GARS online provides efficient and effective access to all the necessary governmental accounting literature and has been demonstrated to significantly reduce research time. GARS provides all of the GASBs official literature in a searchable format: (1) the GASBs Statements and other pronouncements (including Implementation Guides) in their original versions, with indications of the portions that have been amended or superseded since, and (2) the Codification of all guidance in its current and effective version.

The financial reports of governmental entities must provide footnote disclosure of the deposit and investment risks the entity faces. The GASB requires disclosures of (1) the nature of the deposits and of investment risks the governmental entity faces, (2) the governmental entitys policies regarding each of those risks, and (3) specific ones such as credit ratings of investments in fixed income securities and a schedule of their maturity dates and fair values; the types of other investment securities held and their amounts and fair values; any concentrations of investments, other than those in U.S. government securities or in mutual or pooled investment funds, consisting of 5 percent or more of total investments; and the risks from changing interest rates and changing foreign exchange rates.

Required (complete in a one- to two-page memorandum): Go to the GARS Online website and obtain the summaries of GASB 40 and GASB 3 to answer the following questions:

a) List the types of deposit and investment risks addressed in GASB 3 & GASB 40. b) Explain why disclosures of information about these risks are important to the users of the governments financial statements.

Using the footnote information for Deposits and Investments from the most recent annual report for the government you used for the governmental accounting case due in Week 3, complete the following: Wisconsin Government

c) Describe the types of deposit and investment risks of your local government. d) Describe the policies your local government has for each type of risk identified. e) Describe the types of specific disclosures of information for each type of risk identified.