Chapter 6 The Governmental Fund Accounting Cycle

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Chapter 6 The Governmental Fund Accounting Cycle Powered By Docstoc
					                  Chapter 6: The Governmental Fund Accounting Cycle
           Capital Projects Funds, Debt Service Funds, and Special Assessments

Multiple Choice

 1.   What is the purpose of a Debt Service Fund?
      a. to accumulate resources to pay the debt service on all debt of the
         government, including Enterprise fund debt and short-term debt used to
         finance General Fund operations
      b. to accumulate resources to pay principal and interest on general obligation
         long-term debt
      c. to accumulate resources to pay the debt service on all long-term debt of the
         government, and also to show how much long-term debt is outstanding
      d. to provide a means of reporting all outstanding long-term debt of the
         government in a single location

Answer: b

 2.   At what point should interest be recognized as an expenditure in a Debt Service
      Fund?
      a. when it accrues
      b. when it is paid
      c. when it is legally due to be paid
      d. when the bonds resulting in payment of interest are issued

Answer: c

 3.   A city sells $5 million of 20-year general obligation bonds on October 1, 2008.
      Interest on the debt is payable at the rate of 5% a year on the unpaid balance of the
      debt, every six months commencing March 31, 2009. How much should the city
      report as an interest expenditure in the Debt Service Fund for the calendar year
      ending December 31, 2008?
      a. $0
      b. $30,000
      c. $60,000
      d. $120,000

Answer: a
 4.   A city sells $15 million of general obligation bonds on October 1, 2009.The bonds
      mature at the rate of $1 million a year each September 30, starting September 30,
      2010. The amount due September 30, 2010 is paid. How much should the city
      report as outstanding debt in the Debt Service Fund in its year-end fund level
      financial statements on December 31, 2010?
      a. $15,000,000
      b. $14,000,000
      c. $13,750,000
      d. $0

Answer: d

 5.   A city sells $5 million of 6% ten-year general obligation bonds on April 1, 2009.
      The first installment of debt principal ($250,000) is due to be paid on September
      30, 2009. What entry should the city make on that day in the Debt Service Fund
      regarding the bond principal?
      a. It should recognize a $250,000 liability for Matured bonds payable.
      b. It should reduce the $5 million long-term liability by $250,000.
      c. It should do nothing in the Debt Service Fund, but it should reduce Bonds
          payable by $500,000 in the Capital Projects Fund
      d. It should make no entry anywhere until the principal is actually pai d.

Answer:      a

 6.   A city keeps its books on a calendar year basis. On April 1, 2009, the city sold
      $500,000 of 6% general obligation bonds, payable in semi-annual installments. The
      first installment, due October 31, 2009 covered interest of $15,000 and principal of
      $25,000. For the year ended December 31, 2009, how much should the Debt
      Service Fund report as expenditures?
      a. $15,000
      b. $40,000
      c. $15,000, plus an accrual for three months' interest
      d. $40,000, plus an accrual for three months' interest and principal

Answer: b

 7.   What kinds of expenditures are accounted for in Debt Service Funds?
      a. only the principal payments on general obligation long-term debt
      b. only the interest expenditures on general obligation long-term debt
      c. both principal payments and interest expenditures on general obligation
         long-term debt
      d. all debt service on all governmental debt, regardless of the purpose of the debt

Answer: c
 8.   A state issues long-term debt to finance a major construction project. The first
      installment of debt service requires payment of principal of $75,000 and interest of
      $100,000. Which of the following statements is true on the day that payment for
      principal and interest is legally due?
      a. expenditures of $175,000 should be recognized in the debt service fund.
      b. expenditures of $75,000 should be recognized in the capital projects fund
          and expenditures of $100,000 should be recognized in the debt service
          fund.
      c. expenditures of $100,000 should be recognized in the debt service fund and
          bonds payable should be reduced by $75,000 in the debt service fund.
      d. expenditures of $175,000 should be recognized in the debt service fund and
          bonds payable should be reduced by $75,000 in the capital projects fund.

