Assume that the fair market value of investments in a Debt Service Fund decreased by $25,000 as of the end of the fiscal year. What entry would be necessary to reflect this change?
A) Debit investment income and credit investments.
B) Debit interest expense and credit investments.
C) Debit interest expense and credit cash.
D) No entry is necessary since the investments have not actually been sold.
Correct Answer:
Verified
Q15: The City of Dandridge has $8,000
Q16: Listed below are selected transactions from
Q17: Calhoun County has a principal and interest
Q18: The residual positive fund balance classification for
Q19: Which of the following types of transactions
Q21: A government has $3,000,000 of 6%, 10-year
Q22: A Debt Service Fund should be used
Q23: A Debt Service Fund retires bond principal
Q24: A Debt Service Fund received a $100,000
Q25: A government has $3,000,000 of 6%, 10-year
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents