Author Question: The conversion worksheet adjustment to reflect debt service payments of 85,000 (55,000 principal; ... (Read 61 times)

Themember4 · **on:** Jul 5, 2018

The conversion worksheet adjustment to reflect debt service payments of 85,000 (55,000 principal; 30,000 interest) by a governmental fund would be

dr cr

a. Debt Service Expense 85,000Cash 85,000
b. Bonds Payable 55,000Cash 55,000
c. Bonds Payable 55,000Debt Service Expenditures Principal 55,000
d. Bonds Payable 85,000
Debt Service Expenditures Principal 85,000
e. Debt Service Expense 55,000
Net Assets 55,000

Question 2

A financial statement user would determine if a company was profitable or not during a specific period of time byreviewing the
a. income statement
b. balance sheet
c. statement of cash flows
d. statement of retained earnings