| (Worksheet
and Statements) The City of Lynn operates its municipal airport. The trial
balance of the Airport Fund as of January 1, 20X0, was as follows: |
| Cash | | $ 37,000 | |
| Accounts Receivable | | 50,000 | |
| Allowance for Uncollectible Accounts | | | $ 2,000 |
| Land | | 200,000 | |
| Structures and Imporvements | | 700,000 | |
| Accumulated Depreciation –
Structures and Improvements | 50,000 |
| Equipment | | 250,000 | |
| Accumulated Depreciation – Equipment | | | 90,000 |
| Vouchers Payable | | | 48,000 |
| Bond Payable | | | 800,000 |
| Net Position | | | 247,000 |
| | | $ 1,237,000 | $ 1,237,000 |
| The
following transactions took place during the year: | | |
| 1. Revenues collected
in cash: aviation revenues, $340,500; concession revenues, $90,000; revenues
from airport management, $30,000; revenues from sales of petroleum products,
$10,500. |
| 2. Expenses (all paid
in cash with the exception of $24,000, which remained unpaid at Decemeber 31)
were operating, $222,000; maintenance, $75,000; general and administrative,
$73,000. |
| 3. Bad debts written off during the
year, $1,900. | | |
| 4. The vouchers payable outstanding
on January 1, 20X0, were paid. | |
| 5. Bond principal paid during the
year, $50,000, along with interest of $40,000. |
| 6. The remaining accounts receivable
outstanding on January 1, 20X0, were collected. |
| 7. Accounts receivable
on December 31, 20X0, amounted to $30,000, all applicable to aviation
revenues, of which $1,400 is estimated to be uncollectible. |
| 8. Accrued interest payable at year
end, $3,000. | | |
| 9. Depreciation charges: | | | |
| Structure and Improvements | | $ 14,000 | |
| Equipment | | 21,000 | |
| a.
Prepare a worksheet to reflect the beginning trial balance, the transactions
and adjustments during 20X0, the revenues and expenses of the year (or
closing entries), and the ending statement of net position data. |
| b. Compute
the beginning and ending balances of each of the three net position
compnents. |
| c. Prepare a
statement of net position for the Airport Fund as of December 31, 20X0. |
| d.
Prepare a statement of revenues, expenses, and changes in fund net position
for the Airport Fund for the fiscal year ended December 31, 20X0. |
