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AnnZ [28]
3 years ago
13

what is the purpose of a debt service fund? Does a debt service fund require budgeting? why or why not?

Business
1 answer:
kirza4 [7]3 years ago
4 0

Answer:

The purpose of a debt service fund is to pay back long term debt issued to finance a specific government project alongside with the principal and interest accrued to it.

Part B: Yes

Explanation:

A debt service fund require budgeting because with budgeting, payments of debts are easily managed and it also ensures fund availability as at the moment it is needed.

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