Which of the Following Statements Is Correct Concerning Interest Expenditures

Which of the following statements is correct concerning interest expenditures incurred during the period of construction of capital projects?

A) Interest expenditures may not be capitalized as part of the cost of general capital assets reported in governmental activities.
B) Interest expenditures may be capitalized as part of the cost of general capital assets reported in the governmental activities accounts at the government-wide level.
C) Interest expenditures must be capitalized as part of the cost of general capital assets reported in the capital projects fund.
D) Interest expenditures may optionally be capitalized as part of the cost of general capital assets reported in the capital projects fund.