ACFR - FY2021 FINAL 5-13-22 USE THIS ONE - Flipbook - Page 69
NOTES TO FINANCIAL STATEMENTS
CITY OF EUSTIS, FLORIDA
(Continued)
Note 1 - Description of Funds and Summary of Significant Accounting Policies (Continued)
Assets, Liabilities, and Fund Equity (Continued)
Listed below is the allowance for doubtful accounts:
FY 2021
Allowance for Doubtful Accounts
General
Fund
$ 130,317
Water & Sewer
Utility System
Fund
$ 1,112,858
Stormwater
Fund
$ 133,898
Total
$ 1,377,073
■
Inventories
Inventories are valued at cost using the first-in, first-out method. Inventories of
governmental funds are recorded as expenditures when consumed rather than when
purchased.
■
Prepaid
Certain payments to vendors that reflect costs applicable to future accounting periods
are recorded as prepaid items in government-wide and fund financial statements.
■
Restricted Assets
Specific provisions of debt resolutions and City policies restrict the uses of certain
assets of the enterprise fund. These assets are restricted from paying the general
obligations of the fund. Assigned assets are identified as restricted assets on the
Statement of Net Position.
■
Capital Assets
Capital assets include property, plant, equipment, and infrastructure assets (e.g.,
roads, bridges, sidewalks, and similar items. They are reported in the applicable
governmental or business-type activities columns in the government-wide financial
statements. Property, plant, and equipment with initial, individual costs equal to or
exceeding $5,000 and estimated useful lives of over one year are recorded as capital
assets. Roads, bridges, and sidewalks are capitalized when their initial costs equal
or exceed $25,000 and possess estimated useful lives of more than one year.
Purchased or constructed, capital assets are recorded at historical or estimated
historical costs. Donated capital assets are recorded at the acquisition value at the
date of donation.
Significant outlays for capital assets, and improvements are capitalized as projects
are constructed. Interest incurred during the construction phase of capital assets of
major business-type activities is included as part of the capitalized value of the
assets constructed.
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