BACKGROUND

In November 1990, Congress passed, and the President signed, Public Law
101-510[^1], which superseded prior reporting requirements. This law
requires that agencies keep any remaining budget authority for five
years after the appropriation expires to use in paying unliquidated
obligations and liabilities on the books at expiration. At the end of
that five-year period for that Treasury Appropriation Fund Symbol
(TAFS):

-   all budgetary resources, both obligated and unobligated, is
    canceled;

-   fund balance is returned to Treasury; and

-   any receivables and payables are canceled for that TAFS.

At the time a TAFS is canceled, any collectible account receivable is
re-established in a miscellaneous receipt account. Upon collection, the
funds are deposited to Treasury miscellaneous receipt account 3200 --
Collections of Receivables from Canceled Accounts. Any valid obligations
and payables associated with the canceled TAFS may be paid from budget
authority that is available for the same general purpose but still in
the unexpired phase, as in accordance with OMB Circular No. A-11
requirements. Failure to meet these provisions may result in a violation
of the Anti-Deficiency Act. Further guidance is provided in OMB Circular
No. A-11, Section 130.10 for canceled obligations and payables. See also
the Financial Management Service web site at
[www.fms.treas.gov/ussgl](http://www.fms.treas.gov/ussgl) for a scenario
on canceled payables.

This guidance relates to appropriations that have definite expiration
dates. No-year authority usually stays in the unexpired phase until
fully obligated and disbursed. When the purposes for which the authority
was made available have been achieved, the account may be closed and the
authority canceled.[^2]

The following illustration provides generic procedures for principal
transactions agencies would encounter. Receivables are listed
generically, using the USSGL account number for Accounts Receivable
1310. Payables are illustrated via the USSGL account number for Accounts
Payable 2110. Agencies may have other receivables and payables, and
should use appropriate USSGL account numbers.

#### 

#### 

#### YEAR 1

1\. To record the enactment of an annual appropriation for other than
special and trust funds.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| Debit 4119 Other Appropriations Realized 1,000                | A104 |
|                                                               |      |
| Credit 4450 Unapportioned Authority 1,000                     |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 1010 Fund Balance w/Treasury 1,000                      |      |
|                                                               |      |
| Credit 3101 Unexpended Appropriations -- Appro. Received      |      |
| 1,000                                                         |      |
+---------------------------------------------------------------+------+

### 2. To record anticipated reimbursements. 

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4210 Anticipated Reimbursements and Other Income 1,050  | A302 |
|                                                               |      |
| Credit 4450 Unapportioned Authority 1,050                     |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

#### 3. To record budgetary authority apportioned by OMB and available for allotment. (Direct Appropriation)

+---------------------------------------------------------------+------+
| #########                                                     |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | TC   |
|                                                               |      |
| ## Debit 4450 Unapportioned Authority 1,000                   | A116 |
|                                                               |      |
| Credit 4510 Apportionments 1,000                              |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

4\. To record anticipated resources apportioned but not available for
use until realized.

+---------------------------------------------------------------+------+
| ####                                                          |      |
+---------------------------------------------------------------+------+
| #### Budgetary entry                                          | ###  |
|                                                               | # TC |
| Debit 4450 Unapportioned Authority 1,050                      |      |
|                                                               | A118 |
| Credit 4590 Apportionments Unavailable -- Anticipated         |      |
|                                                               |      |
| Resources 1,050                                               |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

#### 

#### 

#### 

#### 5. To record the allotment of authority. (Direct Appropriation)

+---------------------------------------------------------------+------+
| #########                                                     |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4510 Apportionments 1,000                               | A120 |
|                                                               |      |
| Credit 4610 Allotments -- Realized Resources 1,000            |      |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

6\. To record a commitment. (Direct Appropriation)

+---------------------------------------------------------------+------+
| #########                                                     |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4610 Allotments -- Realized Resources 900               | B202 |
|                                                               |      |
| Credit 4700 Commitments 900                                   |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

#### 7. To record current year undelivered orders. (Direct Appropriation)

+---------------------------------------------------------------+------+
| #########                                                     |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4700 Commitments 500                                    | B204 |
|                                                               |      |
| Credit 4801 Undelivered Orders -- Obligations, Unpaid 500     |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

8\. To record the delivery of goods or services and accrue a liability.
(Direct Appropriation)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| Debit 4801 Undelivered Orders -- Obligations, Unpaid 500      | B    |
|                                                               | 134, |
| Credit 4901 Delivered Orders -- Unpaid 500                    |      |
|                                                               | B302 |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 6100 Operating Expenses/Program Costs 500               |      |
|                                                               |      |
| Credit 2110 Accounts Payable 500                              |      |
|                                                               |      |
| And                                                           |      |
|                                                               |      |
| Debit 3107 Unexpended Appropriations -- Appropriations Used   |      |
| 500                                                           |      |
|                                                               |      |
| Credit 5700 Expended Appropriations 500                       |      |
+---------------------------------------------------------------+------+

**9. To pay \$400 obligation originally recorded for \$500 in the
current year and decrease current year obligations. The invoice was less
than expected. (Direct Appropriation)**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| ## Debit 4901 Delivered Orders -- Obligations, Unpaid 400     | B110 |
|                                                               |      |
| Credit 4902 Delivered Orders -- Obligations, Paid 400         | B    |
|                                                               | 306* |
| ## Debit 4901 Delivered Orders -- Obligations, Unpaid 100     | *R** |
|                                                               | [^3] |
| Credit 4610 Allotments -- Realized Resources 100              |      |
|                                                               | B    |
| # Proprietary entry                                           | 134* |
|                                                               | *R** |
| ## Debit 2110 Accounts Payable 500                            |      |
|                                                               |      |
| Credit 1010 Fund Balance w/Treasury 400                       |      |
|                                                               |      |
| Credit 6100 Operating Expenses/Program Costs 100              |      |
|                                                               |      |
| Debit 5700 Expended Appropriations 100                        |      |
|                                                               |      |
| Credit 3107 Unexpended Appropriations -- Used 100             |      |
+---------------------------------------------------------------+------+

**10. To record a commitment of \$100. (Direct Appropriation)**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4610 Allotments -- Realized Resources 100               | B202 |
|                                                               |      |
| Credit 4700 Commitments 100                                   |      |
|                                                               |      |
| ######                                                        |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

#### 

#### 

#### 11. To record current year undelivered orders. (Direct Appropriation)

+---------------------------------------------------------------+------+
| #########                                                     |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4700 Commitments 500                                    | B204 |
|                                                               |      |
| Credit 4801 Undelivered Orders -- Obligations, Unpaid 500     |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

12\. To record the delivery of goods or services and accrue a liability.
(Direct Appropriation.)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| Debit 4801 Undelivered Orders -- Obligations, Unpaid 500      | B    |
|                                                               | 134, |
| Credit 4901 Delivered Orders -- Unpaid 500                    |      |
|                                                               | B302 |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 6100 Operating Expenses/Program Costs 500               |      |
|                                                               |      |
| Credit 2110 Accounts Payable 500                              |      |
|                                                               |      |
| And                                                           |      |
|                                                               |      |
| Debit 3107 Unexpended Appro. -- Appro. Used 500               |      |
|                                                               |      |
| Credit 5700 Expended Appropriations 500                       |      |
+---------------------------------------------------------------+------+

