Assume the following transactions that affected the General Fund and the Special Revenue Fund took place during the year.

(a) $50,000 was borrowed from the General Fund for the Special Revenue Fund. The interfund loan will be repaid in equal installments over 10 years, starting next fiscal year.

(b) It was discovered that $5,500 of expenditures that were sup- posed to have been charged to the General Fund were charged to the Special Revenue Fund in error. The error was corrected.

(c) The General Fund transferred $8,000 to the Special Revenue Fund during the year. What is the net effect of these transactions or events on total fund balance in the General Fund and Special Revenue Fund, respectively?

a. General Fund fund balance increased $13,500; the Special Revenue Fund fund balance decreased $13,500.

b. General Fund fund balance decreased $63,500; the Special Revenue Fund fund balance increased $63.500.

c. General Fund fund balance decreased $13,500; the Special Revenue Fund fund balance increased $13,500.

d. General Fund fund balance decreased $36,500; the Special Revenue Fund fund balance increased $36,500.

e. None of the above.