3. Application In the case study, we examined the budgetary solvency in the city of Lucille.

Now the city manager wants an analysis of all four dimensions of FCA—

cash solvency, budgetary solvency, long-run solvency, and service solvency.

Only data from the past five years are available for analysis. Table 12.11 presents additional data from the city’s CAFR.

Conduct an FCA to examine the cash solvency, budgetary solvency, longrun solvency, and service solvency of Lucille.

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Table 12.11 City of Lucille's Additional Financial Data for the Past Five Years ($) Year 1 Cash Cash equivalents Marketable securities 960,000 96,263,000 105,915,000 Receivables 25,472,000 Current liabilities 59,409,000 Net assets 981,077,865 2,279,434,717 Total assets 2 565,000 129,429,000 91,403,000 31,899,000 58,956,000 1,059,432,173 2,322,398,266 3 2,517,000 151,978,000 67,676,000 0 52,258,000 1,144,044,291 2,366,171,605 4 465,000 150,846,000 31,427,000 0 72,594,000 1,235,414,000 2,410,770,000 5 777,000 209,026,000 54,316,000 3,005,000 73,549,000 1,334,081,000 2,456,209,000 (this year)