1. Complete the ratio sheet on page 7 by calculating the following for 2012 and 2011: Revenues per capita Expenditures per capita Long Term debt per capita Employees per capita Intergovernmental revenues as a percent of total revenues Primary revenues over expenditures Change in net position / revenues Unrestricted fund balance / revenues Liquidity (current ratio) Long term debt to assessed valuation Current liabilities / revenue Debt service (principle and interest payments / revenues) . Funded ratio: pension assets / pension liabilities Pension obligation / salaries Capital outlay / primary government expenses In reviewing trends, what three revenue line items are the largest cause for concern? (Ignore loss on disposal of capital assets.) Why do these concern you? What is the trend in Net Position, both restricted and unrestricted? Why would creditors continue to loan funds under these conditions? Are the current operating results sustainable? Do you believe there is a going concern issue with Sample City? In reviewing the trends in ratios, what are the key issues (recognizing that many of the ratios relate to each other)? a. b. C. d. e. f. g. h. i. j. k. 1. In H. 0. 2. 3. 4. 5. 6. a. b. Review the summary of GASB 45 (htt ://www. asb.or /st/summa / stsm45.html . How did GASB 45 impact the additional information provided for Sample City. Was GASB 45 a major impact to required supplemental information for Sample City? Does Sample City accrue for the GASB 45 liability or does it appear they have implemented pay-asyou-go reporting within the financial statements