After all liabilities are paid and the operating statement accounts closed,it is common to transfer any remaining assets of a capital projects fund to the General Fund.

Question

Quizplus · Accepted Answer

Bond indentures usually provide that any portion of bond proceeds not needed for construction be transferred to the fund that will pay the interest on the bonds and redeem the principal upon maturity, the debt service fund in most cases. The disposition of excess amounts received under gifts or grants should be in accord with the wishes of the donors or grantors.

After All Liabilities Are Paid and the Operating Statement Accounts