Question

The Budgetary Comparison Schedule for the Town of Riverside appears below. Several items of information are missing (denoted with “?”).

Required:
a. Determine the missing amounts in a Budgetary Comparison Schedule provided.

b. During the year, the Town made a single budget revision, i.e., adopted an upward revision of $60,000 for the parks and recreation budget and reduced the estimated revenues from business licenses by $40,000. Prepare the general journal entry to record that revision.

Part a:

TOWN OF RIVERSIDE
Budgetary Comparison Schedule
General Fund
For the Year Ended December 31, 2020
	Budgeted Amounts		Actual Amounts (Budgetary Basis)	Variance with Final Budget Positive (Negative)
	Original	Final
Revenues:
Property Taxes	$745,441	$745,441	$748,000	$2,559
Business Licenses	179,559	?	130,000	?
Total Revenues	925,000	?	878,000	?
Expenditures and Encumbrances:
General Government	400,000	400,000	370,000	30,000
Parks and Recreation	120,000	?	181,000	?
Sanitation	100,000	100,000	102,100	(2,100)
Streets and Sidewalks	170,000	170,000	162,333	?
Total Expenditures and Encumbrances	790,000	?	815,433	?
Excess (Deficiency) of Revenues Over Expenditures and Encumbrances	135,000	35,000	62,567	?
Fund Balance, Beginning	54,000	54,000	54,000	?
Fund Balance, Ending	$189,000	$89,000	$116,567	?

	Accounts	Debits	Credits
Part b:

Answer 1

BUDGETARY COMPARISION SCHEDULE

GENERAL FUND

FOR THE YEAR ENDED DEC 31st 2020

			ORIGINAL	FINAL		ACTUAL		VARIANCE
PROPERTY TAXES		745441	745441		748000		2559
Business licence		179559	139559		130000		-9559
total revenues		925000	885000		878000		-7000
Expenditures & encumberances
General govt		400000	400000		370000		30000
Parks and recreation		120000	180000		181000		-1000
	sanitation		100000	100000		102100		-2100
	Street & sidewalks	170000	170000		162333		7667
	Total expenditures & encumberance		790000	850000		815433		34567
	Excess of revenue over expenditures		135000	35000		62567		27567
	Fund bal.		54000	54000		54000		0
	( beginning
	Fund bal. ( closing)	189000	89000		116567		27567