Answer: a

 9.   In what circumstances are Capital Projects Funds required to be used in
      governmental accounting?
      a. to record the acquisition or construction of all capital assets
      b. to record the acquisition or construction of any capital asset that is not
          recorded in an Enterprise Fund
      c. when capital projects are at least partially financed with restricted resources
      d. to record the acquisition or construction of all major capital assets, except
          infrastructure assets

Answer: c

10.   Which of the following groups of accounts best describes the types of assets and
      liabilities likely to be found in Capital Projects Funds?
      a. cash, investments, construction contract payable, matured bonds payable
      b. cash, buildings, equipment, construction contracts payable
      c. cash, investments, construction contracts payable, vouchers payable, long-
          term debt payable
      d. cash, investments, retained percentage on construction contracts, vouchers
          payable

Answer: d

11.   A city accounts for its capital acquisitions using encumbrances. When the city
      enters into a contract to acquire equipment, what journal entry should it make?
      a. debit expenditures - capital outlay; credit vouchers payable
      b. debit encumbrances; credit budgetary fund balance reserved for encumbrances
      c. debit equipment; credit vouchers payable
      d. debit encumbrances; credit appropriations - equipment

Answer: b
12, 13, and 14. The following set of facts applies to questions 12, 13, and 14: A state constructs an
office building. The construction is financed with: (1) a transfer of $1 million from the General
Fund; (2) a grant of $2 million from the federal government; (3) bond proceeds of $7 million; and
(4) earnings of $100,000 from temporary investment of bond proceeds. All transactions occur in
one year.

12.    Based on the preceding set of facts, how much should be reported as Revenues in
       the Capital Projects Fund?
       a. $100,000
       b. $2,100,000
       c. $3,100,000
       d. $8,100,000

Answer: b

13.    Based on the preceding set of facts, how much should be reported as Other
       financing sources in the Capital Projects Fund?
       a. $1,000,000
       b. $3,000,000
       c. $8,000,000
       d. $10,000,000

Answer: c

14.    Based on the preceding set of facts, what should be reported in the financial
       statements of the General Fund for the year?
       a. other financing uses of $1 million
       b. expenditures of $1 million
       c. other financing sources of $2 million and other financing uses of $1 million
       d. revenues of $2 million and other financing sources of $7 million

Answer: a

15.    A city issues $5 million of long-term general obligation bonds to construct a new
       fire house. How and where should that transaction be recorded?
       a. as an other financing source in the debt service fund
       b. as a liability in the capital projects fund
       c. as a liability in the debt service fund
       d. as an other financing source in the capital projects fund

Answer: d
16.   How should the account retained percentage on construction contracts be reported
      in the financial statements of a Capital Projects Fund?
      a. as a revenue
      b. as a liability
      c. as an other financing source
      d. as an asset

Answer: b

17.   A city acquired two vehicles in a particular year: (1) a sedan for $20,000 that was
      paid for through the General Fund and (2) a sanitation truck for $125,000 that was
      paid for through the Capital Projects Fund. How should the assets be reported in the
      city's fund-level financial statements?
      a. $145,000 should be reported as assets in the general fund
      b. $20,000 should be reported as assets in the general fund and $125,000
           should be reported as assets in the capital projects fund
      c. $145,000 should be reported as assets in the capital projects fund
      d. neither acquisition should be reported as assets in the fund-level financial
           statements

Answer: d

18.   Which of the following fund types is most likely to have the shortest "life"?
      a. internal service
      b. capital projects
      c. enterprise
      d. special revenue

Answer:   b

19.   A city constructs a new building by issuing debt in the amount of $3 million. How
      should the city report the debt proceeds in its Capital Projects Fund statement of
      revenues, expenditures, and changes in fund balance?
      a. as a revenue
      b. as an other financing source
      c. as a liability captioned general long-term obligations
      d. as a liability captioned due to the debt service fund

Answer: b
20.   How should a fixed asset acquired through a capital lease agreement be recorded in
      a General Fund?
      a. at the present value of the future lease payments, by debiting expenditures
         and crediting other financing sources - capital leases
      b. at the total amount of the future lease payments, by debiting expenditures
         and crediting other financing sources - capital leases
      c. at the present value of the future lease payments, by debiting expenditures
         and crediting capital leases payable.
      d. no entry is needed until payments are actually made on the capital lease
         agreement.

Answer: a

21.   A city acquires equipment on January 1, 2009 by means of a capital lease
      agreement. The agreement calls for paying the leasing company $300,000 in three
      $100,000 annual payments, starting December 31, 2009. The present value of the
      three lease payments, using a 6% interest rate, is $267,300. The city will make the
      lease payments from the Capital Projects Fund. What journal entry should the city
      make on January 1, 2009 in the Fund?
      a. debit expenditures - capital outlay; credit other financing sources, for
          $300,000
      b. debit expenditures - capital outlay; credit other financing sources, for
          $267,300
      c. debit capital assets; credit capital leases payable, for $300,000
      d. debit expenditures - capital outlay; credit capital leases payable, for
          $267,300

Answer: b

22.   A Debt Service Fund accumulates resources to retire debt that is due in a lump sum
      in the year 2010. The Fund held marketable securities that cost $900,000 when
      purchased during 2002 and 2003. The securities had fair market values of $875,000
      on January 1, 2009, and $930,000 on December 31, 2009. The average fair market
      value during the year was $895,000. At what amount should the Fund report the
      securities in its balance sheet on December 31, 2009?
      a. $875,000
      b. $895,000
      c. $900,000
      d. $930,000

Answer: d
23.   Control of the activities of a debt service fund normally is established by which of
      the following mechanisms?
      a. bond covenant provisions
      b. budgetary accounting
      c. legislative oversight and review
      d. break-even analysis

Answer: b


24.   The liability for long-term debt issued to finance a capital project will appear in
      which financial statement?
      a. government-wide statement of net assets
      b. capital projects fund balance sheet
      c. debt service fund balance sheet
      d. enterprise fund balance sheet

Answer: a

25.   The liability retained percentage--construction contracts payable most likely will appear
      in which financial statement?
      a. government-wide statement of net assets
      b. capital projects fund balance sheet
      c. debt service fund balance sheet
      d. special revenue fund balance sheet

Answer: b

26.   The largest dollar amount of resources flowing into a capital projects fund normally
      will come from
      a. dedicated property taxes
      b. user charges
      c. bond proceeds
      d. interest on investments

Answer: c
27.   The largest dollar amount of resources flowing into a debt service fund normally will
      come from
      a. tax revenues and interfund transfers
      b. interest on investments and user charges
      c. fiscal agent fees and fines
      d. liquidation of encumbrances

Answer: a

28.   Which of the following is an example of a special assessment?
      a. a separate fee on parks throughout the state to finance construction of
         nature walks
      b. a separate charge on property tax bills sent to property owners within city
         business district to finance construction of new lighting within the district
      c. an increase in property tax bills of all property owners to finance upgrade of
         county roads
      d. an increased charge by city electric utility because of increase in charge by
         company from which it purchases power

Answer: b

29.   Which of the following statements best summarizes the general rule regarding the
      fund (or funds) used to record receivables resulting from service-type special
      assessments?
      a. service-type special assessments should be recorded in the special
          assessments fund
      b. service-type special assessments should be recorded in the general fund
      c. service type special assessments should be recorded in the fund that best
          reflects the nature of the transaction
      d. service-type special assessments should be recorded in an internal service
          fund

Answer: c
30.   A city finances its sidewalk improvement program by issuing debt, with the debt
      service to be paid by special assessments levied on affected homeowners. To help
      sell the bonds, the city asserts it will assume the debt service if any homeowners fail
      to pay their assessments. What fund or funds should be used to account for the
      special assessment transactions?
      a. a special assessment fund
      b. a capital projects fund and an agency fund
      c. a public purpose trust fund
      d. a capital projects fund and a debt service fund

Answer: d

31.   A city issues special assessment bonds to finance a construction project. The city is
      not obligated in any manner to assume debt service payments if any homeowner
      defaults. The city collects the assessments from homeowners and forwards them to
      the Trustee to pay bondholders. In what fund should the city record collection and
      distribution of the special assessments?
      a. agency fund
      b. private purpose trust fund
      c. debt service fund
      d. special revenue fund

Answer: a

Problems

32.   (Classification of resource inflows in Fund operating statements)

      A county's Debt Service and Capital Projects Funds had the following resource
      inflows during 2009. State whether each of the inflows should be reported as
      revenues or as other financing sources in the fund-level statements of revenues,
      expenditures and changes in fund balances.
      a. Property taxes levied specifically for the Debt Service Fund
      b. Cash received from General Fund to finance debt service payments
      c. Cash received from General Fund to finance part of the cost of new police
          headquarters
      d. Grant from state to finance part of cost of new police headquarters
      e. Proceeds of bonds issued to finance part of the cost of new police
          headquarters
      f. Interest earned on investment of resources being accumulated to finance
          construction
      g. Increase in fair market value of investments being accumulated to finance
         construction
      h. Bond premium received by Debt Service Fund from Capital Projects fund

