Delight City Bus System is accounted for in an enterprise fund. Delight City Bus System had the following transactions for 2015.

Please help with section B in bold below.

B. Delight City Bus System is accounted for in an enterprise fund. Delight City Bus System had the following transactions for 2015.

  1. Delight City Bus System issued $10,000,000 is 8 percent revenue bonds. The bonds were issued at par.
  2. Delight City Bus System used the proceeds from the bond issue to acquire new buses.
  3. Delight City Bus System accrued nine month’s interest ($600,000) at year end.
  4. Delight City Bus System incurred $50,000 of repair costs paying for them with cash.

Required:

a. Prepare appropriate journal entries.

b. Which financial statements would be required for Delight City Bus System for the year end June 30, 2015? State the titles and show the general format of the classifications that would be reported in each of the required financial statement.

c. Edgerton County has a duplication service center that it accounts for in an internal service fund. During 2015 Edgerton County duplication service center had the following transactions:

1. The general fund made an initial cash contribution of $35,000 to the internal service fund.              

2. The Edgerton County duplication service center purchased copiers that were accounted for as Equipment and paid cash in the amount of $70,000.

3. The Edgerton County duplication service center borrowed $270,000 from a local bank to finance the purchase of additional equipment and renovation of its facilities. It issued a three-year note.

4. The Edgerton County duplication service center purchased the equipment for $160,000 and paid contractors $100,000 for improvements to its facilities – cash was paid.

5. The Edgerton County duplication service center billed the county clerk’s office $5,000 for printing services; the duplication service center then received $2,500 cash from the county clerk’s office.

6. The Edgerton County duplication service center incurred and paid in cash operating expenses for $9,000.                                           

7. The Edgerton County duplication service center recognized depreciation in the amount of $1,500 on its equipment and recognized depreciation in the amount of $900 on the improvements to its facilities.

Required:

a. Prepare journal entries in the internal service fund.

b. Which financial statements would be required for Edgerton County duplication service center for the year ended July 31, 2015? State the titles and show the general format of the classifications that would be reported in each of the required financial statement

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more