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A Local Government Recorded the Payment of Bond Principal by Debiting

Question 74

Multiple Choice

A local government recorded the payment of bond principal by debiting Expenditure: Bond principal and crediting cash.What is the worksheet entry when preparing the government-wide statements?


A) Debit Bonds Payable and credit Cash
B) Debit Bonds Payable and credit Expenditure: Bond Principal
C) Debit Cash and credit Expenditure: Bond Principal
D) None of the above

Correct Answer:

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