**13. To pay \$100 of accounts payable balance.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| ## Debit 4901 Delivered Orders -- Obligations, Unpaid 100     | B110 |
|                                                               |      |
| Credit 4902 Delivered Orders -- Obligations, Paid 100         |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| ## Debit 2110 Accounts Payable 100                            |      |
|                                                               |      |
| Credit 1010 Fund Balance w/Treasury 100                       |      |
+---------------------------------------------------------------+------+

14\. Determined that the \$100 in the above transaction was paid in
error and that a refund was due. (Note: this is a non-federal
receivable[^4])

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| None                                                          | C212 |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 1310 Accounts Receivable 100                            |      |
|                                                               |      |
| Credit 6790 Other Expenses Not Requiring Budgetary Resources  |      |
| 100                                                           |      |
+---------------------------------------------------------------+------+

### 

### 15. To record the estimated allowance for bad debts related to non-credit reform receivables.[^5] (\*estimates for bad debts are normally done at the beginning of fiscal year)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| None                                                          | D204 |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 6720 Bad Debt Expense 100                               |      |
|                                                               |      |
| > Credit 1319 Allow for loss on Accounts Receivable 100       |      |
+---------------------------------------------------------------+------+

**16. To record the realization of previously anticipated and
apportioned authority, and record a reimbursable agreement without an
advance -- Reimbursable Order #1.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4221 Unfilled Customer Orders Without Advance 550       | A    |
|                                                               | 122, |
| Credit 4210 Anticipated Reimbursements and Other Income 550   |      |
|                                                               | A304 |
| and                                                           |      |
|                                                               |      |
| Debit 4590 Apportionments Unavailable -- Anticipated          |      |
| Resources 550                                                 |      |
|                                                               |      |
| Credit 4610 Allotments -- Realized Resources 550              |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

**17. To record the realization of previously anticipated and
apportioned authority, and record a reimbursable agreement with an
advance -- Reimbursable Order #2.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4222 Unfilled Customer Orders Without Advance 350       | A    |
|                                                               | 122, |
| Credit 4210 Anticipated Reimbursements and Other Income 350   |      |
|                                                               | C182 |
| and                                                           |      |
|                                                               |      |
| Debit 4590Apportionments Unavailable -- Anticipated Resources |      |
| 350                                                           |      |
|                                                               |      |
| Credit 4610 Allotments -- Realized Resources 350              |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 1010 Fund Balance with Treasury 350                     |      |
|                                                               |      |
| Credit 2310 Advances from Others 350                          |      |
+---------------------------------------------------------------+------+

### 18. To record current year undelivered orders -- Reimbursable Order #1(\$200); Reimbursable Order #2(\$150).

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4610 Allotments -- Realized Resources 350               | B204 |
|                                                               |      |
| Credit 4801 Undelivered Orders -- Obligations, Unpaid 350     |      |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

**19. To record the delivery of goods or services and accrue a liability
-- Reimbursable Order #1.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4801 Undelivered Orders -- Obligations, Unpaid 200      | B302 |
|                                                               |      |
| Credit 4901 Delivered Orders -- Obligations, Unpaid 200       |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 6100 Operating Expenses/Program Costs 200               |      |
|                                                               |      |
| Credit 2110 Accounts Payable 200                              |      |
+---------------------------------------------------------------+------+

### 20. To record revenue earned for services performed on a reimbursable order without an advance -- Reimbursable Order #1.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4251 Reimbursements and Other Income Earned --          | A310 |
| Receivable 200                                                |      |
|                                                               |      |
| Credit 4221 Unfilled Customer Orders Without Advance 200      |      |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 1310 Accounts Receivable 200                            |      |
|                                                               |      |
| Credit 5200 Revenue from Services Provided 200                |      |
+---------------------------------------------------------------+------+

**21. To record the delivery of goods or services and accrue a liability
-- Reimbursable Order #2.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4801 Undelivered Orders -- Obligations, Unpaid 150      | B302 |
|                                                               |      |
| Credit 4901 Delivered Orders -- Obligations, Unpaid 150       |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 6100 Operating Expenses/Program Costs 150               |      |
|                                                               |      |
| Credit 2110 Accounts Payable 150                              |      |
+---------------------------------------------------------------+------+

**22. To record earned revenue related to a reimbursable agreement --
Reimbursable Order #2.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4252 Reimbursements and Other Income Earned --          | A306 |
| Collected 150                                                 |      |
|                                                               |      |
| Credit 4222 Unfilled Customer Orders With Advance 150         |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 2310 Advances from Others 150                           |      |
|                                                               |      |
| Credit 5200 Revenue from Services Provided 150                |      |
+---------------------------------------------------------------+------+

######## Pre-Closing Adjusting Entries

**23. To record the removal of unobligated unfilled customer orders
without advance in excess of obligations.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4610 Realized Resources 350                             | F109 |
|                                                               |      |
| Credit 4221 Unfilled Customer Orders Without Advance 350      |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

**24. To record removal of unobligated unfilled customer orders with
advance and return advance in excess of obligations -- Reimbursable
Order #2.**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4610 Realized Resources 200                             | F110 |
|                                                               |      |
| Credit 4222 Unfilled Customer Orders With Advance 200         |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| Debit 2310 Advances from Others 200                           |      |
|                                                               |      |
| Credit 1010 Fund Balance with Treasury 200                    |      |
+---------------------------------------------------------------+------+

25\. To record adjustments for anticipated resources not realized.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| ###### Budgetary entry                                        | TC   |
|                                                               |      |
| Debit 4590 Apportionments Unavailable -- Anticipated          | F112 |
| Resources 150                                                 |      |
|                                                               |      |
| Credit 4210 Anticipated Reimbursements & Other Income 150     |      |
|                                                               |      |
| ###### Proprietary entry                                      |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

+---------------------------------------------------+--------+--------+
| ### Pre- Closing Trial Balances -- Year End       | ###    | ###    |
|                                                   |  Debit | Credit |
+---------------------------------------------------+--------+--------+
| #### Budgetary                                    | 1,000  | 100    |
|                                                   |        |        |
| 4119 Other Appropriations Realized                | 200    | 750    |
|                                                   |        |        |
| 4251 Reimbursements and Other Income Earned -     | 150    | [      |
| Receivable                                        |        | 500\_] |
|                                                   | \_     | {.unde |
| 4252 Reimbursements and Other Income Earned -     | \_\_\_ | rline} |
| Collected                                         |        |        |
|                                                   | 1,350  | 1,350  |
| 4610 Allotments -- Realized Resources             |        |        |
|                                                   | 650    | 100    |
| 4901 Delivered Orders-Obligations, Unpaid         |        |        |
|                                                   | 300    | 750    |
| 4902 Delivered Orders-Obligations, Paid           |        |        |
|                                                   | 900    | 1,000  |
| #######  TOTALS                                   |        |        |
|                                                   | 1,250  | 350    |
| #### Proprietary                                  |        |        |
|                                                   | 100    | 900    |
| 1010 Fund Balance w/Treasury                      |        |        |
|                                                   | \_     | [      |
| 1310 Accounts Receivable                          | \_\_\_ | 100\_] |
|                                                   |        | {.unde |
| 1319 Allowance for loss on Accounts Receivable    | 3,200  | rline} |
|                                                   |        |        |
| 2110 Accounts Payable                             |        | 3,200  |
|                                                   |        |        |
| 3101 Unexpended Appropriations Received           |        |        |
|                                                   |        |        |
| 3107 Unexpended Appropriations Used               |        |        |
|                                                   |        |        |
| 5200 Revenue from Services Provided               |        |        |
|                                                   |        |        |
| 5700 Expended Appropriations                      |        |        |
|                                                   |        |        |
| 6100 Operating Expenses/Program Costs             |        |        |
|                                                   |        |        |
| 6720 Bad Debt Expense                             |        |        |
|                                                   |        |        |
| 6790 Other Expenses Not Requiring Budgetary       |        |        |
| Resources                                         |        |        |
|                                                   |        |        |
| **TOTALS**                                        |        |        |
+---------------------------------------------------+--------+--------+

