1.Capital Project Funds account for financial resources that are used for the construction of government buildings. Assuming that the government has elected not to expense the construction during the interim of the construction, the proper accounting disclosure would be to:

A.Disclose the interim construction as construction-in-progress and capitalize.

B.Disclose the interim construction in the notes to the financial statements.

C.Disclose the interim construction as reduction of the general fund.

D.Do not disclose because the construction is not complete.