[Anonymous]

Why is cash inflow from issuing bonds to finance city hall construction considered to be an inflow for governmental fund? Why governmental fund?

Please help in explaining this to me!!

[Mjganier]

Since it is for construction for the city hall, a governmental entity, the proceeds would go into the Capital Projects fund which is a governmental fund. The Capital Projects fund is the fund used for any type of governmental projects or construction.

FAR 8/18/2014--87
AUD 10/18/2014--78
REG 11/24/2014--76
BEC 2/28/2015--76

"If you can't explain it simply, you don't understand it well enough"-Albert Einstein

Study Mats: Cpaexcel study text and EQ, Ninja MCQ, Ninja notes

[Author]

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