FMS 2108 --Year End Closing Statement

Year 1

Column 5 Unexpended Balance (1010E) 650

[Column 7 Reimbursements Earned and Refunds (4251E) 200]{.underline}

Column 10 Accounts Payable and Other Liabilities (4901E) 750

Column 11 Unobligated Balance (4610E) 100

FACTS II Edit Check: Columns 5+6+7+8=9+10+11

SF-133 REPORT ON BUDGET EXECUTION AND BUDGETARY RESOURCES/

SBR: STATEMENT OF BUDGETARY RESOURCES (YEAR 1)

BUDGETARY RESOURCES

1\. Budget authority

A. Appropriations received (4119E) 1,000

3\. Spending authority from offsetting collections

A. Earned

> 1\. Collected (4252E) 150

2\. Receivable from Federal sources (4251E-B) 200

E. Subtotal [350]{.underline}

7\. Total Budgetary Resources 1,350

STATUS OF BUDGETARY RESOURCES

8\. Obligations incurred:

A. Direct (4901E-B) + (4902E) 900

B. Reimbursable (4901E-B) 350

C. Subtotal [1,250]{.underline}

9\. Unobligated balance:

A. Apportioned

1\. Balance, currently available (4610E) 100

11\. Total Status of budgetary resources 1,350

RELATIONSHIP OF OBLIGATIONS TO OUTLAYS

14. Obligated balance net, end of period

> A. Accounts receivable (-) (4251E) (200)

D. Accounts payable (+) (4901E) 750

15. Outlays

A. Disbursements (+) (4902E) 500

B. Collections (-) (4252E) (150)

C. Subtotal (calc 15A..15B) 350

16. Less: Offsetting receipts \_\_\_\_

17\. Net Outlays 350

[BUDGET PROGRAM AND FINANCING (P&F) SCHEDULE PRIOR YEAR ACTUAL COLUMN
FOR YEAR 1 REPORTING]{.underline}

OBLIGATIONS BY PROGRAM ACTIVITY

1000 Total new obligations (4901E-B+4902E) 1,250

BUDGETARY RESOURCES AVAILABLE FOR OBLIGATION

2200 New budget authority (gross) (+) 1,350

2395 Total new obligations (-) (1,250)

2398 Unobligated balance expiring or withdrawn (-) (4610E) (100)

NEW BUDGET AUTHORITY (GROSS), DETAIL

4000 Appropriation (4119E) 1,000

6800 Spending authority from offsetting collections (cash) (+) (4252E)
150

6810 Change in uncollected customer payments from Federal sources

(unexpired) (4251E-B) 200

6890 Spending authority from offsetting collections (total
discretionary) (+) 350

7000 Total new budget authority (gross) (-) 1,350

CHANGE IN OBLIGATED BALANCES

7310 Total new obligations 1,250

7320 Total outlays (gross) (-) (4902E) (500)

7400 Change in uncollected customer payments from Federal sources
(unexpired) (200)

7440 Obligated balance, end of year (+) (4251E)(4901E) 550

OUTLAYS (GROSS), DETAIL

8690 Outlays from new discretionary authority (+) (4902E) 500

8700 Total outlays (gross) (+) 500

OFFSETS

8800 Federal sources (-) (4222E-B) (4252E) (150)

8895 Change in uncollected customer payments from Federal sources
(unexpired) (200)

NEW BUDGET AUTHORITY AND OUTLAYS

8900 Budget authority (net) (+) 1,000

9000 Outlays (net) (+) 350

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF NET COST

For the year ended September 30, YEAR 1

(in dollars/thousands/millions)

Program Costs:

1\. Intragovernmental gross costs (6100E) 350

2\. Less: Intragovernmental earned revenue (5200E) [(350)]{.underline}

3\. Intragovernmental net costs (calc) 0

Gross Costs with the Public:

> 4\. Gross costs with the public (6100E+6720E+6790E) 900

5.  Less: Earned revenues from the public

6.  Net costs with the public (calc) [900]{.underline}

7.  Total net cost 900

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```
8.  Cost not assigned to programs

9.  Less: Earned revenues not attributed to programs

10\. Net Cost of Operations 900

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF CHANGES IN NET POSITION

For the year ended September 30, YEAR 1

(in dollars/thousands/millions)

Cumulative Results Unexpended

Of Operations Appropriations

Budgetary Financing Sources:

4\. Appropriations Received (3101E) 1,000

7\. Appropriations Used (5700E) (3107E) 900 (900)

Other Financing Sources:

15\. Other (+/-)

16\. Total Financing Sources (calc) [900]{.underline} [100]{.underline}

17\. Net Cost of Operations (+/-) [(900)]{.underline}

18. Ending Balances 0 100

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF FINANCING

For the year ended September 30, YEAR 1

(in dollars/thousands/millions)

Resources Used to Finance Activities*:*

Budgetary Resources Obligated

1\. Obligations Incurred (4901E-B)+(4902E) 1,250

2\. Less: Spending Authority for Offsetting Collections and Recoveries

> (4251E-B+4252) [350]{.underline}

3\. Obligations Net of Offsetting Collections and Recoveries (CALC 1-2)
900

4\. Less: Offsetting Receipts

5.  Net Obligations (CALC 3-4) [900]{.underline}

11\. Total Resources Used to Finance Activities (CALC 5+10) 900

Resources Used to Finance Items not Part of the Net Cost of Operations

12\. Change in Budgetary Resources Obligated for Goods, Services, and

Benefits Ordered but not yet Provided

17\. Total Resources Used to Finance Items not Part of the Net Cost of

Operations (CALC 12..16) \_\_\_\_

18\. Total Resources Used to Finance the Net Cost of Operations 900

Components of the Net Cost of Operations that will not Require or
Generate Resources in the Current Period*:*

27\. Other (6720E+6790E) 0

29\. Total Components of Net Cost of Operations that will not require or

Generate Resources in the Current Period \_\_\_\_

30\. Net Cost of Operations (CALC 18+29) 900

The appropriation has expired, record closing entries at the end of year
one.

