Presented below are the computed amounts of ratios for the Village of Riverside example appearing in the chapter.

Required:

a$.$ Using the financial statements provided in

of Salem is $52,000$ and the fair value of property totals $$970$ million.

b$.$ For each ratio, indicate which of the two governments has a stronger financial position.

$($Round "Debt per Capita" answer to the nearest whole dollar and other answers to $2$ decimal places.$)$

Example Comprehensive Annual Financial Report

Financial Section: Basic Financial Statements

Proprietary Funds Statements: Statement of Net Position

LLUSTRATION $2-9$ Proprietary Funds: Statement of Net Position

CITY OF SALEM

Statement of Net Position$-$Proprietary Funds

As of December $31,2020$

Assets

Business$-$type Activities$-$Enterprise Funds

Governmental

Activities$-$

Internal

Service

Current assets:

Noncurrent assets:

Capital assets $($net of accumulated

depreciation$)$

Total assets

Liabilities

Current liabilities:

Accounts payable

Accrued liabilities

Total current liabilities

Liability for landfill closure

and postclosure care costs

Capital leases payable

Bonds payable

Total noncurrent liabilities

Total liabilities

Net position

Net investment in

capital assets

Restricted

Unrestricted

Total net position

Total net position