With Respect to Debt Service Funds, Which of the Following

With respect to Debt Service Funds, which of the following is incorrect?

A) Debt service funds are used to account for financial resources that are intended to provide payments of interest and principal as they come due.
B) Debt service funds are not created for debt issues where the activities of proprietary funds are intended to generate sufficient cash to make interest and principal payments.
C) If taxes and/or are levied specifically for payment of interest and principal on long-term debt, those taxes are recognized as revenues of the debt service fund.
D) Interest on long-term debt is generally accrued; it is recognized as an expenditure in the year in which the interest liability is incurred.