Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume the following information was derived from the fund financial statements prepared by the city of Tallahassee, Florida for the fiscal year ended September 30

image text in transcribedimage text in transcribedimage text in transcribed Assume the following information was derived from the fund financial statements prepared by the city of Tallahassee, Florida for the fiscal year ended September 30 , 2019 : \begin{tabular}{|l|r|} \hline \multicolumn{1}{|c|}{CityofTallahasseeGeneralFundBalanceSheet(inthousands)} \\ \hline Assets: \\ \hline Cash and cash equivalents & $4,960 \\ \hline Due from other governments & 0 \\ \hline All other assets & 34,686 \\ \hline Total assets & $39,646 \\ \hline Liabilities: & \\ \hline Total current liabilities & $22,574 \\ \hline Fund balance: & \\ \hline Nonspendable & 13,990 \\ \hline Committed & 0 \\ \hline Assigned & 0 \\ \hline Unassigned & 3,082 \\ \hline Total fund balance & 17,072 \\ \hline Total liabilities and fund balance & $39,646 \\ \hline \end{tabular} Assume the city of Tallahassee's total tax-supported debt service expenditures in fiscal year 2019 were $15,880 thousand. The schedule of debt service requirements in the notes to the 2019 financial statements showed that Tallahassee's total governmental activity debt was $201,863 thousand, of which $75,030 thousand was scheduled to be paid off between 2020 and 2024 , $34,950 thousand was scheduled to be paid off between 2025 and 2029, and the remainder was scheduled to be paid off between 2030 and 2039. Calculate the following for the city of Tallahassee: Round all percentages to one decimal. a) debt service burden % b) percentage of debt principal payback in the next five years % c) percentage of debt principal payback in the next ten years % d) How does the city of Tallahassee's debt principal payback over the next ten years compare to the credit agency norms described in the textbook

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: J. David Spiceland ,Wayne M. Thomas ,Don Herrmann

2nd Revised Edition

0071088385, 978-0071088381

More Books

Students also viewed these Accounting questions