Note: This Is a Kaplan CPA Review Question

Note: This is a Kaplan CPA Review Question
In 20X4, Menton City received $5,000,000 of bond proceeds to be used for capital projects. Of this amount, $1,000,000 was expended in 20X4. Expenditures for the $4,000,000 balance were expected to be incurred in 20X5. These bond proceeds should be recorded in capital projects funds for:

A) $5,000,000 in 20X4.
B) $5,000,000 in 20X5.
C) $1,000,000 in 20X4 and $4,000,000 in 20X5.
D) $1,000,000 in 20X4 and in the general fund for $4,000,000 in 20X4.