26\. To record the consolidation of actual net-funded resources.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| **Debit 4201** Total Actual Resources -- Collected 1,150      |      |
|                                                               | F204 |
| Credit 4119 Other Appropriations Realized 1,000               |      |
|                                                               |      |
| Credit 4252 Reimburse. & Other Income Earned -- Coll. 150     |      |
|                                                               |      |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

27\. To record the closing of Expended Authority - Paid.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| Debit 4902 Delivered Orders -- Obligations, Paid 500          |      |
|                                                               | F214 |
| **Credit** **4201** Total Actual Resources -- Collected 500   |      |
|                                                               |      |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

28\. To record the closing of revenue, expense, and other financing
source accounts to cumulative results of operations.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| # None                                                        |      |
|                                                               | F228 |
| # Proprietary entry                                           |      |
|                                                               |      |
| ## **Debit 3310** Cumulative Results of Operations 1,350      |      |
|                                                               |      |
| Credit 6100 Operating Expenses/Programs Costs 1,250           |      |
|                                                               |      |
| ##  Credit 6720 Bad Debt Expense 100                          |      |
|                                                               |      |
| ##                                                            |      |
|                                                               |      |
| ## Debit 5200 Revenue from Services Provided 350              |      |
|                                                               |      |
| ## Debit 5700 Expended Appropriations 900                     |      |
|                                                               |      |
| Debit 6790 Other Expenses Not Requiring Budgetary Resources   |      |
| 100                                                           |      |
|                                                               |      |
| **Credit** **3310** Cumulative Results of Operations 1,350    |      |
+---------------------------------------------------------------+------+

29\. To record the closing of unobligated balances to expired authority.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| Debit 4610 Allotments -- Realized Resources 100               |      |
|                                                               | F212 |
| **Credit** **4650** **Allotments -- Expired Authority** 100   |      |
|                                                               |      |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

30\. To record closing of fiscal year activity to unexpended
appropriations.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| # None                                                        |      |
|                                                               | F233 |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| **Debit 3100** Unexpended Appropriations -- Cumulative 900    |      |
|                                                               |      |
| Credit 3107 Unexpended Appropriations -- Used 900             |      |
|                                                               |      |
| Debit 3101 Unexpended Appropriations -- Appropriations        |      |
| Received 1,000                                                |      |
|                                                               |      |
| **Credit 3100** Unexpended Appropriations -- Cumulative 1,000 |      |
+---------------------------------------------------------------+------+

+-----------------------------------------------------+-------+--------+
| ### Post- Closing Trial Balances -- Year End        | ###   | ###    |
|                                                     | Debit | Credit |
+-----------------------------------------------------+-------+--------+
| #### Budgetary                                      | 650   | 100    |
|                                                     |       |        |
| 4201 Total Actual Resources Collected               | 200   | [750]  |
|                                                     |       | {.unde |
| 4251 Reimbursements and Other Income Earned         | \_\   | rline} |
| Receivable                                          | _\_\_ |        |
|                                                     |       | 850    |
| 4650 Allotments -- Expired Authority                | 850   |        |
|                                                     |       | 100    |
| 4901 Delivered Orders-Obligations, Unpaid           | 650   |        |
|                                                     |       | 750    |
| **TOTALS**                                          | 300   |        |
|                                                     |       | [100]  |
| #### Proprietary                                    | \     | {.unde |
|                                                     | _\_\_ | rline} |
| 1010 Fund Balance w/Treasury                        |       |        |
|                                                     | 950   | 950    |
| 1310 Accounts Receivable                            |       |        |
|                                                     |       |        |
| 1319 Allowance for Loss on Accounts Receivable      |       |        |
|                                                     |       |        |
| 2110 Accounts Payable                               |       |        |
|                                                     |       |        |
| 3100 Unexpended Appropriations - Cumulative         |       |        |
|                                                     |       |        |
| **TOTALS**                                          |       |        |
+-----------------------------------------------------+-------+--------+

Department/Agency/Reporting Entity

CONSOLIDATED BALANCE SHEET

As of September 30, YEAR 1

(in dollars/thousands/millions)

Assets

> Intragovernmental:

1.  Fund balance with Treasury (1010E) 650

```{=html}
<!-- -->
```
3.  3\. Accounts receivable (1310E) [200]{.underline}

    6\. Total Intragovernmental 950

15\. Total Assets 850

Liabilities

Intragovernmental

16\. Accounts Payable (2110E) 350

With the Public

20\. Accounts Payable (2110E) [400]{.underline}

27\. Total Liabilities 750

Net Position:

29\. Unexpended appropriations (3100E) 100

30\. Cumulative results of operations (3310E) [0]{.underline}

31\. Total Net Position (calc) [100]{.underline}

32\. Total Liabilities and Net Position 850

[YEAR 2]{.underline} (expired)

31\. To record the collection of refund due for assets purchased and
expenses incurred in a prior year that create budgetary resources when
collected. (non-fed)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary]{.underline}                                       | TC   |
|                                                               |      |
| Debit 4972 Downward Adjustments of Prior Year Paid Expended   | C136 |
|                                                               |      |
| Authority Refunds Collected 100                               | B    |
|                                                               | 134R |
| Credit 4650 Allotments -- Expired Authority 100               |      |
|                                                               |      |
| [Proprietary]{.underline}                                     |      |
|                                                               |      |
| Debit 1010 Fund Balance with Treasury 100                     |      |
|                                                               |      |
| Credit 1310 Accounts Receivable 100                           |      |
|                                                               |      |
| Debit 6790 Other Expenses Not Requiring Budgetary Resources   |      |
| 100                                                           |      |
|                                                               |      |
| Credit 6100 Operating Expenses/Program Costs 100              |      |
|                                                               |      |
| Debit 5700 Expended Appropriations -- Used 100                |      |
|                                                               |      |
| Credit 3107 Unexpended Appropriations -- Used 100             |      |
+---------------------------------------------------------------+------+

**32. To pay \$400 of accounts payable balance. (Direct Appropriation)**

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| ## Debit 4901 Delivered Orders -- Obligations, Unpaid 400     | B110 |
|                                                               |      |
| Credit 4902 Delivered Orders -- Obligations, Paid 400         |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| ## Debit 2110 Accounts Payable 400                            |      |
|                                                               |      |
| Credit 1010 Fund Balance w/Treasury 400                       |      |
+---------------------------------------------------------------+------+

33\. Determined that \$200 in the above transaction was paid in error
and that a refund was due. (Note: this is a non-federal receivable)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | TC   |
|                                                               |      |
| None                                                          | C212 |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 1310 Accounts Receivable 200                            |      |
|                                                               |      |
| Credit 6790 Other Expenses Not Requiring Budgetary            |      |
|                                                               |      |
| Resources 200                                                 |      |
+---------------------------------------------------------------+------+

+-----------------------------------------------------+-------+--------+
| ### Pre-Closing Trial Balances (Year 2)             | ###   | ###    |
|                                                     | Debit | Credit |
+-----------------------------------------------------+-------+--------+
| #### Budgetary                                      | 650   | 200    |
|                                                     |       |        |
| 4201 Total Actual Resources Collected               | 200   | 350    |
|                                                     |       |        |
| 4251 Reimbursements and Other Income Earned -       | [1    | 400    |
| Receivable                                          | 00]{. |        |
|                                                     | under | \_\_\_ |
| 4650 Allotments -- Expired Authority                | line} |        |
|                                                     |       | 950    |
| 4901 Delivered Orders-Obligations, Unpaid           | 950   |        |
|                                                     |       | 100    |
| 4902 Delivered Orders-Obligations, Paid             | 350   |        |
|                                                     |       | 350    |
| 4972 Downward Adj of PY Delivered                   | 400   |        |
| Orders-Obligations, Refunds Collected               |       | 100    |
|                                                     | 100   |        |
| **TOTALS**                                          |       | 100    |
|                                                     | \     |        |
| #### Proprietary                                    | _\_\_ | 100    |
|                                                     |       |        |
| 1010 Fund Balance w/Treasury                        | 850   | [100]  |
|                                                     |       | {.unde |
| 1310 Accounts Receivable                            |       | rline} |
|                                                     |       |        |
| 1319 Allowance for Loss on Accounts Receivable      |       | 850    |
|                                                     |       |        |
| 2110 Accounts Payable                               |       |        |
|                                                     |       |        |
| 3100 Unexpended Appropriations - Cumulative         |       |        |
|                                                     |       |        |
| 3107 Unexpended Appropriations -- Used              |       |        |
|                                                     |       |        |
| 5700 Expended Appropriations                        |       |        |
|                                                     |       |        |
| 6100 Operating Expenses/Program Costs               |       |        |
|                                                     |       |        |
| 6790 Other Expense not Requiring Budgetary          |       |        |
| Resources                                           |       |        |
|                                                     |       |        |
| **TOTALS**                                          |       |        |
+-----------------------------------------------------+-------+--------+

