Question: On July 1, 2008, Cleveland established a capital projects fund to construct a new town hall. Financing for construction came from the following sources:
1) Transfer from the general fund..............................$2,000,000
2) State grant..........................................................1,000,000
3) Proceeds of general obligation bonds.....................11,000,000
- Includes $500,000 premium.
Construction of the town hall was completed on June 15, 2009. For the fiscal year ended June 30, 2009, what amount should Cleveland's capital projects fund report for revenues on its statement of revenues, expenditures, and changes in fund balance?
A. $1,000,000
B. $1,500,000
C. $3,500,000
D. $14,500,000