1- Record the following journal entries for a Capital projects fund: a. The City Council authorizes construction of a fire station to be financed by issuing bonds in

1- Record the following journal entries for a Capital projects fund: a. The City Council authorizes construction of a fire station to be financed by issuing bonds in the amount of $5,000,000. The capital projects fund records appropriations as a memorandum entry only (does not record the budget in accounts). b. The General fund loans the Capital projects fund $100,000 for initial expenses c. The Capital projects fund issues bonds in the amount of $5,000,000 d. The Capital projects fund issues a construction contract for $5,000,000 that has specified 5% will be retained until the building is complete and passes inspections e. The contractor bills the city $2,000,000 for construction so far f. The Capital projects fund repays the General fund for the loan g. The Capital projects fund pays the contractor’s bill

2-Record the following journal entries: a. the county levies property taxes for the city ($2,000,000) and local schools ($3,000,000) and $1,000,000 for the county itself b. The county collects the property taxes c. The county distributes the property taxes collected

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