...Abstract The City of Troy’s Comprehensive Annual Financial Report for 2011 is analyzed. It is content the evaluation of efficiency and effectiveness of the CAFR, comparison of the current year result and performance with the prior result and performance, assess of financial condition, assess of financial operations, compliance with the budget, and overview of Management Discussion and Analysis. Also discussed in this analysis, the auditor’s comments and recommendation about independence, scope, and opinion; and also my recommendation. At the end of this analysis, included the City of Troy’s last 2 year’s performance analysis. Evaluation of Efficiency and Effectiveness At the end of 2011, The City of Troy had $330.4 million invested in a broad range of capital assets including land. Building, police and fire equipment, water and sewer lines, roads, sidewalks, and other infrastructure, net of debt. The increase in capital assets during the year was attributing to the excess of additional in streets, drains and water/sewer systems over the recognition of depreciation. The City of Tory’s debt rating is excellent. The City maintains a AAA rating on unlimited tax general obligation bonds by Standard and Poor’s. The City of Troy’s bond indebtedness totaled $42.8 million at June 30, 2011 a decrease of $4.4 million from the prior year resulting from debt retirement payments. The General Fund receives all City of Troy revenues not designated for special uses by statutes or the City...
Words: 1957 - Pages: 8
...Assignment 1 Financial Statement / Audit Report Review Follow Below Link to Download Tutorial https://homeworklance.com/downloads/acc-410-assignment-1-financial-statement-audit-report-review/ For More Information Visit Our Website ( https://homeworklance.com/ ) Email us At: Support@homeworklance.com or lancehomework@gmail.com Assignment 1: Financial Statement / Audit Report Review Due Week 4 and worth 240 points Select one (1) local government in your state or area and review the financial statements and audit report for the county or municipality. The financial statements of the government you selected should have at least three (3) funds. Refer to the continuing problem homework for Weeks 1 through 3 for this assignment. Write a three to five (3-5) page paper in which you: 1.Compare and contrast the comprehensive annual financial report (CAFR) of the selected local government entity with the city of Austin report from Week 1 homework. In your comparison, include: a.Publication method of the CAFR b.Audit and budget information in the CAFR c.The type of audit report issued d.Existence or non-existence of an internal audit function within the government entity 2.Prepare the analysis for the selected local government entity, including information on the introduction, financial section, and statistical section prepared in the city of Austin’s CAFR from chapter 2. 3.Analyze the methods used by the selected local government entity in comparing the budget-to-actual...
Words: 6670 - Pages: 27
...Financial management involves making financial decisions. Organizations must make good investment decisions based on the analysis of the budget. In this paper, financial management will be reviewed. The most effective and least effective financial management practices in creating and monitoring an operating budget will be discussed. Planning, organizing, directing, and controlling activities such as procurement and use of funds make up financial management. Financial management involves all departments of an organization. Financial management relates to the use of funds from various resources and financial decisions depend upon the source type, the financing period, the financing cost, and returns. Procurement, allocation, and control of resources are concerns in financial management. Some financial management goals include ensuring a supply of funds to various areas in an organization, ensuring returns to investors, and ensuring the best utilization of funds. According to Gapenski (2008), an operating budget “is a combination of the revenues and expense budgets. Operating budgets are prepared at the subunit level” (p. 234). An operating budget is a statement of profit and loss. An account for the previous year’s financial performance is provided by the different departments in an organization at the end of the year. In addition to the operating budget other statements are needed, such as the Statement of Cash Flow, the Statement of Revenue and Expense, and a balance sheet...
