Adjusting is written in the Item column of the general ledger ...

[ahriuashd]

Adjusting is written in the Item column of the general ledger when posting adjusting entries.
 a. True
   b. False
   Indicate whether the statement is true or false

Question 2

(Computation of net investment in capital assets)
 
  The following information is taken from the financial statements of Corwin Water District 2, an Enterprise Fund. The revenue bonds were issued to construct water mains.
 
  Based on these data, compute the amount that the Fund should report on its statement of net position, as net investment in capital assets.
  Buildings 1,100,000
  Water mains and equipment 5,200,000
  Accumulated depreciation, capital assets 2,300,000
  Current portion of revenue bonds payable 450,000
  Long-term portion of revenue bonds payable 1,800,000
 
  What will be an ideal response?

[duy1981999]

Answer to Question 1

True

Answer to Question 2

Capital assets (1,100,000 + 5,200,000)  6,300,000 Less, accumulated depreciation 2,300,000
Net capital assets 4,000,000
Less, related debt (450,000 + 1,800,000) 2,250,000
Net investment in capital assets  1,750,000