A governmental entity issues 3,000,000 of general obligation bonds at a 1 premium to finance the construction of a new public safety center. The entry to record the bond issuance in the Debt Service Fund would be
dr cr
a. Cash 3,000,000 Other Financing Sources Bonds 3,000,000
b. Cash 3,030,000 Other Financing Sources Bonds 3,000,000 Other Financing Sources Premium 30,000
c. Cash 3,000,000 Expenditures 30,000 Other Financing Sources Bonds 3,000,000
Other Financing Sources Premium 30,000
d. Cash 3,030,000
Bonds Payable 3,030,000
e. None of the above.
Question 2
Operating Expenses consist of
a. Interest Expense and General Expenses.
b. Selling Expenses and Cost of Goods Sold.
c. Interest Expense and Selling Expenses.
d. General Expenses and Selling Expenses.
e. Interest Expense and Cost of Goods Sold.
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