During the fiscal year ended June 30, 2009, the city of Moorhead constructed a new courthouse which was budgeted to cost $5,000,000. Moorhead used a capital projects fund to account for the construction activities. In July of 2008, a bid was accepted from Diamond Construction to build the courthouse for $4,800,000. On June 15, 2009, Diamond completed construction and submitted a bill to the city for $4,900,000. The city accepted the bill and paid Diamond all of the amount owed, except for a 10 percentage retainage.

On the statement of revenues, expenditures, and changes in fund balance prepared for the capital projects fund for the year ended June 30, 2009, expenditures should be reported at:

A. $4,900,000.
B. $4,800,000.
C. $4,410,000.
D. $4,320,000.