Question

w what is the difference between a current refunding and advance refunding 60. Deser Describe the accounting required by the GASB for municipal solid waste land ute and post closure care costs. (It is not necessary to describe footnote disclosures), Describe the requirements for disclosure of segment information for enterprise funds. 04: Describe the accounting required for risk management activities of governmental units when the government is self-insured.

Answer 1

Question No. - (59.) - Answer -

1). A Refunding issue means, an issue of new debt, the proceeds of which are used to payoff the old outstanding debt.

2). There are generally two types of Refundings that are used -

• Current Refunding.
• Advance Refunding.

3). Difference between Current Refunding and Advance Refunding -

Current Refunding	Advance Refunding
In Current Refunding, the proceeds are used to payoff another outstanding bonds within 90 days after the date of issuance of refunding bonds.	In Advance Refunding, the proceeds are used to payoff another outstanding bonds more than 90 days after the date of issuance of refunding bonds.