What do amortization debt schedules show?

Amortization debt schedules specifically detail the periodic payments to be made on a debt obligation over its lifespan. This includes not only the principal and interest components of each payment but also provides a timeline for when these payments are due. The schedule can help identify how much of each payment goes toward reducing the debt versus how much is allocated to interest.

By offering a clear breakdown of current debt service obligations, this tool is essential for understanding the financial commitments a municipality has in relation to its outstanding debt. This allows for better financial planning and management, ensuring that funds are allocated appropriately over time.

In contrast, the other options do not align with the purpose of amortization schedules. Future investment potential focuses on evaluating opportunities for growth, while projected revenue streams are concerned with expected income, not debt repayment. Historical financial performance looks back at past financial activities rather than how current debts are structured. Thus, the selected answer regarding a breakdown of current debt service obligations accurately captures the primary function of an amortization debt schedule.