Author Question: A government issued bond anticipation notes to provide initial financing for a general government ... (Read 106 times)

haleyc112 · **on:** Jul 5, 2018

A government issued bond anticipation notes to provide initial financing for a general government capital project. The bond anticipation note

A. Proceeds are always reported as an other financing source in the Capital Projects Fund.
B. Payable should be reported as a liability of the Capital Projects Fund except when the original term of the notes exceeds one year.
C. Payable is usually repaid by the Capital Projects Fund.
D. Interest on the bond anticipation note should be capitalized as part of the cost of the capital asset.

Question 2

Accounts are records of increases and decreases in individual financial statement items.
a. True
b. False

Indicate whether the statement is true or false