Public colleges and universities account for revenue bonds using the accrual method to account for interest and amortization of premiums and discounts.

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Public colleges and universities typically use accrual accounting to account for revenue bonds, including interest and amortization of premiums and discounts. This is because accrual accounting provides a more accurate representation of the financial transactions and obligations involved in the bond issuance and repayment process.

Public Colleges and Universities Account for Revenue Bonds Using the Accrual