Author Question: The City of Bamberg, which has a fiscal year end of December 31, issued a nine month 1,000,000 bond ... (Read 66 times)

joe · **on:** Jul 5, 2018

The City of Bamberg, which has a fiscal year end of December 31, issued a nine month 1,000,000 bond anticipation note on July 1 . The city is planning to renew or re-issue the bond anticipation notes for another six month period when they mature.

What would the Capital Projects Fund liability for the note be on December 31?
A. 0.
B. 500,000.
C. 1,000,000.
D. 2,000,000.

Question 2

Which of the following transactions would notbe reported as an expenditure in a Capital Projects Fund?

A. Payment of construction costs.
B. Bond issue costs.
C. Bond discounts.
D. Insurance on short-term debt issued to finance capital project.