What account is debited in a debt service fund when it records matured interest payable?
I.Interest Expense
II.Expenditures

Question

Quizplus · Accepted Answer

When a debt service fund records matured interest payable, it debits the Expenditures account to reflect the payment of the interest. Interest expense is recognized in the fund's statement of revenues, expenditures, and changes in fund balance, but it is not directly debited in the fund's accounting records.

What Account Is Debited in a Debt Service Fund When