On June 1,2015,Brooktown levied special assessments in the amount of $500,000,payable in 10 equal annual installments beginning on June 30,2015.The assessment installments are intended to pay principal and interest on special assessment bonds for which the town has pledged its full faith and credit should assessments be insufficient.Assuming no allowance for uncollectible receivables,the journal entry in the debt service fund on June 1,2015 would include:

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The journal entry in the debt service fund on June 1, 2015 would include a debit to Assessments Receivable-Current for $50,000 (10% of $500,000). This is because only the first year's installment is considered to be current and the remaining installments are considered to be long-term receivables. The entry would also include a credit to Other Financing Sources - Special Assessments for $50,000 (to record the first year's revenue from special assessments). No entry is made to record the full $500,000 in the current year since it is not all considered to be current revenue.

On June 1,2015,Brooktown Levied Special Assessments in the Amount of $500,000,payable