Answer:
     a.   Revenues
     b.   Other financing sources
     c.   Other financing sources
     d.   Revenues
     e.   Other financing sources
     f.   Revenues
     g.   Revenues
     h.   Other financing sources


33.   (Basic journal entries for acquisition of capital assets through issuance of debt)

      Prepare entries to record the following transactions related to acquisition of capital
      assets by a county. The county does not use encumbrance accounting. Identify the
      fund(s) used.

      a. The county issues general obligation bonds in the amount of $900,000,
         receiving cash for the full face amount of the bonds. The cash will be used
         to buy capital assets.
      b. The county buys a prefabricated building for $750,000, using part of the
         bond proceeds. The building is delivered and the invoice for the building is
         approved.
      c. The invoice approved in b. is paid.
      d. The General Fund transfers cash of $55,000 to another fund in anticipation
         of the payment of the first installment of interest ($30,000) and principal
         ($25,000) on the debt.
      e. The first installment of debt service on bonds issued in a. becomes due and
         payable.
      f. Debt service on the bonds issued in a. is paid.

Answer:
     a. CPF
        Cash                                            900,000
           Proceeds from bond issue (OFS)                                   900,000

      b. CPF
         Expenditures - building                        750,000
            Vouchers payable                                                750,000
      c. CPF
         Vouchers payable                               750,000
           Cash                                                            750,000

      d. GF
         Transfer out to Debt Service Fund               55,000
            Cash                                                            55,000

           DSF
           Cash                                          55,000
              Transfer in from General Fund                                 55,000

      e. DSF
         Expenditures - bond principal                   25,000
         Expenditures - bond interest                    30,000
            Matured bonds payable                                           25,000
            Matured interest payable                                        30,000

      f.   DSF
           Matured bonds payable                         25,000
           Matured interest payable                      30,000
             Cash                                                           55,000


34.   (Journal entries with emphasis on Capital Projects Fund)

      Prepare entries to record the following transactions related to the construction of
      building by the Village of Navajo Falls. The Village adopts a formal budget and
      uses encumbrance accounting. Make all required entries for the Capital Projects
      Fund only.

      a. The Village Council adopts a capital budget at the beginning of the year. To
         finance construction of the building, the Village will transfer $3 million
         from its General Fund and apply for a state grant of $1 million. It
         appropriates $3.6 million for construction and $400,000 for furniture and
         equipment.

      b. The General Fund transfers $3 million to the Capital Projects Fund for the
         new project.

      c. The state approves Navajo Falls's application for a $1 million construction
         grant and simultaneously sends a check to the Village. The grant is
         expenditure driven and thus requires that Navajo Falls incur qualifying
         expenditures.
     d. Navajo Falls awards a construction contract in the amount of $3.4 million.

     e. The contractor sends a progress billing to Navajo Falls in the amount of
        $1.6 million. The bill is approved by the Village's engineers and a voucher
        is prepared, less a 10% retainage pending completion of the building and
        final approval by the Village. Navajo Falls considers 25 percent of the
        billing to be the state's share of the cost.

     f.   The voucher in e., above, is paid.

     g. The contractor encounters construction problems due to unforeseen soil
        conditions. As a result, Navajo Falls authorizes a change order for $200,000.

     h. The contractor completes construction, and sends Navajo Falls an invoice
        for the remaining $2 million. The Village's engineers inspect the building
        and accept the work. The invoice is approved and paid, together with the
        amount retained on the progress billing in e., above. Navajo Falls considers
        25 percent of the billing to be the state's share of the cost.

