Research CaseRevenue and Expense/Expenditure Classification. Locate a

comprehensive annual financial report (CAFR) using a city's Web site.

311 Research CaseRevenue and ExpensefExpenditure Classication. Locate a comprehensive annual nancial report (CAFE) using a city's Web site. Many cities, particularly those with a population greater than 25,0(D, publish their CAFRs on the city's ofcial Web site. At the city's Web site, access a list of the city's departments and select \"Department of Finance,\" or the one most similar to that name. With a little navigation, the CAFRs link can usually be located. Examine the city's government-wide statement of activities and statement of revenues, expenditures, and changes in fund balancesgovernmental funds and prepare a brief report responding to the following questions. :1. Referring to the government-wide statement of activities, explain how the program revenues and expenses are classied. Are expenses and program revenues reported using a function or program classication? Do any func- tion or program categories show net revenues, or do they all show net expenses? Is the fact that most, if not all, functions or programs show a net expense a problem? Why or why not