At the beginning of fiscal 2023, a county issues two-year general obligation bonds at a par value of $250,000 and an annual coupon rate of 2%, to finance general operations. The bonds are reported by the general fund. The total interest of $10,000 and the principal of $250,000 will be paid to the bondholders at the end of fiscal 2025. At the end of fiscal 2024, how are the bonds and the interest reported in the government-wide financial statements? Select one: 

a. Revenues of $250,000 and $5,000 in expenses on the statement of activities, and $5,000 interest payable on the statement of net position. 

b. Nonoperating revenues of $250,000 on the statement of activities. 

c. Bonds payable of $250,000, and interest payable of $5,000 on the statement of net position, and interest expense of $5,000 on the statement of activities. 

d. General revenues of $250,000 on the statement of activities

Answer rating: 100% (QA)

The detailed answer for the above question is provided below The correct answer is c Bonds payable o... View the full answer