The City of Twin Falls Issued $5 Million in Special

The City of Twin Falls issued $5 million in special assessment bonds to finance major reconstruction of the turbines and facilities used in generating electricity that is sold to the citizens in the surrounding area. The electric power distribution activities are accounted for in an enterprise fund, which service the debt. If the city is NOT legally obligated for the debt, the appropriate entry in the city's Electric Enterprise Fund to record this event is

A) Debit Plant assets; Credit Bonds payable.
B) Debit Plant assets; Credit Capital contributions.
C) Debit Plant assets; Credit Retained earnings.
D) No entry should be made in the Electric Enterprise Fund.