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<br />-27- <br />NOTE 3 – CAPITAL ASSETS <br /> <br />Capital asset activity for the year ended December 31, 2021 was as follows: <br /> <br />A. Changes in Capital Assets Used in Governmental Activities <br /> <br />Balance –Transfers and <br />Beginning Completed Balance – <br />of Year Additions Deletions Construction End of Year <br />Capital assets, not depreciated <br />Land 2,500$ –$ –$ –$ 2,500$ <br />Construction in progress 8,853 218,424 – – 227,277 <br />Total capital assets, not depreciated 11,353 218,424 – – 229,777 <br />Capital assets, depreciated <br />Buildings 902,232 5,480 – – 907,712 <br />Office equipment 17,900 778 – – 18,678 <br />Infrastructure 1,563,728 – – – 1,563,728 <br />Total capital assets, depreciated 2,483,860 6,258 – – 2,490,118 <br />Less accumulated depreciation for <br />Buildings (289,565) (22,634) – – (312,199) <br />Office equipment (14,004) (1,150) – – (15,154) <br />Infrastructure (670,632) (67,377) – – (738,009) <br />Total accumulated depreciation (974,201) (91,161) – – (1,065,362) <br />Net capital assets, depreciated 1,509,659 (84,903) – – 1,424,756 <br />Net capital assets 1,521,012$ 133,521$ –$ –$ 1,654,533$ <br /> B. Changes in Capital Assets Used in Business-Type Activities <br /> <br />Balance –Transfers and <br />Beginning Completed Balance – <br />of Year Additions Deletions Construction End of Year <br />Capital assets, depreciated <br />Infrastructure 1,547,940$ –$ –$ –$ 1,547,940$ <br />Less accumulated depreciation for <br />Infrastructure (256,134) (29,535) – – (285,669) <br />Net capital assets 1,291,806$ (29,535)$ –$ –$ 1,262,271$ <br /> <br />C. Depreciation Expense by Function <br /> <br />Depreciation expense was charged to the following functions: <br /> <br />Governmental activities <br />General government 23,784$ <br />Public works 66,627 <br />Conservation and development 750 <br />Total depreciation expense – governmental activities 91,161$ <br /> <br />Business-type activities <br />Water 13,469$ <br />Sewer 16,066 <br />Total depreciation expense – business-type activities 29,535$