Agovernment had $7,000,000 of 5%, six month bond anticipation notes outstanding at the end of the fiscal year. as of this date, the government has completed all legal procedures and the notes will be re-financed to a term of ten years the following month. the ban liability reported in the capital projects fund as of the end of the fiscal year should be
a. $0.
b. $350,000.
c. $3,500,000.
d. $7,000,000.