35. A government's Statement of Revenues, Expenditures, and Changes in Fund Balances reected proceeds of bonds in the amount of $1,000,000. That statement also reected expenditures for debt service in the amount of $3,000,000, including $2,600,000 for principal payments. Assuming no other changes, the effect, when moving from the change in fund balances in the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the change in Net Position for govern mental activities in the Statement of Activities would be a: A) $ 1,000,000 increase. B) $ 1,000,000 decrease. C) $ 1,600,000 increase. D) $ 1.600.000 decrease