FMS 2108 --Year End Closing Statement

Year 2

Column 5 Unexpended Balance (1010E) 350

[Column 7 Reimbursements Earned and Refunds (4251E) 200]{.underline}

Column 10 Accounts Payable and Other Liabilities (4901E) 350

Column 11 Unobligated Balance (4650E) 200

FACTS II Edit Check: Columns 5+6+7+8=9+10+11

SF-133 REPORT ON BUDGET EXECUTION AND BUDGETARY RESOURCES/

SBR: STATEMENT OF BUDGETARY RESOURCES (YEAR 2)

BUDGETARY RESOURCES

2\. Unobligated balance

A. Beginning of period (4201B+4251B-4901B) 100

3\. Spending authority from offsetting collections

A. Earned

1\. Collected (4972E) [100]{.underline}

7\. Total budgetary resources 200

STATUS OF BUDGETARY RESOURCES

10\. Other (4650E) [200]{.underline}

11\. Total status of budgetary resources 200

RELATIONSHIP OF OBLIGATIONS TO OUTLAYS

12\. Obligated balance, net, beginning of period (4251B-4901B) 550

14\. Obligated balance, net, end of period

A. Accounts receivable (-) (4251E) (200)

D. Accounts payable (4901E) 350

15\. Outlays

A. Disbursements (4902E) 400

B. Collections (4972E) (100)

C. Subtotal 300

16\. Less: offsetting receipts

17\. Net outlays 300

[BUDGET PROGRAM AND FINANCING (P&F) SCHEDULE PRIOR YEAR ACTUAL COLUMN
FOR YEAR 2 REPORTING]{.underline}

CHANGE IN OBLIGATED BALANCES

7240 Obligated balance, start of year (+) (4221B) (4251B) (4901B) 550

7320 Total outlays (gross) (-) (4902E) (400)

7440 Obligated balance, end of year (+) (4251E) (4901E) 150

OUTLAYS (GROSS), DETAIL

8693 Outlays from discretionary balances (+) (4902E) 400

OFFSETS

8800 Offsetting collections from federal sources (-) (4972E) (100)

8896 Portion of offsetting collections (cash) credited to expired
accounts (4972E) 100

NEW BUDGET AUTHORITY AND OUTLAYS

8900 Budget authority (net) (+) 0

9000 Outlays (net) (+) 300

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF NET COST

For the years ended September 30, YEAR 2

(in dollars/thousands/millions)

Program Costs:

> 4\. Gross costs with the public (6100E+6790E) (200)

5.  6\. Net Costs with the Public (calc) ([200)]{.underline}

    7\. Total net cost (200)

10\. Net Cost of Operations (200)

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF CHANGES IN NET POSITION

For the year ended September 30, YEAR 2

(in dollars/thousands/millions)

Cumulative Results Unexpended

Of Operations Appropriations

Budgetary Financing Sources:

3\. Beginning Balances 100

4\. Appropriations Received (3101E) 0

7\. Appropriations Used (5700E) (3107E) (100) 100

Other Financing Sources:

15\. Other (+/-)

16\. Total Financing Sources (calc) ([100)]{.underline}
[100]{.underline}

17\. Net Cost of Operations (+/-) [200]{.underline}

18\. Ending Balances (300) 200

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF FINANCING

For the Years Ended September 30, YEAR 2

(in dollars/thousands/millions)

Resources Used to Finance Activities:

Budgetary Resources Obligated

1\. Obligations Incurred (4901E-B)+(4902E)

2\. Less: Spending Authority for Offsetting Collections

and Recoveries (4972E) [100]{.underline}

3\. Obligations Net of Offsetting Collections and Recoveries (calc 1-2)
(100)

4\. Less: Offsetting Receipts \_\_\_

5\. Net Obligations (calc 3-4) (100)

Other Resources

9.  Net Other Resources Used to Finance Activities \_\_\_

11\. Total Resources Used to Finance Activities (calc) (100)

Resources Used to Finance Items not Part of the Net Cost of Operations

13\. Resources that Fund Expenses Recognized in Prior

Periods (1310E-B) (100)

17\. Total Resources Used to Finance Items not Part of the

Net Cost of Operations (calc) ([100)]{.underline}

18\. Total Resources Used to Finance the Net Cost of

Operations (calc 11-17) (0)

Components of the Net Cost of Operations that will not Require or
Generate Resources in the Current Period*:*

22\. Increase in exchange revenue receivable from the public
[0]{.underline}

24\. Total Components of Net Cost of Operations That Will

Require or Generate Resources in Future Periods (calc) 0

27\. Other (6790E) [(200)]{.underline}

28\. Total Components of Net Cost of Operations That Will

Not require or generate Resources (calc) [(200)]{.underline}

29\. Total Components of Net Cost of Operations That Will

Not Require or Generate Resources in the Current Period
[(200)]{.underline}

30\. Net Cost of Operations (200)

Recorded closing entries at the end of year two.

34\. To record the closing of adjustments to Expended Authority -- Paid.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| Debit 4902 Delivered Orders -- Obligations, Paid 100          |      |
|                                                               | F216 |
| Credit 4972 Downward Adjustments of PY Paid Delivered         |      |
|                                                               |      |
| Orders Obligations, Refunds Collected 100                     |      |
|                                                               |      |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

35\. To record the closing of Expended Authority -- Paid.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| Debit 4902 Delivered Orders -- Obligations, Paid 300          |      |
|                                                               | F214 |
| **Credit 4201** Total Actual Resources -- Collected 300       |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| None                                                          |      |
+---------------------------------------------------------------+------+

36\. To record the closing of revenue, expense, and other financing
sources to cumulative results of operations.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| # None                                                        |      |
|                                                               | F228 |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 6100 Operating Expenses/Programs Costs 100              |      |
|                                                               |      |
| Debit 6790 Other Expenses Not Requiring Budgetary Resources   |      |
| 100                                                           |      |
|                                                               |      |
| **Credit 3310 Cumulative Results of Operations** 200          |      |
|                                                               |      |
| **Debit 3310 Cumulative Results of Operations** 100           |      |
|                                                               |      |
| Credit 5700 Expended Appropriations 100                       |      |
+---------------------------------------------------------------+------+

37\. To record closing of fiscal year activity to cumulative unexpended
appropriations.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| # Budgetary entry                                             | #    |
|                                                               | # TC |
| None                                                          |      |
|                                                               | F233 |
| #                                                             |      |
|                                                               |      |
| # Proprietary entry                                           |      |
|                                                               |      |
| Debit 3107 Unexpended Appropriations -- Used 100              |      |
|                                                               |      |
| **Credit 3100 Unexpended Appropriations -- Cumulative** 100   |      |
+---------------------------------------------------------------+------+

