The City of McNeely sold bonds in the amount of $25,000,000 to finance the construction of a public health center. The bonds are serial bonds and were sold at par on January 1, the first day of a fiscal year. Shortly thereafter a construction contract in the amount of $22,000,000 was signed and the contractor commenced work. By year-end the contractor had been paid in full for all billings to date amounting to $12,000,000. Prepare, in general journal form, all journal entries that should have been made during the fiscal year ended December 31 to record the preceding information in the capital projects fund. (No closing entry is required).

1. To Record the cash received on issue of bonds.

Date     Account Titles and Explanation          Debit              Credit

             Cash                                                  $25,000,000

                   Other financing uses-Bond proceeds                  $25,000,000

              (To record the cash received on the issue of Bond)

2. To Record the inception of the construction contract.

Date     Account Titles and Explanation          Debit              Credit

             Encumbrances                                 $22,000,000

                       Encumbrances outstanding                           $22,000,000

             (To Record the inception of the construction contract)

3. To Record the encumbrances outstanding on account of the construction contract.

Date     Account Titles and Explanation      Debit             Credit

            Encumbrances outstanding        $12,000,000

                    Encumbrances                                              $12,000,000

          (To Record the encumbrances outstanding on account)

Date     Account Titles and Explanation        Debit            Credit

              Construction Expenditure            $12,000,000

                       Construction payable                                 $12,000,000

          (To Record the encumbrances outstanding on account)

4. To Record the transfer of the balance in the fund balance account.

Date     Account Titles and Explanation        Debit            Credit

             Other Financing sources -            $25,000,000

             Proceed of Bonds

                     Fund balance - Restricted                            $13,000,000

                     Construction Expenditure                             $12,000,000

            (To record the construction expenses paid)

odd consecutive integers are odd integers that follow each other. they have a difference of 2 between every two numbers. if n is an odd integer, then n, n+2, n+4 and n+6 will be odd consecutive integers. the first number in the pattern is always the variable on its own or in this case, "n". examples.

answerthe above statement is false;