Words: 560 - Pages: 3
...Budgets and Funds — The City of Portland Introduction In each government organization’s management systems, the budget plays a significant role which reflects its policy, goals, and priorities. To understand better, it is necessary to know the purpose and function of budget. This paper will talk about why and how to use budgets and funds in governmental accounting by analyzing the budget of the city of Portland. First of all, I will introduce the fund system of accounting and compare the different budgets for funds. Second, I will analyze the budget of Portland to give an idea that how they use funds according to their purpose and restrictions, and how this can be conveyed to the voters so they can ask the right questions to make a good choice in the election. Last, I will give my opinion on how government can explain the budgets used more effectively for the public to understand. Fund System and Budget To understand how budget be used, it is necessary to know the fund system of accounting first. Overall in governmental accounting there are three broad categories of fund types: governmental funds, proprietary funds, and fiduciary funds. First, the governmental funds, which are taxed based, receive sales tax, property tax, vehicle tax, and other state and federal taxes as their main source of revenues. There are five types of funds in this category: general fund, special revenue funds, capital projects funds, debt service funds, and permanent funds. Second, proprietary...
Words: 1528 - Pages: 7
... Flexible Budgets Introduction The flexible budget is useful for cash forecasting because it is based upon the estimation of a variety of activity volumes. The usefulness of a flexible budget is founded in the ability to compare potential level of performance to the expected level. It is also a better representation of the actual fluctuations that occur in the volume of activity as it is influenced by fixed and variable costs. In comparison, a static budget is based upon the planned volume of activity and remains unchanged by actual changes in the volume of activity. There is value in both types of budgets because they are used together to present information that can be used for evaluating performance levels and for planning future activity requirements. Flexible Budgets A flexible budget is a budget with figures that are based on actual output. It's then compared to a company's static budget to get variances (differences) between what level of spending was expected and what actually occurred. Accordingly, a flexible budget is a budget that adjusts or flexes for changes in the volume of activity. The flexible budget is more sophisticated and useful than a static budget, which remains at one amount regardless of the volume of activity. With a flexible budget, budgeted dollar values (i.e. costs or selling prices) are multiplied by actual units to determine what particular number will be given to a level of output or sales. A flexible budget makes different...
Words: 1126 - Pages: 5
...sole purpose is financial gain. Many of these companies fail at obtaining financial gain because of lack of planning and poor management. There are steps to follow when creating a system to monitor and control various activities at different levels or divisions. This paper will talk about the concept and benefits of having a budgetary control system. The Concept Budgetary Control In order for a company to operate successful, it is important for the company to evaluate its financial status on a weekly, monthly and/or quarterly basis. In order to do so a budgetary control reporting system must be created. This system identifies which type of budget reports will be created to compare the actual financial activity of the company with the projected activity, when each report will be evaluated, and what information will be obtain from the reports. Once reports are analyzed by executives and managers try to determine what may have caused the budget variance as well as trying to correct the problem to improve the outcome. Budget Formats and How They Are Used The type of budget format used for a company depends on how the company wants to analyze its financial activity. The two budget formats are static and flexible. Static budget reports are used by an company that analyzes its financial activity as a whole. Many companies use a static budget report when creating a master budget. Flexible budget reports are used for a company that analyzes it financial activity by departments...
Words: 426 - Pages: 2
...Course Name: HND in Hospitality Management Food and Beverage Operations Management (Unit5 Student Name: Emilia Panzo Submitted to: Margaret Amankwah Nelson College London Wembley Campus, London Task1 1.1characteristics of food production and beverage service systems Food Production Methods Food production methods in the catering industry evolved over a period of time when there was an great quantity of labour. The design of the established kitchen, first introduced into the UK in the latter half of the nineteenth century, grew up around the division of tasks into parties (comparable tasks with numerous foods were carried out by a particular group of people). This was the progress of the parties system. The rigid demarcation between the sections meant that the staffing ratio was high in comparison with the number of meals served. During the first half of the twentieth century there was little or no technical change in the kitchens of hotels and restaurants. Most managers and chefs had been trained in the old traditional methods which gave reasonably satisfactory results, and to them there seemed little reason to change. It is only during the last forty years that changes in the old traditional methods have evolved. These changes were slow to appear and started in the manufacturing industry rather than in the kitchens of hotels and restaurants. Technical research was done...
