A Public School District Formally Adopted a Budget with Estimated

Multiple Choice

A public school district formally adopted a budget with estimated revenues of $800 and approved expenditures of $780. Which of the following is the appropriate entry to record the budget?

A) Debit Estimated revenues $800; Credit Appropriations $780; Credit Fund balance $20.
B) Debit Appropriations $780; Debit Fund balance $20; Credit Estimated revenues $800.
C) Debit Encumbrances $780; Debit Fund balance $20; Credit Estimated revenues $800.
D) Memorandum entry only.