A Capital Project Fund Received a $300,000 Transfer from the General

Multiple Choice

A Capital Project Fund received a $300,000 transfer from the General Fund and a $500,000 federal grant for a highway project. The grant is being paid in two phases-$200,000 for Year 1 expenditures and $300,000 when the project is completed which is anticipated to be at the end of Year 2. Capital Project Fund revenues reported at the end of Year 1 should be

A) $0.
B) $200,000.
C) $300,000.
D) $800,000.