+-----------------------------------------------------+-------+--------+
| ### Post- Closing Trial Balances (Year 2)           | ###   | ###    |
|                                                     | Debit | Credit |
+-----------------------------------------------------+-------+--------+
| #### Budgetary                                      | 350   | 200    |
|                                                     |       |        |
| 4201 Total Actual Resources Collected               | 200   | [350]  |
|                                                     |       | {.unde |
| 4251 Reimbursements and Other Income Earned -       | \_\   | rline} |
| Receivable                                          | _\_\_ |        |
|                                                     |       | 550    |
| 4650 Allotments -- Expired Authority                | 550   |        |
|                                                     |       | 100    |
| 4901 Delivered Orders-Obligations, Unpaid           | 350   |        |
|                                                     |       | 350    |
| **TOTALS**                                          | 400   |        |
|                                                     |       | 200    |
| #### Proprietary                                    | \_\   |        |
|                                                     | _\_\_ | [100]  |
| 1010 Fund Balance w/Treasury                        |       | {.unde |
|                                                     | 750   | rline} |
| 1310 Accounts Receivable                            |       |        |
|                                                     |       | 750    |
| 1319 Allowance for Loss on Accounts Receivable      |       |        |
|                                                     |       |        |
| 2110 Accounts Payable                               |       |        |
|                                                     |       |        |
| 3100 Unexpended Appropriations - Cumulative         |       |        |
|                                                     |       |        |
| 3310 Cumulative Results of Operations               |       |        |
|                                                     |       |        |
| **\` TOTALS**                                       |       |        |
+-----------------------------------------------------+-------+--------+

Department/Agency/Reporting Entity

CONSOLIDATED BALANCE SHEET

As of September 30, YEAR 2

(in dollars/thousands/millions)

Assets

> Intragovernmental:
>
> 1\. Fund Balance with Treasury (1010E) 350
>
> 3\. Accounts Receivable (1310E) (Fed) [200]{.underline}

7.  6\. Total Intragovernmental calc [550]{.underline}

    9\. Accounts receivable, net (1310E) (1319E)(Nonfed) 100

15\. Total Assets calc 650

Liabilities with the Public

20\. Accounts Payable (2110E) [350]{.underline}

27\. Total Liabilities calc 350

Net position

29\. Unexpended appropriations 200

30\. Cumulative results of operations (3310E) [100]{.underline}

31\. Total net position calc (29+30) [300]{.underline}

32\. Total Liabilities and Net Position calc (27+31) 650

[YEAR 6]{.underline} (Canceling Year)

Assuming that no further transactions took place in years 3-5, the
following entries would be made to cancel the accounts. Note that the
entries for recording a canceled receivable or payable are considered
adjusting entries.

38\. To cancel receivable for reimbursable activity.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | **   |
|                                                               | TC** |
| Debit 4650 Allotments -- Expired Authority 200                |      |
|                                                               | F144 |
| Credit 4251 Reimbursements and Other Income Earned-Receivable |      |
| 200                                                           |      |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 5200 Revenue from Services Provided (exchange, federal) |      |
| 200                                                           |      |
|                                                               |      |
| Credit 1310 Accounts Receivable (entity, federal) 200         |      |
+---------------------------------------------------------------+------+

Canceled receivables are re-established in the Treasury General Fund
miscellaneous receipt account 3200 - Collections of Receivables from
Canceled Accounts. Amounts collected from these receivables are
deposited to Treasury using the same account. The purpose of this
illustration is not to address timing issues, however, agencies must
conform with provisions for receivables as set forth in the Debt
Collection Act of 1996. Further information on the Debt Collection Act
may be found on the Financial Management Service web site at
[**www.fms.treas.gov/debt**](http://www.fms.treas.gov/debt).

39\. To reclassify receivable as non-entity and recognize liability.
(non-entity asset)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | TC   |
|                                                               |      |
| None                                                          | C202 |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 1310 Accounts Receivable (non-entity, federal) 200      |      |
|                                                               |      |
| Credit 5900 Other Revenue 200                                 |      |
|                                                               |      |
| Debit 5991 Accrued Collections for Others 200                 |      |
|                                                               |      |
| Credit 2980 Custodial Liability 200                           |      |
+---------------------------------------------------------------+------+

40\. To record canceled receivable. (non-federal) (reverse original
transaction)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| Debit 6790 Other Expenses not Requiring Budgetary Resources   | TC   |
| 200                                                           |      |
|                                                               | C    |
| Credit 1310 Accounts Receivable (non-fed) 200                 | 212R |
+---------------------------------------------------------------+------+

**and**

41\. To reclassify receivable as non-entity and recognize liability.
(non-entity asset)

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | TC   |
|                                                               |      |
| None                                                          | C202 |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 1310 Accounts Receivable (non-entity, non-fed) 200      |      |
|                                                               |      |
| Credit 5900 Other Revenue 200                                 |      |
|                                                               |      |
| Debit 5991 Accrued Collections for Others 200                 |      |
|                                                               |      |
| Credit 2980 Custodial Liability 200                           |      |
+---------------------------------------------------------------+------+

**Canceled payables** must be paid from funds of subsequent
appropriations available for the same general purpose as the one from
which the payables were canceled. These payments are subject to the 1
percent limitation rule (the sum of all items paid from a current
appropriation for all past canceled appropriations may not exceed 1
percent of the current appropriation). Further guidance is provided in
OMB Circular No. A-11, Section 130.10 for canceled obligations and
payables. Also see the Financial Management Service web site at
[www.fms.treas.gov/ussgl](http://www.fms.treas.gov/ussgl) for a scenario
on canceled payables.

42\. To record canceled payable.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | TC   |
|                                                               |      |
| Debit 4971 Downward Adjust of P/Y Unpaid Delivered            | F    |
|                                                               | 128, |
| Orders -- Obligations, Recoveries 350                         |      |
|                                                               | B    |
| Credit 4650 Allotments -- Expired Authority 350               | 134R |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 2110 Accounts Payable 350                               |      |
|                                                               |      |
| Credit 6100 Operating Expenses/Program Costs 350              |      |
|                                                               |      |
| and                                                           |      |
|                                                               |      |
| Debit 5700 Expended Appropriations 350                        |      |
|                                                               |      |
| Credit 3107 Unexpended Appropriations -- Used 350             |      |
+---------------------------------------------------------------+------+

43\. To re-establish payable in canceled account.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary entry]{.underline}                                 | TC   |
|                                                               |      |
| None                                                          | F130 |
|                                                               |      |
| [Proprietary entry]{.underline}                               |      |
|                                                               |      |
| Debit 6800 Future Funded Expenses 350                         |      |
|                                                               |      |
| Credit 2960 Accounts Payable From Canceled                    |      |
|                                                               |      |
| Appropriations 350                                            |      |
+---------------------------------------------------------------+------+

44\. To record cancellation of expired authority and withdraw funds via
FMS 2108: Year End Closing Statement.

