This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: (Journal Entries for an Investment Trust Fund) Smith County operates an external investment pool, ... (Read 128 times)

chads108

  • Hero Member
  • *****
  • Posts: 507
on: Jul 5, 2018
(Journal Entries for an Investment Trust Fund)
 
  Smith County operates an external investment pool, which invests idle cash on behalf of school districts within the county. Prepare journal entries to record the following transactions.
 
  a. The pool receives cash deposits from District 1 (100,000) and District 3 (300,000).
  b. The pool invests the 400,000 in certificates of deposit (CDs) maturing in three months.
  c. The CDs mature and the pool receives 402,000, which includes 2,000 interest.
  d. The pool remits the interest to Districts 1 and 3 in proportion to their investments.
  e. District 3 needs some cash. In accordance with District 3's request, the pool returns 250,000 cash to the District.
   f. The pool invests the remaining 150,000 in another CD.
   g. At year-end, interest earned but not received on the 150,000 CD, amounts to 1,000.

Question 2

Every controlling account must have its own
 a. revenue ledger
  b. general ledger
  c. subsidiary ledger
  d. journal


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bubulittle310@msn.cn

  • Sr. Member
  • ****
  • Posts: 281
Reply #1 on: Jul 5, 2018
Answer to Question 1

a. Cash 400,000
Additions  contributions from District 1 100,000
Additions  contributions from District 3 300,000

b. Investments - CDs 400,000
Cash 400,000

c. Cash 402,000
Investments - CDs 400,000
Additions - interest 2,000

d. Deductions - distributions to pool participants 2,000
Cash 2,000

e. Deductions - distributions to pool participants (District 3) 250,000
Cash 250,000

f. Investments - CDs 150,000
Cash 150,000

g. Interest receivable 1,000
Additions - interest 1,000

Answer to Question 2

c


chads108

  • Member
  • Posts: 507
Reply 2 on: Jul 5, 2018
Gracias!

Sarahjh

  • Member
  • Posts: 370
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

In the United States, congenital cytomegalovirus causes one child to become disabled almost every hour. CMV is the leading preventable viral cause of development disability in newborns. These disabilities include hearing or vision loss, and cerebral palsy.

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Did you know?

The toxic levels for lithium carbonate are close to the therapeutic levels. Signs of toxicity include fine hand tremor, polyuria, mild thirst, nausea, general discomfort, diarrhea, vomiting, drowsiness, muscular weakness, lack of coordination, ataxia, giddiness, tinnitus, and blurred vision.

Did you know?

The first war in which wide-scale use of anesthetics occurred was the Civil War, and 80% of all wounds were in the extremities.

external combustion engine external combustion engine
An otoscope, used to visually examine the external auditory ear canal and tympanic membrane. An otoscope, used to visually examine the external auditory ear canal and tympanic membrane.
Smith and Snell’s Five Religious Categories Smith and Snell’s Five Religious Categories
External Obliques External Obliques
Use an Automated External Defibrillator Use an Automated External Defibrillator
Structural of external, middle and inner ear Structural of external, middle and inner ear
Video: Angiotensin II - kidneys, adrenal glands and dehydration

For a complete list of videos, visit our video library