The one-worksheet conversion adjustment to reflect debt service payments of 85,000 (55,000 principal; 30,000 interest) by a governmental fund would be
Debit Credit
A. Debt Service Expense
Net Position 85,000
85,000
B. Bonds Payable
Cash 55,000
55,000
C. Bonds Payable
Debt Service Expenditures Principal 55,000
55,000
D. Bonds Payable
Debt Service Expenditures Principal 85,000
85,000
Question 2
The statement of owner's equity should be prepared
a. before the income statement and after the balance sheet
b. before the income statement and balance sheet
c. after the income statement and balance sheet
d. after the income statement and before the balance sheet
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