Computerized Accounting System€”Departmental Budgetary Comparison Report. Review the computer generated budgetary comparison report presented below for the Lincoln City Parks and Recreation Department as of July 1 of its fiscal year ending December 31, 2010, and respond to the questions that follow

Required
a. Explain the account code structure being employed by Lincoln City. Does that structure appear consistent with the expenditure classifications required by GASB standards? Does it allow for more detailed expenditure classifications, if desired? For example, could materials and supplies be further classified as recreational supplies, office supplies, building supplies, and so forth?
b. What is (he likely reason there are no outstanding encumbrances for the Personnel Services, Conferences and Training, and Utilities accounts?
c. Does it appear that the Parks and Recreation Department may overexpend its appropriation for any accounts before the end of FY 2010? If so, which accounts may run short?
d. Does it appear that the Parks and Recreation Department may underexpend any of its appropriations for FY 2010? If so, which accounts may have excessive spending authority?
e. What factors may explain the expenditure patterns observed in parts c andd?

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LINCOLN CITY FY 2010 Detail Report, Departmental Expenditures Run date: July 1, 2010 08-00 Parks and Recreation Department Account Number 08-00 6110 01 08-00 7110 FY 2010 Available Appropriations Account Encumbrances Outstanding 27,424 Expenditures Title Personnel Services Materials and Supplies Conferences and Training Contractual Services Utilities Capital Outlay 2010 to Date $533,472 Budget $1,172,661 376,457 3,800 $639,189 141,350 2,374 84,511 93,999 32,937 69,393 207,683 1,426 102,687 01 08-00 7210 01 08-00 7310 01 08-00 7410 01 08-00 7810 89,642 276,840 192,248 57,924 248,673 98,249 21,387 172,538 3,600 6,742 01 08-00 7910 Other