7-12. Internal Service Fund Reporting. (L07-2) Financial statements for the Building Maintenance Fund, an internal service fund of Coastal City, are reproduced here. No further information about the nature or purposes of this fund is given in the annual report. COASTAL CITY BUILDING MAINTENANCE FUND Balance Sheet As of December 31 Assets Assets: Cash and investments $452,879 Accounts receivable 2,116 Inventory 479.000 Prepaid expenditures 19.854 Total assets S953.849 Liabilities and Fund Equity Liabilities: Accounts payable $ 35,675 li LOAD Liabilities and Fund Equity 40 Liabilities: Accounts payable $ 35,675 Other accrued liabilities 109,099 Accrued annual leave 227.369 Total liabilities 372.143 Fund equity Fund balanceunspendable 479,000 Fund balance-unrestricted 102.706 Total liabilities and fund equity $953.849 Page 296 COASTAL CITY BUILDING MAINTENANCE FUND Statement of Revenues, Expenditures, and Changes in Fund Balance Year Ended December 31 Revenues: Billings to departments S10,649,781 Miscellaneous 161.396 COASTAL CITY BUILDING MAINTENANCE FUND Statement of Revenues, Expenditures, and Changes in Fund Balance Year Ended December 31 Revenues: $10.649,781 Billings to departments Miscellaneous Other financing sources Interfund Transfers In 161,396 125,000 Total revenues 10.936,177 Expenditures: Salaries and employee benefits 3,353,413 Supplies 3,409,096 Leases 59,302 Operating services and charges 495.143 Maintenance and repairs 3,536,443 Bad debts 1.750 Total expenditures 10.855.147 Excess of revenues over expenditures 81.030 10.936.177 Total revenues Expenditures: Salaries and employee benefits Supplies 3,353.413 3,409,096 Leases 59,302 495.143 Operating services and charges Maintenance and repairs 3.536,443 Bad debts 1.750 Total expenditures 10.855.147 Excess of revenues over expenditures Fund balance-January 1 81,030 500.676 Fund balance December 31 S 581,706 Required a. Assuming that the Building Maintenance Fund is an internal service fund, discuss whether the financial information is presented in accordance with GASB standards, h. If you were the manager of a city department that uses the services of the Building Maintenance Fund, what would you want to know in addition to the information disclosed in the financial statements? 7-12. Internal Service Fund Reporting. (L07-2) Financial statements for the Building Maintenance Fund, an internal service fund of Coastal City, are reproduced here. No further information about the nature or purposes of this fund is given in the annual report. COASTAL CITY BUILDING MAINTENANCE FUND Balance Sheet As of December 31 Assets Assets: Cash and investments $452,879 Accounts receivable 2,116 Inventory 479.000 Prepaid expenditures 19.854 Total assets S953.849 Liabilities and Fund Equity Liabilities: Accounts payable $ 35,675 li LOAD Liabilities and Fund Equity 40 Liabilities: Accounts payable $ 35,675 Other accrued liabilities 109,099 Accrued annual leave 227.369 Total liabilities 372.143 Fund equity Fund balanceunspendable 479,000 Fund balance-unrestricted 102.706 Total liabilities and fund equity $953.849 Page 296 COASTAL CITY BUILDING MAINTENANCE FUND Statement of Revenues, Expenditures, and Changes in Fund Balance Year Ended December 31 Revenues: Billings to departments S10,649,781 Miscellaneous 161.396 COASTAL CITY BUILDING MAINTENANCE FUND Statement of Revenues, Expenditures, and Changes in Fund Balance Year Ended December 31 Revenues: $10.649,781 Billings to departments Miscellaneous Other financing sources Interfund Transfers In 161,396 125,000 Total revenues 10.936,177 Expenditures: Salaries and employee benefits 3,353,413 Supplies 3,409,096 Leases 59,302 Operating services and charges 495.143 Maintenance and repairs 3,536,443 Bad debts 1.750 Total expenditures 10.855.147 Excess of revenues over expenditures 81.030 10.936.177 Total revenues Expenditures: Salaries and employee benefits Supplies 3,353.413 3,409,096 Leases 59,302 495.143 Operating services and charges Maintenance and repairs 3.536,443 Bad debts 1.750 Total expenditures 10.855.147 Excess of revenues over expenditures Fund balance-January 1 81,030 500.676 Fund balance December 31 S 581,706 Required a. Assuming that the Building Maintenance Fund is an internal service fund, discuss whether the financial information is presented in accordance with GASB standards, h. If you were the manager of a city department that uses the services of the Building Maintenance Fund, what would you want to know in addition to the information disclosed in the financial statements