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Use the Following to Answer the Next Five Questions

question 34

Multiple Choice

Use the following to answer the next five questions:
On October 1, 2013, the City of Mizner issued $3,500,000 in 4%, general obligation bonds at 101 for the purpose of constructing an addition to City Hall. The premium was transferred to a debt service fund. A total of $3,475,000 was used to construct the addition, which was completed prior to June 30, 2014. The remaining funds were transferred to the debt service fund. The bonds were dated October 1, 2013, and paid interest on April 1 and October 1. The first of 20 annual principal payments of $175,000 is due October 1, 2014. The fiscal year for Mizner is July 1- June 30.
-What amount would be reported as debt service expenditures in the year ended June 30,2014?

Definitions:

Pseudostratified

Describes epithelial tissue that appears to be layered but all cells actually reach the basal surface, giving a deceptive appearance of stratification.

Transitional

Referring to a phase or state that is changing or evolving from one form or condition to another, often used in contexts such as transitional economies or transitional epithelium.

Stratified

Describes a structure that is arranged in layers or levels, often used when talking about certain types of epithelial cells.

Gap Junctions

Channels that allow for direct communication between the cytoplasm of adjacent cells, facilitating the transfer of ions and small molecules.