Answer:
          a. Estimated other financing sources                          3,000,000
             Estimated revenues                                         1,000,000
                Appropriations - construction                                           3,600,000
                Appropriations - furniture and equipment                                  400,000

          b. Cash                                                       3,000,000
                Transfer in from General Fund                                           3,000,000

          c. Cash                                                       1,000,000
                Deferred revenues - construction grant                                  1,000,000

          d. Encumbrances                                               3,400,000
                Budgetary fund balance reserved for encumbrances                        3,400,000

          e. Budgetary fund balance reserved for encumbrances           1,600,000
                Encumbrances                                                            1,600,000

             Expenditures - construction costs                          1,600,000
                Construction contracts payable                                          1,440,000
                Retained percentage on construction contracts                             160,000
             Deferred revenues - construction grant                         400,000
                Revenues - construction grant                                                400,000

          f. Construction contracts payable                                1,440,000
                Cash                                                                     1,440,000

          g. Encumbrances                                                   200,000
                Budgetary fund balance reserved for encumbrances                             200,000
          h. Budgetary fund balance reserved for encumbrances              2,000,000
                Encumbrances                                                             2,000,000

             Expenditures - construction costs                             2,000,000
                Construction contracts payable                                           2,000,000

             Construction contracts payable                                2,000,000
             Retained percentage on construction contracts                   160,000
                Cash                                                                     2,160,000

             Deferred revenues - construction grant                         500,000
                Revenues - construction grant                                                500,000

35.   (Journal entries with emphasis on Debt Service Fund)

      The Shannon Township Debt Service Fund accumulates resources to pay its $2
      million general obligation debt. The debt is payable in equal annual installments of
      principal over 10 years with 5% interest on the unpaid principal. Prepare journal
      entries to record the following transactions in the Debt Service Fund.

      a. The Township levies a special property tax amounting to $500,000 to pay
         debt service on its long-term general obligation debt. The tax must be
         accounted for in the Debt Service Fund.
      b. All the property taxes levied for debt service purposes are collected.
      c. The Township invests $150,000 in a six-month certificate of deposit.
      d. Debt service (interest of $100,000 and principal of $200,000) becomes due
         and payable.
      e. The debt service liabilities are paid.
      f. The certificate of deposit in c. matures and the Township receives a total of
         $153,000, which includes $3,000 of interest.

Answer:
     a.   Property taxes receivable - current                               500,000
            Revenues - property taxes                                                        500,000
      b.   Cash                                                              500,000
             Property taxes receivable - current                                           500,000

      c.   Investments                                                       150,000
              Cash                                                                         150,000

      d. Expenditures - bond principal                                       200,000
         Expenditures - bond interest                                        100,000
            Matured bond principal payable                                                 200,000
            Matured bond interest payable                                                  100,000

      e. Matured bond interest payable                                       200,000
         Matured bond interest payable                                       100,000
           Cash                                                                            300,000

      g. Cash                                                                153,000
            Investments                                                                    150,000
            Revenues - investment income                                                     3,000


36.   (Journal entries to record a capital lease transaction)

      A town enters into a lease-purchase agreement with Trucks, Inc. to acquire four
      garbage trucks. The agreement provides that the town pay $100,000 at the end of
      each year for four years. Upon full payment, the trucks become town property. The
      agreement is based on an interest rate of 7%. (The present value of an annuity of $1
      for 4 periods at 7% is 3.3872.)

      Required:
      Prepare journal entries for all affected funds to record the lease agreement and the
      lease payment at the end of the first year and at the end of the second year. Town
      accounting policies provide that, regardless of the financing method used, all capital
      asset expenditures must be recorded in the Capital Projects Fund, and all debt
      service payments be recorded in the Debt Service Fund.

Answer:
           CPF
           Expenditures - capital outlay                                     338,720
              Other financing sources - capital leases                                     338,720

           DSF
           Expenditures - capital lease principal                             76,289
           Expenditures - capital lease interest                              23,711
              Cash                                                                         100,000
           DSF
           Expenditures - capital lease principal                                81,630
           Expenditures - capital lease interest                                 18,370
              Cash                                                                            100,000

Note - The present value of the lease is $100,000 x 3.3872 or $338,720. Interest for the first year is
$338,720 x .07 = $23,711; and payment on principal is the difference between the $100,000 cash
payment and the interest of $23,711. After the payment, the "outstanding debt" is the difference
between the original debt of $338,720 and payment of $76,289, or $262,431. Therefore, the
second year's interest is $262,431 x .07= $18,370, and the payment on principal is $81,630. (This
problem could be varied by asking the student to prepare a schedule showing the principal and
interest payments for the life of the lease.)

