The financial condition of a not-for-profit can be assessed, in part, with traditional financial ratios.

Review the financial statements of the March of Dimes for 2013 as presented in Table 12-8.

1. Comment as best you can (even in the absence of guidelines as to what constitutes norms for comparable foundations) on the fiscal strength of the organization as of December 31, 2013, with respect to:
   1. Liquidity
   2. Burden of debt relative to assets
   3. Adequacy of available resources to meet expenditures
   4. Current fiscal performance as indicated by surpluses or deficits
   5. Riskiness of revenue stream
2. Comparing 2013 versus 2012's results, do you see any changes that could be detrimental to the foundation's ability to achieve its mission?

   Table 12-8 March of Dimes Foundation

   Balance Sheet December 31, 2013, with comparative amounts as of December 31, 2012 (amounts in thousands)
   	Assets			2013	2012
   Cash and cash equivalents				$ 11,647	$ 15,882
   Sponsorships and other receivables				7,882	8,110
   Inventory and other assets				6,200	6,166
   Investments (note 2)				104,074	100,241
   Assets held in trust by others (notes 2 and 4)				11,169	10,052
   Land, building and equipmentnet (note 5)				12,982	15,071
   Total assets				$153,954	$155,522
   Liabilities and Net Assets
   Accounts payable and accrued expenses				$ 10,964	$ 11,484
   Grants and awards payablenet (note 3)				19,331	21,421
   Refundable advances and deferred revenue				1,668	1,408
   Accrued pension and postretirement benefit obligation (note 9)				46,914	114,430
   Total liabilities				78,877	148,743
   Commitments and contingencies (notes 8 and 9)
   Net assets:
   Unrestricted:
   Operating				105,039	106,677
   Accrued pension and postretirement benefit obligation				(46,914)	(114,430)
   Total unrestricted				58,125	(7,753)
   Temporarily restricted (note 4)				3,732	2,711
   Permanently restricted (note 4)				13,220	11,821
   Total net assets				75,077	6,779
   Total liabilities and net assets				$153,954	$155,522
   See accompanying notes to linancial statements
   March of Dimes Foundation Statement of Activities Year end December 31, 2013, with summarized totals for the year ended December 31, 2012 (amounts in thousands)
   	Unrestricted	Temporarily Restricted	Permanently Restricted	2013 Total	2012 Total
   Operating: Activity
   Revenue:
   Campaign contributions and sponsorships	$ 197,980	$ 776	$	$ 198,756	$ 200.988
   Less: direct benefits to donors and sponsors	(14.661)			(14,661)	(14,194)
   Net campaign contributions and sponsorships	183,319	776		184,095	186,794
   Bequests	1,896	193	556	2,645	2,743
   Government, foundation and corporate grants	1,444	1,772		3,216	3,200
   Major gifts and other contributions	3,835	1,835		5,670	6,235
   Contributed materials and services	3,581			3,581	2,600
   Investment return appropriated for operations (note 2)	4,931	269		5,200	5,200
   Program service revenue	1,787			1,787	1,747
   Other	1,323			1,323	1,462
   Net assets released from restrictions	4,283	(4,283)
   Total revenue	206,399	562	556	207,317	209,981
   Expenses (note 7):
   Program services:
   Research and medical support	29,785			29,785	30,360
   Public and professional education	80,267			80,267	83,608
   Community services	53,321			53,321	53,109
   Total program services	163,373			163,373	167,077
   Supporting services:
   Management and general	24,989			24,989	22,701
   Fund raising	27,757			27,757	30,631
   Total supporting services	52,746			52,746	53,332
   Total expenses	216,119			216,19	220,409
   (Deficiency) excess of operating revenue over expenses	(9,720)	562	556	(8,602)	(10,428)
   Non-operating Activity
   Investment return greater than amount appropriated for operations (note 2)	8,484	391		8,875	8,493
   Net increase in fair value of assets held in trust by others		68	843	911	466
   Pension and postretirement credit (costs) other than net periodic benefit costs (note 9)	67,114			67,114	(3,685)
   Change in net assets	65,878	1,021	1,399	68,298	(5,154)
   Net assets at beginning of year	(7,753)	2,711	11,821	6,779	11,933
   Net assets at end of year	$58,125	$3,732	$13,220	$75,077	$ 6,779
   See accompanying notes to financial statements
   March of Dimes Foundation Statement of Cash Flows Year end December 31, 2013, with summarized totals for the year ended December 31, 2012 (amounts in thousands)
   Cash flows from operating activities:				2013	2012
   Change in net assets				$68,298	$ (5,154)
   Adjustments to reconcile change in net assets to net cash used in operating activiities:
   Depreciation				3,142	3,562
   Net appreciation in fair value of investments				(12,139)	(11,136)
   Net increase in fair value of assets held in trust by others				(911)	(466)
   Changes in operating assets and liabilities:
   Sponsorships and other receivables				228	(1,595)
   Assets held in trust by others				(206)	(450)
   Inventory and other assets				(34)	164
   Accounts payable and accrued expenses				(520)	242
   Grants and awards payable				(2,090)	(896)
   Refundable advances and deferred revenue				260	(18)
   Accrued post retirement and pension benefit obligation				(67,516)	5,968
   Net cash used in operating activities.				(11,488)	(9,779)
   Cash flows from investing activities:
   Purchase of fixed assets				(1,053)	(3,630)
   Purchase of investments				(5,861)	(11,684)
   Proceeds from sale of investments				14,167	28,274
   Net cash provided by investing activities				7,253	12,960
   Cash flows from financing activities:
   Proceeds from line of credit				10,000	10,000
   Payments on line of credit				(10,000)	(10,000)
   Payments on mortgage note					(800)
   Net cash used in financing activities					(800)
   Net (decrease) increase in cash and cash equivalents				(4,235)	2,381
   Cash and cash equivalents at beginning of year				15,882	13,501
   Cash and cash equivalents at end of year				$11,647	$15,882
   Supplemental disclosures: Interest paid				$ 65	$ 67
   See accompanying notes to financial statements.