Question

Carroll City levies $200,000 of property taxes for its current fiscal year. One percent of the tax levy is expected to be uncollectible. The city collects $170,000 of its taxes during the year and another $25,000 during the first two months of the following year. In addition, the city collected $3,000 of prior year taxes during the first two months of the current fiscal year and another $2,000 during the remainder of the current fiscal year. What amount of property tax revenues should the city report in the government-wide financial statements for the current fiscal year

Answer 1

Answer:

$198,000

Explanation:

Following amount of property tax revenues should the city report in the government-wide financial statements for the current fiscal year

During the year collection =  $170,000

During the first two months of the following year =  $25,000

Prior year taxes =  $3,000

Total = $170,000 + $25,000 + $3,000 = $198,000