Prepare Journal Entries in the Motor Pool Department of Hill

question 45

Essay

Prepare journal entries in the motor pool department of Hill County to record each of the following transactions.
1.The General Fund contributed $50,000 cash to the motor pool department.The motor pool department purchased four vehicles on July 1,2014 by paying $50,000 down and borrowing $70,000 on a 5%,3-year note.
2.Billed General Fund departments $430,000 for services provided to those departments.Billings to the Enterprise Fund totaled $210,000.All billings were collected by year-end (June 30,2015)except for $80,000 charged to the General Fund.
3.Accrued year-end adjustments at June 30,2015 for interest expense and depreciation.The useful life of the equipment is 5 years with no salvage value.

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Definitions:

Database Software

Computer programs that allow storage, modification, and extraction of information from a database.

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Supply Chain Information Systems; technology and software tools designed to enhance visibility, efficiency, and management of the supply chain from procurement to delivery.

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The use of computers, software, and networks to store, process, and communicate information digitally for business operations.

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The process by which businesses or other organizations develop international influence or start operating on an international scale, leading to increased interconnectedness.