A Government Retired $5,000,000 of Outstanding General Obligation Bonds When

question 19

Multiple Choice

A government retired $5,000,000 of outstanding general obligation bonds when due. The government used $3,000,000 of proceeds from new bonds issued to provide resources for retiring the old bonds. The other $2,000,000 had been accumulated from tax and interest revenues over the years that the old bonds were outstanding. The government should report this transaction in its Debt Service Fund as

• A) Other financing uses of $5,000,000.
• B) Expenditures of $5,000,000.
• C) Other financing uses of $3,000,000 and expenditures of $2,000,000.
• D) Other financing uses of $2,000,000 and expenditures of $3,000,000.

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Definitions:

Primary Control

The ability to directly influence one's environment or circumstances to bring about desired outcomes.

Job Stress

The harmful physical and emotional responses that occur when the requirements of a job do not match the capabilities, resources, or needs of the worker.

Corporate Managers

Individuals in charge of directing and overseeing the operations and strategies of corporations.

Poverty

A condition where individuals or communities lack the financial resources to meet basic needs such as food, shelter, and healthcare.