Question

The liability for special assessment bonds for which the city is not obligated in any manner should be recorded in a:

A) Debt service fund general journal
B) Agency fund general journal
C) Governmental activities general journal
D) None of the fund or governmental activities general journals, but should be disclosed in the notes to the financial statements

Answer 1

Answer:

D. None of the fund or governmental activities general journals, but should be disclosed in the notes to the financial statements.

Explanation:

The liability for special assessment bonds for which the city is not obligated in any manner should be recorded in none of the fund or governmental activities general journals, but should be disclosed in the notes to the financial statements.