On April $1,2024,$ the City of Southern Ponds issued $$5,000,000$ in $4\%$ general obligation, tax supported bonds at $101$ for the purpose of constructing a new police station. The premium was transferred to a debt service fund. A total of $$4,990,000$ was used to construct the police station, which was completed before December $31,2024,$ the end of the fiscal year. The remaining funds were transferred to the debt service fund. The bonds were dated April $1,2024,$ and paid interest on October $1$ and April $1.$ The first of $20$ equal annual principal payments of $$250,000$ is due April $1,2025.$

In addition to reporting Bonds Payable and $($unamortized$)$ Bond Premium in the government$-$wide Statement of Net Position, how would the bond sale be reported?

Question $2$ options:

The $$5,000,000$ liability in the governmental funds Balance Sheet and the $$50,000$ would also be recorded as a bond premium in the Balance Sheet.

A $$5,050,000$ other financing source in the capital projects fund, a $$50,000$ other financing use in the capital projects fund, and a $$50,000$ other financing source in the debt service fund.

As a $$5,000,000$ liability in the government$-$wide Statement of Net Position and as a $$5,000,000$ other financing source in the debt service fund.

As a $$5,050,000$ liability in the government$-$wide Statement of Net Position, as a liability of $$5,050,000$ in the capital projects fund, and as an other financing source of $$5,050,000$ in the capital projects fund.