Use the Following Information to Answer Questions

question 46

Multiple Choice

Use the following information to answer questions
Calhoun County makes annual transfers from the general fund to the debt service fund to pay principal and interest on long-term debt.
-When the County makes the transfer the entry in the debt service fund should be

• A)Debit Cash; Credit Revenue.
• B)Debit Cash; Credit Other financing sources-transfer.
• C)Debit Cash; Credit Interest payable.
• D)Debit Cash with fiscal agent; Credit Other financing sources-transfer.

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Definitions:

Physical Count

The process of manually counting and verifying the quantities of inventory on hand at a specific point in time.

Inventory Records

Documentation that tracks the quantities, locations, and statuses of products a company has in stock.

Current Costs

The costs or expenses associated with the acquisition, production, or maintenance of assets and services at present market prices.

Freight Charges

Fees associated with the transportation of goods over distance, typically paid by the shipper or receiver.