Option #1: Evaluating and assigning to appropriate funds

Part A:

Newport City established the following activities after it was founded: General fund, Governmental activities, Enterprise fund, Internal service fund, Enterprise fund, and Permanent fund. Assign the following transactions to the appropriate activity and explain why you assigned the transaction to the activity.

  • Cash was transferred from the General Fund to establish a central duplicating internal service fund in the amount of $30,000 in cash and $350,000 in equipment with accumulated depreciation of $80,000.
  • The city’s General Fund was billed $140,000 for water and sewage by the utility fund. By the last day of the year, the entire amount was paid of the utility bill.
  • The internal service fund billed the city’s general government function $16,300 for duplicating services and the city’s utility fund for $9,200 for services.
  • A purchase order of $28,000 was created by the general government function for computer equipment.
  • A payment voucher was approved for $26,200 upon receipt of the equipment and the payment was made.

Part B:

Case Study – Identify the Nonprofit https://hbsp.harvard.edu/tu/b1a96dc5

Use the information in the case study to answer the questions below for each of the items in the following list:

  • A U.S. health insurer
  • A world-renowned public university in the United Kingdom
  • A U.S. municipal government
  • A U.S. public television station.

Assignment:

  • Use your knowledge of the likely operational and financial characteristics of the listed organizations to match each organization with the appropriate financial information.
  • Analyze the financial condition of each organization and categorize them as:
  • healthy,
  • suffering from a cold,
  • suffering from the flu, or
  • very sick.
  • Analyze the causes and remedial steps for the organizations and state governments you identified as “very sick”.

Paper Requirements:

  • Submit your responses to the questions in a 3 Microsoft Word document. Label Part Aand Part B clearly in your paper. Include computations in a table and show work.
  • For written answers, ensure your responses are well-written.

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