Use the Following Information to Answer Questions Bellow General Obligation Debt Payments for the Year Are Estimated to Balance

Multiple Choice

Use the following information to answer questions bellow.
The trial balance of a county's debt service fund at the beginning of the year is provided bellow:
$$\begin{array} { | l | r | } \hline & \text { Dr (Cr) } \\\hline \text { Cash } & \$ 15,000 \\\hline \text { Investments } & 12,000 \\\hline \text { Fund balance-committed } &\underline{(27,000) } \\\hline \text { Total } & \$ \quad 0 \\\hline\end{array}$$ General obligation debt payments for the year are estimated to be $80,000 for interest and $30,000 for principal. The county budget requires that the general fund transfer $100,000 to the debt service fund during the year. Income on investments is budgeted at $900. The debt service fund uses budget accounts. Transactions for the year are as follows:
•The general fund transfers $100,000 to the debt service fund.
•The capital projects fund transfers a bond premium on newly issued bonds to the debt service fund, in the amount of $1,000.
•The debt service fund invests $35,000 in securities and sells investments with a book value of $40,000 for $40,200. Interest income on securities held during the year is $375, received in cash. The fair value of investments held at year-end is $7,300.
•The debt service fund makes the principal and interest payments as budgeted.
-The balance for committed fund balance, immediately after the budget entry, is:

A) $27,000
B) $17,900
C) $18,875
D) $17,000