|Posted: 03 May 2010 at 15:30 | IP Logged
Grove Township issued $50,000 of bond anticipation notes at face amount and placed the proceeds in its capital project fund. All legal steps were taken to refinance the notes, but Grove was unable to consummate refinancing. In the capital projects fund, which account should be credited to record the $50,000 proceeds?
A. Other financing sourses control.
B. Revenue Control
C. Deferred Revenue
D. Bond anticipation notes payable
I chose A. but the correct answer is D. I have not come across the term Bond anticipation notes payable in Becker or Wiley book .Does anyone have any idea? THX