Debt service is best described as the:
A) net interest on a new issue of a municipal bond .
B) total of interest and principal payable by the issuer plus any amount required to be deposited into a sinking fund.
C) services provided by the paying agent for a bond issue.
D) total of the direct debt of a municipality and the debt of its political subdivisions.
Answer: B) total of interest and principal payable by the issuer plus any amount required to be deposited into a sinking fund.