Montana Lottery Financial Statements (Unaudited) June 30, 1987

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Receivables. Receivables represent amounts owing the Lottery for purchased tickets. An allowance for doubtful accounts has not been established because no uncollectible accounts existed at the end of the financial reporting periods .
Equipment and Other Fixed Assets. Equipment and other fixed assets are recorded at cost. Depreciation is calculated using the straight-line method over estimated lives of four to ten years.
Inventories. Inventories consist of lottery tickets stored in the warehouse
... and with the field representatives. These ticket inventories are recorded at cost and maintained on a perpetual inventory system. Tickets are charged to cost of tickets sold when sold. Upon disposal, unsold tickets are charged to cost of tickets sold.
i) 2. APPROPRIATIONS AND REVENUE ESTIMATES The fiscal year 1987-1988 and 1986-1987 appropriations revenue estimates are detailed as follows: and 1987-1988 1986-1987 Revenue estimates Ticket sales Licenses $25,000,000 60,000 $4,500,000 40,000 Appropriations Operations Audit Start-up Commissions Prizes Transfers 1 11 8 677 74, 370 254 633 244 256 500 500 500 718,892 500 263 133 000 229 575 ^j 3.


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