Find invested in capital assets net of related debt

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On the following facts about an Enterprise Fund for a utilityoperation:

Outstanding bonds issued for capitalimprovements........................ $10,500,000

Transfer to General Fund (occursannually)..................................... $500,000

Charges for services earned in the currentyear................................. $14,600,750

Unspent capital bond issueproceeds.................................................$4,000,000

Salaries and wages expense for the currentyear............................... $9,600,000

Interest earning on allinvestments....................................................$600,000

Fair market value of water lines donated by a localdeveloper.......... $1,000,000

Net book value of all other existing capitalassets............................. $7,310,500

Invested in capital assets, net of related debt, would be

A. $7,310,500

B.$ 8,310,500

C. ($2,189,500)

D. $4,310,500

E. $1,810,500

 

Reference no: EM13257355

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