+---------------------------------------------------------------+------+
|                                                               |      |
+---------------------------------------------------------------+------+
| [Budgetary]{.underline}                                       | TC   |
|                                                               |      |
| Debit 4650 Allotments -- Expired Authority 350                | F120 |
|                                                               |      |
| Credit 4350 Canceled Authority 350                            |      |
|                                                               |      |
| [Proprietary]{.underline}                                     |      |
|                                                               |      |
| Debit 3106 Unexpended Appropriations -- Adjustments 350       |      |
|                                                               |      |
| Credit 1010 Fund Balance with Treasury 350                    |      |
+---------------------------------------------------------------+------+

+-----------------------------------------------------+-------+--------+
| ### Pre-Closing Trial Balance (Cancel Year 6)       | ###   | ###    |
|                                                     | Debit | Credit |
+-----------------------------------------------------+-------+--------+
| #### Budgetary                                      | 350   | 350    |
|                                                     |       |        |
| 4201 Total Actual Resources Collected               | [3    | 350    |
|                                                     | 50]{. |        |
| 4350 Canceled Authority                             | under | \_\_\_ |
|                                                     | line} |        |
| 4901 Delivered Orders-Obligations, Unpaid           |       | 700    |
|                                                     | 700   |        |
| 4971 Downward Adj of PY Unpaid Delivered            |       | 100    |
| Orders-Obligations, Recoveries                      | 400   |        |
|                                                     |       | 350    |
| **TOTALS**                                          | 350   |        |
|                                                     |       | 400    |
| #### Proprietary                                    | 200   |        |
|                                                     |       | 200    |
| 1310 Accounts Receivable                            | 350   |        |
|                                                     |       | 350    |
| 1319 Allowance for Loss on Accounts Receivable      | 400   |        |
|                                                     |       | 100    |
| 2960 Accounts Payable from Canceled Appropriations  | 200   |        |
|                                                     |       | 400    |
| 2980 Custodial Liability                            | [350  |        |
|                                                     | \_]{. | 350    |
| 3100 Unexpended Appropriations -- Cumulative        | under |        |
|                                                     | line} | [\_\   |
| 3106 Unexpended Appropriations -- Adjustments       |       | _\_\_] |
|                                                     | 2,250 | {.unde |
| 3107 Unexpended Appropriations -- Used              |       | rline} |
|                                                     |       |        |
| 3310 Cumulative Results of Operations               |       | 2,250  |
|                                                     |       |        |
| 5200 Revenue from Services Provided                 |       |        |
|                                                     |       |        |
| 5700 Expended Appropriations                        |       |        |
|                                                     |       |        |
| 5900 Other Revenue                                  |       |        |
|                                                     |       |        |
| 5991 Accrued Collections for Others                 |       |        |
|                                                     |       |        |
| 6100 Operating Expenses/Program Costs               |       |        |
|                                                     |       |        |
| 6790 Other Expenses not Requiring Budgetary         |       |        |
| Resources                                           |       |        |
|                                                     |       |        |
| 6800 Future Funded Expenses                         |       |        |
|                                                     |       |        |
| **TOTALS**                                          |       |        |
+-----------------------------------------------------+-------+--------+

FMS 2108 --Year End Closing Statement

Year 6

Column 2 Treasury supplied 350

Column 4 Unobligated & Obligated Balance Withdrawn/Canceled (4350E) 350

SF-133 REPORT ON BUDGET EXECUTION AND BUDGETARY RESOURCES/

SBR: STATEMENT OF BUDGETARY RESOURCES (YEAR 6)

BUDGETARY RESOURCES

2\. Unobligated balance

A. Beginning of period (4201B+4251B-4901B) 100

3\. Spending authority from offsetting collections

A. Earned -- Receivable from federal sources

2\. Receivable from Federal Sources (4251E-B) (200)

B. Change in unfilled customer orders

1\. Advance received

2\. Without advance from federal sources

E. Subtotal (200)

4\. Recoveries of prior year obligations

A. Actual (4971E) 450

6\. Permanently not available

A. Cancellations of expired and no-year accounts (4350E) (350)

7\. Total budgetary resources 0

STATUS OF BUDGETARY RESOURCES

8.  Obligations incurred (4901E-B) (4902E)

10\. Unobligated balance not available

D. Other (4650E)

11\. Total status of budgetary resources 0

RELATIONSHIP OF OBLIGATIONS TO OUTLAYS

12\. Obligated balance, net, beginning of period (4251B-4901B) 250

14\. Obligated balance, net, end of period

D. Accounts payable (4901E+4971E)

15\. Outlays

B. Collections 0

16\. Less: offsetting receipts

17\. Net outlays **0**

[BUDGET PROGRAM AND FINANCING (P&F) SCHEDULE PRIOR YEAR ACTUAL COLUMN
FOR YEAR 6 REPORTING]{.underline}

CHANGE IN OBLIGATED BALANCES

7240 Obligated balance, start of year (+) (4251B+4901B) 250

7340 Adjustments in expired accounts (net) (4901E-B-4971E) (450)

7410 Change in uncollected customer payments for Federal sources
(expired) 200

NET BUDGETARY AUTHORITY AND OUTLAYS

8900 Budget authority (net) (+) 0

9000 Outlays (net) (+) 0

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF NET COST

For the year ended September 30, YEAR 6

(in dollars/thousands/millions)

Program Costs:

4\. Gross costs with the public (6100E) (6790E) (6800E) 200

> 5\. Less: Earned revenues (5200E) (5900E) ([200)]{.underline}

10. 6\. Net Costs with the Public (calc) [0]{.underline}

7\. Total net cost 0

10\. Net Cost of Operations 0

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF CHANGES IN NET POSITION

For the year ended September 30, YEAR 6

(in dollars/thousands/millions)

Cumulative Results Unexpended

Of Operations Appropriations

3\. Beginning Balances (3310B) (3100B) 100 200

Budgetary Financing Sources:

4\. Appropriations received (3101E)

6\. Other adjustments (3106E) (350)

7\. Appropriations used (5700E) (3107E) (350) 350

Other Financing Sources:

15\. Other (+/-) (5900E) ([400)]{.underline} \_\_\_\_

16\. Total Financing Sources (calc) (750) (0)

17\. Net Cost of Operations (+/-) [(0)]{.underline}

18\. Ending Balances (650) 200

Department/Agency/Reporting Entity

CONSOLIDATED STATEMENT OF FINANCING

For the year ended September 30, YEAR 6

(in dollars/thousands/millions)

Year 6

Resources Used to Finance Activities:

Budgetary Resources Obligated

1\. Obligations Incurred (4901E-B)+(4902E)

2\. Less: Spending Authority for Offsetting Collections

and Recoveries (4251E-B) (4971E) [150]{.underline}

3\. Obligations Net of Offsetting Collections and Recoveries (calc)
[150]{.underline}

5\. Net Obligations (150)

Other Resources

9\. Other Resources (+/-) (5900E) [400]{.underline}

11\. Total Resources Used to Finance Activities (calc) 250

Resources Used to Finance Items not Part of the Net Cost of Operations

13\. Resources that Fund Expenses Recognized in Prior Periods (1310E-B)
200

14b. Other 400

15\. Resources that Finance the Acquisition of Assets or Liquidation of

Liabilities

17\. Total Resources Used to Finance Items not Part of the Net Cost of

Operations (calc) [400]{.underline}

18\. Total Resources Used to Finance the Net Cost of Operations (350)

Components of the Net Cost of Operations that will not Require or
Generate Resources in the Current Period:

23\. Other (6800E) ([350)]{.underline}

24\. Total Components of Net Cost of Operations That Will Require or

Generate Resources in Future Periods (calc) (350)

27\. Other (6790E) [0]{.underline}

28\. Total Components of Net Cost of Operations That Will Not Require or

Generate Resources [0]{.underline}

29\. Total Components of Net Cost of Operations That Will Not Require or

Generate Resources in the Current Period ([350)]{.underline}

30\. Net Cost of Operations 0

45\. To close revenue, expense, and other financing sources to
cumulative results.

