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Business, 30.10.2021 17:10 wyatt90

The City of Hiawatha issued $10 million of term bonds as of April 1, 2004. The bonds bear interest at 6%, due and payable each October 1 and April 1. Assuming the City maintains its books and records in a manner that facilitates the preparation of its fund financial statements the appropriate entity to record interest on the debt at June 30, 2007 (the City s fiscal year-end) is:. a. Debit Expenditures $300,000; Credit Interest Payable $300,000.
b. Debit Expenditures $300,000; Credit Other Financing Uses $300,000.
c. Debit Expenditures $300,000; Credit Due to Bondholders $300,000.
d. No entry required.

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The City of Hiawatha issued $10 million of term bonds as of April 1, 2004. The bonds bear interest a...

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