37.    (Journal entries for a major construction project)

       Prepare journal entries to record the following transactions of a state, identifying the
       funds affected by each transaction. The state prepares a budget for the Capital
       Projects Fund and uses encumbrance accounting in that Fund.

       a. The state records its capital budget. It appropriates $10 million for highway
          construction, which will be financed entirely with the issuance of bonds.
       b. The state sells 20-year 6% bonds having a face value of $10 million. The
          bonds are sold at a discount, so the state realizes a total of $9,900,000.
          Equal installments of principal will be paid every six months, together with
          interest on the unpaid balance.
       c. The state awards two contracts, one for highway construction ($6,500,000)
          and one for construction supervision ($350,000). Both contracts provide for
          progress payments. The construction contract provides for 10% retainage
          pending completion of the project.
       d. The construction contractor submits an invoice for $1,500,000. The invoice
          is approved and a voucher is prepared, less the 10% retainage.
       e. The construction supervisor submits an invoice for $100,000, and a voucher
          is prepared.
       f. Both of the invoices in transactions d. and e. are paid.
       g. The state transfers $800,000 from the General Fund to the Debt Service
          Fund in anticipation of the payment of debt service on the bonds.
       h. The debt service on the 20-year bonds becomes due and payable.
       i. The debt service is paid.

Answer:
     a. CPF
        Estimated other financing sources                                   10,000,000
           Appropriations - highway construction                                          10,000,000
b. CPF
   Cash                                                  9,900,000
      Proceeds from bond issue                                       9,900,000

c. CPF
   Encumbrances                                          6,850,000
      Budgetary fund balance reserved for encumbrances               6,850,000

d. CPF
   Budgetary fund balance reserved for encumbrances      1,500,000
     Encumbrances                                                    1,500,000

     Expenditures - construction costs                   1,500,000
        Construction contracts payable                               1,350,000
        Retained percentage on construction contracts                  150,000

e. CPF
   Budgetary fund bal. reserved for encumbrances          100,000
     Encumbrances                                                     100,000

     Expenditures - construction supervision              100,000
        Vouchers payable                                              100,000

f.   CPF
     Construction contracts payable                      1,350,000
     Vouchers payable                                      100,000
       Cash                                                          1,450,000

g. GF
   Transfer out to Debt Service Fund                      800,000
      Cash                                                            800,000

     DSF
     Cash                                                 800,000
        Transfer in from General Fund                                 800,000

h. DSF
   Expenditures - bond principal                          250,000
   Expenditures - bond interest                           300,000
      Matured bond principal payable                                  250,000
      Matured bond interest payable                                   300,000
        i.   DSF
             Matured bond principal payable                                  250,000
             Matured bond interest payable                                   300,000
               Cash                                                                          550,000

38.     (Preparing entries to abolish a Capital Projects Fund)
        You are the Finance Director of the Town of Blue Mountain. Presented below is
        the trial balance for a Capital Projects Fund of the Town at October 31, 2009. The
        Town Engineer has advised you that the project accounted for within this fund, a
        new system of bicycle trails, is complete and formal acceptance by the Town is
        pending. The Town Council has directed you to abolish this fund and transfer any
        remaining net assets to the Town s Debt Service Fund. Prepare the entries
        necessary to settle the remaining liabilities of the fund, close the accounts, and
        transfer the remaining net assets to the Debt Service Fund.
        .
                                         Town of Blue Mountain
                                          Capital Projects Fund
                                        Preclosing Trial Balance
                                            October 31, 2009
                                                                       Debits                  Credits
 Cash                                                               $ 70,160
 Vouchers payable                                                                             $ 24,450
 Contracts payable retained percentage                                                         42,750

 Unreserved fund balance                                                                      117,285
 Revenues interest                                                                             50,175

 Expenditures capital outlay                                         197,000

 Other financing sources transfers in                                                          32,500

                                                                   $ 267,160                 $ 267,160
Answer:
     Vouchers payable                                                      24,450
     Contracts payable retained percentage                                 42,750
         Cash                                                                           67,200

        Revenues interest                                                  50,175
        Transfer in                                                        32,500
        Unreserved fund balance                                           114,325
            Expenditures capital outlay                                                197,000

        Transfer to Debt Service Fund                                        2,960
            Cash                                                                         2,960

        Unreserved fund balance                                              2,960
            Transfer to Debt Service Fund                                                2,960