To answer these questions, use (June 30) 2017 CAFR for the City of Los Angeles found at www.lacity.org and the (June 30) 2017 annual report for the Los Angeles City Employees' Retirement System (LACERS). The web address for the pension fund (LACERS) can be copied from page 175 of the CAFR for the city.?

QUESTION 1

The city has which of the following fund types (check all that apply)?

		Pension Trust
		Agency funds that are not a tax agency.
		Tax Agency
		Investment Trust Fund

QUESTION 2

Read the plan descriptions of the 3 pension plans operated by the City (Note 5) and match the pension plan with where the pension expense for those employees would be recorded.

- A. B. C.	Pensions
- A. B. C.	LACERS
- A. B. C.	DWP plan

A.	Governmental activities primarily
B.	Both governmental activities and business-type activities.
C.	Business activies

QUESTION 3

Which description below best describes the Pension and Other Postemployment Funds for the city of Los Angeles?

		The Pension Funds have significantly less assets than they do liabilities, which is NOT typical for these funds.
		The Pension Funds have significantly more assets than they do liabilities, which is typical for these funds.
		The Pension Funds have significantly more assets than they do liabilities, which is NOT typical for these funds.
		The Pension Funds have significantly less assets than they do liabilities, which is typical for these funds.
		The assets equal the liabilities in this type of fund.

QUESTION 4

The value of investments held by the Pension Funds:

		Changes in value cannot be determined by the financial statements.
		Increased in value.
		Decreased in value.
		Remained the same value

QUESTION 5

Who contributed more to the pension plans in the current year?

		the city and employees contributed equally.
		Cannot be determined from the CAFR.
		the city.
		the employees.

QUESTION 6

The enterprise funds of the city have:

		a pension liability that indicates the city pension plans are over-funded.
		a pension liability that indicates the total amount owed to enterprise fund employees for pensions.
		a pension liability that indicates the city pension plans are under funded.
		no pension liability reported in the enterprise funds.

QUESTION 7

In addition to accumulating resources to pay pensions, the city is also accumulating resources to pay for health benefits upon retirement.

True

False

QUESTION 8

Compared to 10 years ago, the LACERS pension plan has become:

HINT: Use the Schedule of Funding Progress

		less underfunded
		more overfunded
		more underfunded
		less overfunded

QUESTION 9

Which of the following had the greatest impact on the LACERS net pension liability in the most recent year?

		Service cost
		Interest cost
		Benefit payments
		Total contributions.
		None of these had an impact on the net pension liability.

QUESTION 10

What is the net rate of return earned by LACER plan assets in the most recent year?

		67.8%
		18.2%
		12.6%
		.2%
		0

QUESTION 11

Assume the city is considering transferring some of its pension fund assets to a new high interest investment pool sponsored by the State of California. How would this transaction be accounted for in the city of Los Angeles' financial statements.

		As an investment in the pension fund.
		As an addition in a newly created Investment Trust Fund.
		Both A and B
		This transaction would not be reflected in any of the funds reported in the CAFR.