How did the national debt increase to 54 million?

A. It included state debts and interest amounts.

B. It included the cost of paying off bonds at higher cost.

C. It included the cost of paying off the original creditors.

D. It included the cost of shifting the capital.

E. It included the cost of setting up the federal bank.

The correct answer is A) It included state debts and interest amounts.

The national debt increased to 54 million because it included state debts and interest amounts.

The American Revolutionary War cost too much money for the newborn nation. After the Continental Army defeated the British troops to gain independence from the English crown, the United States inherited a huge debt that reached 54 million. So one of the biggest problems for the Confederation Congress was the lack of funds to pay the domestic and foreign debt contracted by the many expenses of the war.

C. It included the cost of paying off the original creditors.