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Otrada [13]
3 years ago
5

If taxes are levied specifically for payment of interest and principal on long-term debt, those taxes are:

Business
1 answer:
lys-0071 [83]3 years ago
8 0

Answer:

Recognized as revenues in the debt service fund.

Explanation:

Debt Service fund is a term that is used to describes a form of cash reserve utilized in the payment of interest and principal on specific kinds of debt for a given period. For example, bond premiums are commonly imposed by state law to be moved to debt service funds.

Hence, If taxes are levied specifically for payment of interest and principal on long-term debt, those taxes are: Recognized as revenues in the debt service fund.

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