND EQUITY LIABILITIES ACCOUNTS PAYABLE 1,280 INTEREST PAYABLE 1,100 TOTAL CURRENT LIABILITIES 2,380 BANK NOTE PAYABLE 55,000 TOTAL LIABILITIES 57,380 NET POSITION UNRESTRICTED 81,130 NET INVESTMENT IN CAPITAL ASSETS 43,275 TOTAL NET POSITION $ 124,405 TOTAL LIABILITIES AND NET POSITION $ 181,785