1. What is an enterprise fund and what are its characteristics? The characteristic of enterprise funds is that they are drawn according to a certain proportion of total wages. Its advantage is that it is convenient for leading organs to control the total amount of funds by industry and unit, so as not to form a disparity in funds between enterprises because of different construction objects and good or bad equipment. The disadvantage is that the total wages of enterprise employees are used as the basis for calculating enterprise funds. The more employees there are, the more funds will be returned, which is not conducive to the improvement of labor productivity. 2. The new and expanded activities of enterprise funds are recorded as enterprise funds, or the activities of expanding existing enterprise funds are usually recorded as follows: 1. Transfer from the general fund. Funds transferred from the general fund are recorded as inter-fund transfers. The accounting entry of enterprise funds is to debit cash and credit it to the account. 2. General fund loans. When the general fund loans, the general fund debits the accounts receivable of the enterprise and credits the cash. The enterprise fund debits cash and credits it to the general fund payable (liability account). If the loan has interest, the enterprise fund will generate interest expenses, and the general fund will receive interest income. 3. Issue income bonds. Income bonds are issued by enterprise funds, and the interest and principal of bonds can only be paid by the income from business activities recorded in enterprise funds. (If the issuance of a bond is secured by the fixed assets of an enterprise fund, the bond is called a mortgage income bond. ) Income bonds can only be credited to enterprise funds. Since bond trust deed usually requires the bond proceeds to be used for specific capital projects, it usually deposits the bond proceeds into a separate checking account, such as a construction fund account. Using a separate account is beneficial to accounting control to ensure that funds are used for designated projects. When a separate account is established, the credit corresponding to the accounting entry is the income payable bond. 4. Issue general liability bonds. General liability bonds are issued by government departments and have government credibility and guarantee. Bond proceeds are transferred to enterprise funds, and the funds are used in accordance with the provisions of bond trust deed. According to the source of funds used to repay the principal and interest, general liability bonds are divided into the following two categories: a. General liability bonds paid by the enterprise fund recipients. When government departments want to use the income of enterprise funds to pay the principal and interest, GASB coding rules suggest that debt should be regarded as a liability of enterprise funds. B. general liability bonds paid by taxes and general revenue. When government departments pay the principal and interest with taxes and general income, the liabilities arising from bonds are recorded as liabilities in GCA-GLTL general ledger. Enterprise funds will transfer the received funds between funds, and accounting entries will be recorded in the transfer account. In this way, enterprise funds do not reflect this debt. Enterprise fund is a kind of fund initiated by state-owned enterprises in China for their own enterprise development and enterprise distribution in the course of operation. When the benefits of such enterprises increase, the dividends of such funds will be distributed accordingly. It has related benefits to the investors of related enterprise funds and related enterprises, and has maintained the development of Chinese enterprises.