Use the Following to Answer Questions 24 and 25

Multiple Choice

Use the following to answer questions 24 and 25:
A city starts a solid waste landfill during 2017. When the landfill was opened the city estimated that it would fill to capacity within 5 years and that the cost to cover the facility would be $1.5 million which will not be paid until the facility is closed. At the end of 2017, the facility was 20% full, and at the end of 2018 the facility was 45% full.
[QUESTION]
-If the landfill is judged to be a governmental fund, what liability is reported on the fund financial statements at the end of 2018?

A) $ 0.
B) $300,000.
C) $375,000.
D) $600,000.
E) $675,000.