governmental activities-long term obligations debt is accounted for differently in fund and governmental-wide statements. the following transaction…

governmental activities-long term obligationsdebt is accounted for differently in fund and governmental-wide statements.the following transaction affected a city’s general fund. for each prepare a table in which you indiate the expenditure/expense and change in liabilities that the city reports in its (a) general fund and (b) government-wide statements.1. city employees earned $7.7 million in vacation pay during the year, of which they took only $6.6 million. they may take the balance in the following three years.2. the employees were paid $0.5 million for vacations that they had earned in previous years.3. the city settle a claim brought against it during the year by a building cintractor. the city agreed to pay million immediately and $10 million at the end of the following year.4. the city issued $100 million in general obligation bonds at a price of $99.7 million (i.e., a discount of $0.3 million).5. it paid $4 million in debt service. of this, $3 million was for the first payment interest, the balance for repayment of principal.

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