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The General Fund of a City Pays All Utility Bills

Question 33

Multiple Choice

The General Fund of a city pays all utility bills received from private companies for services provided to city agencies.It then bills other funds for their shares of the bills.On May 10,the General Fund pays an electric bill for $230,000.It then sends a bill to the Library Special Revenue Fund for $4,000,representing the library's share of the bill.Which account should the General Fund credit when it sends the bill to the Library Special Revenue Fund?


A) expenditures - utilities
B) due from library special revenue fund
C) transfer out to library special revenue fund
D) due to library special revenue fund

Correct Answer:

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