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<br />-27- <br />NOTE 3 – CAPITAL ASSETS <br /> <br />Capital asset activity for the year ended December 31, 2023 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 – 31,280 – – 31,280 <br />Total capital assets, not depreciated 2,500 31,280 – – 33,780 <br />Capital assets, depreciated <br />Buildings 907,712 – – – 907,712 <br />Office equipment 19,203 – – – 19,203 <br />Infrastructure 1,800,631 116,223 – – 1,916,854 <br />Total capital assets, depreciated 2,727,546 116,223 – – 2,843,769 <br />Less accumulated depreciation for <br />Buildings (334,833) (27,336) – – (362,169) <br />Office equipment (16,426) (1,359) – – (17,785) <br />Infrastructure (813,641) (82,033) – – (895,674) <br />Total accumulated depreciation (1,164,900) (110,728) – – (1,275,628) <br />Net capital assets, depreciated 1,562,646 5,495 – – 1,568,141 <br />Net capital assets 1,565,146$ 36,775$ –$ –$ 1,601,921$ <br /> <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 (315,204) (38,866) – – (354,070) <br />Net capital assets 1,232,736$ (38,866)$ –$ –$ 1,193,870$ <br /> <br />C. Depreciation Expense by Function <br /> <br />Depreciation expense was charged to the following functions: <br /> <br />Governmental activities <br />General government 28,695$ <br />Public works 81,283 <br />Conservation and development 750 <br />Total depreciation expense – governmental activities 110,728$ <br /> <br />Business-type activities <br />Water 21,547$ <br />Sewer 17,319 <br />Total depreciation expense – business-type activities 38,866$