Words: 4819 - Pages: 20
...Financial Planning Financial planning involves budget, financial map or operating guide (Principles of Accounting, n.d.). Financial planning has many functions: a breakdown of budget, money coming in, and money going out - except the money going out is all planned and knowing where it will go or end up. Financial planning is making plans to attain that goal – money wise. Financial planning provides many elements for detailed sales targets, staffing plans, inventory production, cash investments and borrowing capital expenditures for plant assets and others. It also involves risk management. Proper financial planning gives the company guidance on how to proceed with expenses and funds. Better financial planning leads to proper prioritizing of goals and work towards long-term goals. Financial planning involves strategic plan which includes the plan that supports the mission, vision and values of the organization. Operating plans which includes a detailed guidance to help organizations realize its strategic vision. Financial Plan which involve the forecasting of financial statements, the amount of money that supports the plan, forecasting of funds, performance-based management system, and the monitoring of operations after executing the plan to check any nonconformities and take actions towards it. (Ehrhardt and Brigham, 2011). Financial planning helps the companies minimize costs and maximize profits. One method of financial planning is the Additional...
Words: 900 - Pages: 4
...Health Care Budget An operating budget is a strategic initiative for the organizations financial plans over the course of the coming year. The operating budget works directly with the Statement of Activities (SOA) for a fiscal year to accomplish the organization financial goals. To produce an effective operating budget the organization needs to have knowledge of what financial management practices work best for the financial goals they are planning to use. Proper understanding of these concepts is vital for the operating budget to become successful for the upcoming year. Effective Financial Management Practices Effective financial management practices include several types of rules that an organization should follow to create a successful operating budget. Budgeting should focus on income first targeting the reliable income in the budget. Never filling those gaps with income projections to cover expenses can cause a deficit if your organization can not produce the income target within the year. Expenses should be lower than the dependable income total. Each department should be in agreement with this financial management practice. This leaves the additional programs and projects to be set in motion if the revenue allows additional funds (Hamilton, 2010). A financial management practices uses the beginning with the prior fiscal years total, and building the new upcoming year budget on those amounts. This takes calculating percentage of increases and decrease to determine...
Words: 782 - Pages: 4
...A budget is a document that projects the financial goals and results of a company for a particular time frame. It can include everything from a basic income statement to results and financial position of a company for one or more future periods. This paper will review the various types of budgets including master, sales, cash, and production as well as there potential impact on decision making. Type of Budget/Use | Included Information | Potential decision making | Master: summarizes projected activity keeping key leaders on the same page | * Cash budget * Budgeted income statement * Interrelated budgets from various departments | Plan and set performance objectives | Sales: itemizes sales expectations for the budgeted period | * Sources of cash * Uses of cash | Determine other budgets (production, direct materials)...
Words: 290 - Pages: 2
...this transformation planned is strategic transformation on the changes of equipment to cope up with current environment; the changes in threat and technological advancement on military hardware act as driving force for TD transformation. The transformation focuses on training and operational equipment together. However this transformation planned is not definite because of uncertain financial budget. TD could not decide on the equipment early on and must wait for the approve budget. Other than uncertain budget, Army also faces with the problem of underperforming contractors which resulted in delay in delivery and cancellation of project. Issues The transformation planning is not details enough since the type of equipment that going to be change or procure could not be decided earlier due to uncertain financial allocation that will be provided by the government. The loose planning may spell disaster in the process of transformation. The underperforming contractors also raised the eyebrows; where contract had been terminated which cause valuable time and money. Discussion The type of transformation is strategic in nature because the army is modernizing their forces to suit with current environment in order to maintain her competitive edge (Cumming & Worley, 2008, p. 12). This transformation is needed in order to be...
