In the Capital Projects Fund

question 8

Multiple Choice

In the capital projects fund

• A) Debit Due from general fund $100,000; Credit Revenues $100,000.
• B) Debit Due from general fund $100,000; Credit Other financing sources-nonreciprocal transfer-in $100,000; no other entries required.
• C) Debit Other financing uses-nonreciprocal transfer-out $100,000; Credit Cash $100,000.
• D) No entry in the capital projects fund.

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Definitions:

Escrow Account

A financial account held by a third party on behalf of the two main parties in a transaction, often used to safely hold funds until the completion of contractual obligations.

Charitable Contribution

Financial or material donations made to qualified organizations, which may be deductible from taxable income if itemizing deductions.

Adjusted Gross Income

An individual's total gross income minus specific deductions, used as the basis for calculating taxable income on federal tax returns.

Casualty Loss Deduction

A tax deduction for property losses as a result of a sudden, unexpected, or unusual event.