Required i. Cash and Cash Equivalents are important for any government. Do you agree or disagree. Provide examples to support your views. (10 marks) ii. What do you understand when reading Note 14 of the attached financial statement? (10 marks) Note: Students should use the below financial statement including the Notes to Financial Statements to support their views. iii. As a taxpayer, why do you need information about cash receipts, cash payments and cash balances? (10 marks) GOVERNMENT OF THE REPUBLIC OF FIJ Sehedule 3 STATEMENT OF ASSETS AND LIABILITIES AS AT 31 JULY 2017 Notes 31Jal2017 31 Jul 2016 (12 months) (7 mouths) (5) (S) restated ASSETS Current Assets Cash and cash equivalent Accounts Receivable Prepayments Inventory Total Curreat Assets \begin{tabular}{rr} 14 & 289,753,141 \\ 15 & 114,406,946 \\ 16 & 1,203,897 \\ 17 & 3,441,302 \\ \hline & 408,805,286 \\ \hline \end{tabular} 218,496,89883,468,6431,700,8793,971,882307,638,302 Non Current Assets Term-Loans Receivable Equity Investments Total Non Current Assets TOTAL ASSETS \begin{tabular}{lr} 18 \\ 19 & 481,928,586 \\ 440,342,400 \\ \hline 922,270,986 \\ \hline 1,331,076,272 \\ \hline \end{tabular} LIABILITES Current Liabilities Accounts Payable Deferred Income Trast fund account Term Loans Payable - Treasury Bills Term Loans Payable - Overseas Loans Term Loans Payable - Domestic Loans Total Current Liabilities \begin{tabular}{crr} 20 & 95,014,885 & 100,948,253 \\ 21 & 5,115,009 & 3,230,049 \\ 22 & 197,199,489 & 143,329,585 \\ 23(a) & 94,884,303 & 163,844,780 \\ 23(a) & 56,630,835 & 52,974,444 \\ 23(a) & 160,729,000 & 99,643,000 \\ \hline & 609,573,521 & 563,970,111 \\ \hline \end{tabular} Non Current Labilities Term-loans Payable Overseas Loans Term-loans Payable Domestic Loans Total Non Current Llabilities TOTAL LIABIITIES EQUITY The accompanying notes form an integral part of these financial stategants. Ministry of Economy Suva, Fiji M5. Makereta Kourote Dated 07 of the month of Aughst, 2019 Permanent Secretary for Ministry of Econony FOR THE PERIOD ENDING 31 JULY 2017 14. Cash and Cash Equivalent All Goverment Ministries/Departments use several overdat aceounts (Drawings) for thoir operations and are cleared on a daily basis to the Consolidated Pund Aecount of government. In addition, several MinistriesDepartments operate and maistain their own bank aceounts for monies held as trust and for those that operate quasi-commercial activities. Funds held by overseas banks are for the various Fiji Enbusier, Trade Missions, Overseas Pension Funds and JP Morgan Accounts. The balanee of Domestic Account has been settled off by the unpresented cheques for ministries/departments as of 31 July 2017 . The value of eheques that were issued but have not been presented to the banks totalled around $82.0 million. The cash and cash equivalent held by the goverament inelades trust fund aceount of $1693 million that are not available for use. The trust fund account inchude deposits, retention monies and true trust aceouat that the Ministry/Department are bolding in trust
