Special assessments levied for debt service of bonds issued for a special assessment capital project will be accounted for by a debt service fund under which of the following situations?

Question

Quizplus · Accepted Answer

Special assessments levied for debt service of bonds issued for a special assessment capital project will be accounted for by a debt service fund only if the government has levying power over the assessment. A debt service fund is established to account for the accumulation of resources (revenue and any other financing sources) for, and the payment of, general long-term debt principal and interest. Bond proceeds would be accounted for in a different fund (such as a capital projects fund).

Special Assessments Levied for Debt Service of Bonds Issued for a Special