The GASB Codification Sets Forth Circumstances in Which a State

Multiple Choice

The GASB Codification sets forth circumstances in which a state or local government is permitted to accrue expenditures related to unmatured principal and interest on general obligation long-term liabilities. Which of the following are those circumstances?

I. Dedicated financial resources to pay the maturing principal and interest have been accumulated in a Debt Service Fund by year end.
II. The debt service payment is due early next year (within 30 days) .
III. The debt service payment is due early next year (within 60 days) .

A) I only.
B) I and II.
C) I and III.
D) II only.