You will analyze the government wide financial statements for the City of Arborland for a 3 year period. Use Exercise 10-20 on page 436 in your textbook as a guide. You will find the Statements of Net Position and Statements of Activities for FY 2015, 2016, and 2017 on pages 437-440. You will complete parts a & b of Exercise 10-20 using the Excel template found above. Parts a & b require you to calculate financial ratios for FY 2015, 2016, and 2017. Prepare your ratios in a presentable spreadsheet that will be included with your paper in week 3 and in your presentation in week 4.
Reck, J. &Lowensohn,S. (2016). Accounting for Governmental and Nonprofit Entities, 17thed + Connect*. York, NY: Mc-Graw Hill
Comparative Ratios. The government-wide financial statements for the City of Arborland for a three-year period are presented on the following pages.
Additional information follows:
Population: Year 2017: 30,420, Year 2016: 28,291, Year 2015: 26,374. Debt limit remained at $20,000,000 for each of the three years. Net cash from operations is generally 80 percent of total revenues each year.
A.) Which of the financial performance measures in Illustration 10–4 can be calculated for the City of Arborland based on the information that is provided?
B.) Calculate those ratios identified in part a for FY 2017. Show your computations.