+--------------------------------------------------------------+-------+
|                                                              |       |
+--------------------------------------------------------------+-------+
| [Budgetary entry]{.underline}                                | TC    |
|                                                              |       |
| None                                                         | F228  |
|                                                              |       |
| [Proprietary entry]{.underline}                              |       |
|                                                              |       |
| Debit 3310 Cumulative Results of Operations 1500             |       |
|                                                              |       |
| Debit 5900 Other Revenue 400                                 |       |
|                                                              |       |
| Debit 6100 Operating Expense/Program Costs 350               |       |
|                                                              |       |
| Credit 5200 Revenue from Services Provided 200               |       |
|                                                              |       |
| Credit 5700 Expended Appropriations 350                      |       |
|                                                              |       |
| Credit 5991 Accrued Collections for Others 400               |       |
|                                                              |       |
| Credit 6790 Other Expenses not Requiring Budgetary Resources |       |
| 200                                                          |       |
|                                                              |       |
| Credit 6800 Future Funded Expenses 350                       |       |
|                                                              |       |
| Credit 3310 Cumulative Results of Operations 750             |       |
+--------------------------------------------------------------+-------+

46\. To record the closing of related adjustments to Expended Authority
-- Unpaid.

+--------------------------------------------------------------+-------+
|                                                              |       |
+--------------------------------------------------------------+-------+
| [Budgetary entry]{.underline}                                | TC    |
|                                                              |       |
| Debit 4901 Delivered Orders -- Obligations, Unpaid 450       | F220  |
|                                                              |       |
| Credit 4971 Downward Adjust. of P/Y Unpaid Delivered Orders  |       |
| --                                                           |       |
|                                                              |       |
| Obligations, Recoveries 450                                  |       |
|                                                              |       |
| [Proprietary entry]{.underline}                              |       |
|                                                              |       |
| None                                                         |       |
+--------------------------------------------------------------+-------+

47\. To record closing of fiscal year activity that increases unexpended
appropriations.

+--------------------------------------------------------------+-------+
|                                                              |       |
+--------------------------------------------------------------+-------+
| [Budgetary entry]{.underline}                                | TC    |
|                                                              |       |
| None                                                         | F233  |
|                                                              |       |
| [Proprietary entry]{.underline}                              |       |
|                                                              |       |
| Debit 3100 Unexpended Appropriations -- Cumulative 350       |       |
|                                                              |       |
| Credit 3106 Expended Appropriations -- Adjustments 350       |       |
|                                                              |       |
| Debit 3107 Unexpended Appropriations -- Used 350             |       |
|                                                              |       |
| Credit 3100 Unexpended Appropriations -- Cumulative 350      |       |
+--------------------------------------------------------------+-------+

+-----------------------------------------------------+-------+--------+
| ### Post-Closing Trial Balances (Cancel Year 6)     | ###   | ###    |
|                                                     | Debit | Credit |
+-----------------------------------------------------+-------+--------+
| ####                                                | 350   | 350    |
|                                                     |       |        |
| #### Budgetary                                      | 400   | 100    |
|                                                     |       |        |
| 4201 Total Actual Resources Collected               | [6    | 350    |
|                                                     | 50]{. |        |
| 4350 Canceled Authority                             | under | 400    |
|                                                     | line} |        |
| ###### Proprietary                                  |       | 200    |
|                                                     | 1050  |        |
| 1310 Accounts Receivable                            |       | \_\_\_ |
|                                                     |       |        |
| 1319 Allowance for Loss on Accounts Receivable      |       | 1050   |
|                                                     |       |        |
| 2960 Accounts Payable from Canceled Appropriations  |       |        |
|                                                     |       |        |
| 2980 Custodial Liability                            |       |        |
|                                                     |       |        |
| 3100 Unexpended Appropriations - Cumulative         |       |        |
|                                                     |       |        |
| 3310 Cumulative Results of Operations               |       |        |
|                                                     |       |        |
| TOTALS                                              |       |        |
+-----------------------------------------------------+-------+--------+

Department/Agency/Reporting Entity

CONSOLIDATED BALANCE SHEET

As of September 30, YEAR 6

(in dollars/thousands/millions)

Assets

> Intragovernmental:
>
> 3\. Accounts receivable (1310E)(non-entity) [200]{.underline}

11. 6\. Total intragovernmental 200

Assets with the Public:

> 9\. Accounts receivable (1310E) (1319E)(non-entity) [100]{.underline}

15\. Total assets 300

Liabilities

26\. Other liabilities with the public (2960E, 2980E) [750]{.underline}

27\. Total liabilities 750

Net Position

29\. Unexpended Appropriations - Cumulative (3100E) 200

30\. Cumulative results of operations (3310E) [(650)]{.underline}

31\. Total net position [(450)]{.underline}

32\. Total liabilities and net position 300

[YEAR 7]{.underline} (TAFS canceled in previous year)

The following transactions illustrate the collection of canceled
receivables and subsequent transfer of cash to Treasury miscellaneous
receipt account 3200.

48\. To record collection of canceled receivables.

+-------------------------------------------------------------+--------+
|                                                             |        |
+-------------------------------------------------------------+--------+
| [Budgetary]{.underline}                                     | TC     |
|                                                             |        |
| None                                                        | C1     |
|                                                             | 43[^6] |
| [Proprietary]{.underline}                                   |        |
|                                                             |        |
| Debit 1010 Fund Balance with Treasury 400                   |        |
|                                                             |        |
| Credit 1310 Accounts Receivable (non-entity) 400            |        |
|                                                             |        |
| and                                                         |        |
|                                                             |        |
| Debit 5990 Collections for Others 400                       |        |
|                                                             |        |
| Credit 5991 Accrued Collections for Others 400              |        |
+-------------------------------------------------------------+--------+

49\. To record transfer of cash to Treasury miscellaneous receipt
account 3200.

+-------------------------------------------------------------+--------+
|                                                             |        |
+-------------------------------------------------------------+--------+
| [Budgetary]{.underline}                                     | TC     |
|                                                             |        |
| None                                                        | B110   |
|                                                             |        |
| [Proprietary]{.underline}                                   |        |
|                                                             |        |
| Debit 2980 Custodial Liability 400                          |        |
|                                                             |        |
| Credit 1010 Fund Balance with Treasury 400                  |        |
+-------------------------------------------------------------+--------+

[^1]: United States Code Title 31\>Subtitle II\>Chapter 15\>Subchapter
    IV\>Sections 1551-1557

[^2]: OMB Circular No. A-11, Section 20.4

[^3]: Reverse original entry (R = Reverse)

[^4]: The USSGL does not endorse recording a budgetary resource for
    federal refunds receivable.

[^5]: Determined that receivables would not be totally collected and
    more than a 50% chance of loss existed.

[^6]: There is no budgetary authority involved after receivables are
    canceled; only proprietary accounts are recorded.