the appropriation to the state library system (fiscal year starts july 1) for fiscal 2018 was $15,000,000. on december 31, 2017, its budget reports showed expenditures of $7,500,000 and encumbrances outstanding of $500,000. quarterly allotments were as follows: q1—$3,750,000; q2—$4,500,000; q3—$3,750,000; and q4—$3,000,000. what was the status of system operations at that point?