Which of the following projects would normally be accounted for in a capital projects fund?

Question

Quizplus · Accepted Answer

Capital projects funds are used to account for the acquisition or construction of major capital facilities, such as buildings and infrastructure. The construction of a police station addition falls under this category and would therefore be accounted for in a capital projects fund. Option A is incorrect, as the construction of a parking garage operated as an enterprise fund would be accounted for in an enterprise fund. Option C is incorrect, as the payment of interest on bonds issued to finance the construction of a new city hall would be accounted for in a debt service fund.

Which of the Following Projects Would Normally Be Accounted for in a Capital