Words: 921 - Pages: 4
...The Nature of Strategy Implementation: Marketing, Finance/Accounting, R&D and MIS Issues Learning Outcomes After studying this unit, you should be able to do the following: ➢ Explain market segmentation and product positioning as strategy implementation tools. ➢ Discuss procedures for determining the worth of a business. ➢ Explain why projected financial statement analysis is a central strategy implementation tool. ➢ Explain how to evaluate the attractiveness of debt versus stock as a source of capital to implement strategies. ➢ Discuss the nature and role of research and development in strategy implementation. ➢ Explain how management information systems can determine the success of strategy implementation efforts. Introduction Strategy implementation directly affects the lives of plant managers, division managers, department managers, sales managers, product managers, project managers, personnel managers, staff managers, supervisors, and all employees. In some situations, individuals may not have participated in the strategy-formulation process at all and may not appreciate, understand, or even accept the work and thought that went into strategy formulation. There may even be foot dragging or resistance on their part. Managers and employees who do not understand the business and are not committed to the business may attempt to sabotage strategy-implementation efforts in hopes that the organization will...
Words: 3047 - Pages: 13
...Individual Assignment HRMT 317 Introduction Costs are linked with all types of organizations- business, nonbusiness, manufacturing, retail and service. Cost behavior, Cost accounting & allocation, and Budget- these are the three key requirements to run any business nowadays. Measuring cost behavior (cost measurement) is associated with understanding and calculating how activities of an organization affect different levels of cost. On the other hand, cost accounting is a kind of accounting method that targets to capture an organization’s costs of production by evaluating the input costs of each step of production as well as fixed costs. Then, cost allocation is the allocating of a common cost to several cost substances. Additionally, budget is an estimate of earnings and expenses for a set period of time. These are commonly used terms in financial accounting information as well as in any business. My company is called The EBag Co. Ltd, which is in business for more than 5 years in the production sector of the market. This profitable business is earning its profits by manufacturing affordable bags for consumers of all ages. My company will use these three requirements of this assignment to make business more profitable in coming days. I will use the five methods (will talk about only 3) of measuring cost function for my company to identify which costs will change and which will remain the same with changes in sales volume. Then, I will use cost allocation...
Words: 2670 - Pages: 11
...1. Be able to analyze the financial data Finance: It is the study of the management of the funds. Key domains of financing are: * Business finance. * Private finance (personal loan). * The public finance. Finance deals with the savings of money and frequently deals with the lending matters. The field of the finance offers with the time concepts, money, the risk and how they are secured. It takes care of how money used in budgeting. The one of the main source of the financing is through individuals and organizations that deposit or invest money. The banks issue money to other natural or lawful people for the expenditure and charge interest. Why the businesses need the financing Commencement of a new business A business needs a financing to buy the equipment, machinery and to spend on personnel. Money will be so necessary to cover the routine functioning expenses. Finance for the expansions of production capacity As growing a business, it has to be able to produce a newer technology and the machinery and to reduce costs and to live a day competitors. To develop product and to market the products A business has to spend money for the development and marketing of products. To enter in newly market Whenever ventures grow, they sell its products on new business markets. It can be new geographic areas to sell or types of customers. That costs money in a way of investigation and of marketing, for example advertising campaigns and the creation of...
Words: 2796 - Pages: 12
...with I'd like to explain what does «budget» mean. A budget (from old French bougette, purse) is a financial plan and a list of all planned expenses and revenues. It is a plan for saving, borrowing and spending.[1] A budget is an important concept in microeconomics, which uses a budget line to illustrate the trade-offs between two or more goods. In other terms, a budget is an organizational plan stated in monetary terms. In summary, the purpose of budgeting is to: 1. 1. Provide a forecast of revenues and expenditures, that is, construct a model of how our business might perform financially if certain strategies, events and plans are carried out. Enable the actual financial operation of the business to be measured against the forecast. Organizations develop specific plans for saving and spending income and these plans, or budgets, are essential for developing spending and saving priorities. Properly preparing a budget also serves as a reference to check how well money is being managed during a period by allowing managers to see actual revenues and expenses compared to budgeted revenues and expenses. Corrective action can be taken earlier in a period when revenue shortfalls or expense excesses are identified. The term "budget" can be dated back to medieval England, where it meant "leather purse" or "wallet." A budget allows businesses to meet specific goals by creating a system of saving and spending money efficiently. Simply defined, a budget is a plan for using corporate funds...
Words: 1477 - Pages: 6
