A County Accounts for Its Debt Service Payments in the General

question 6

Multiple Choice

A county accounts for its debt service payments in the General Fund. The amount of unmatured, unpaid interest on general long-term liabilities at the beginning of the year was $122,000. The ending balance was $165,000. The General Fund also made principal payments of $600,000 and interest payments of $150,000 during the year. The General Fund should report expenditures for debt service for the year of

• A) $150,000.
• B) $722,000.
• C) $750,000.
• D) $793,000.

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Definitions:

Franchise Agreement

A contract whereby a company (the franchisor) grants permission (a license) to another entity (the franchisee) to use the franchisor’s name, trademark, or copyright in the operation of a business and associated sale of goods in return for payment.

Termination

The action of bringing something to an end, such as a contract, employment, or an agreement.

Franchise Agreement

A Franchise Agreement is a legal contract between a franchisor and franchisee, detailing the rights and obligations of each party in the franchise relationship.

UCC and Contract Law

Reference to the Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States, and the broader area of law dealing with agreements between parties.