Using financial report of Intsika Yethu Local Municipality Analyse the following : 1. Sustainability 2. Liquidity 3. Revenue Management 4. Expenditure management

nd INTSINA TETTU MUNICIPALITY STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2019 Actual 2019 Note 2018 Restated R R ASSETS Current Assets Inventories Receivables from Exchange Transactions Receivables from Non exchange Transactions VAT Recolvable Cash and Cash Equnalents Operating Lease Receivables ON AN 83,073,632 50,336 929 4,381.927 5,007,738 4,018,743 19,317,979 10,316 87,854,185 50, 196,293 3,390.961 4,159,296 3,942,531 26,149,385 5 6. 7 15.738 Non-Current Assets Property, plant and Equipment Investment Property 0005 594, 264,301 526,752 664 67,511,638 576,862,862 508,732,646 68,130,217 Total Assets 677,337,934 664,717,047 LIABILITIES 10 11 Current Liabilities Consumer Deposits Provisions Payables from Exchange Transactions Payables from Non-exchange Transactions Unspent Conditional Grants and Receipts 28.112.945 5.254.749 1,809,212 20 999,889 49,095 35,296,300 4,910,255 1,729,068 19.781,043 197 293 8,678,640 12 13 14 Non-Current Usabilities Employee Benefit Liabilities Non-current Provisions 15 7,756,748 5 640,274 2,115,474 6,044,812 4,034,159 2.010.853 16 Total Liabilities 35,868,693 41,341,113 Total Assets and Liabilities 841,469,240 623,375,934 NET ASSETS Accumulated Surplus (Det) 841,489,240 641.489.240 623,375.834 623375.834 17 TotNet As $41.488.240 623,375,934 Find INTSIKA YETHU MUNICIPALITY STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2019 Actual 2019 2018 Restated R Note R 10 224,580,234 7,209,888 78,608 19 REVENUE Revenue from Non-exchange Transactions Property Rates Fines, Penalties and Forfeits Licences and Permits Transfers and Subsidies Interest, Dividends and Rent on Land Earned 226, 127,486 5,563,062 623.053 12,146 218,202,800 1.725, 436 20 21 216,579.359 712,481 26 20 22 23 Rovenue from Exchange Transactions Licences and Permits Service Charges Sales of Goods and Rendering of Services Income from Agency Services Rental from Fixed Assets Interest, Dividends and Renton Land Earned Operational Revenue Gains on Disposal of Property. Plant and Equipment 9,844,065 2.299,826 906.873 254,451 978 211 1,566,128 3,619 262 21,324 24 11,879,235 2,006,147 837,729 65,486 1,964,740 1,214,306 3,220,720 38.406 2,543,700 25 26 27 38 Total Revenue 235,771,550 236,439,469 28 29 217,678,244 112,042,420 16,584,479 27.517 440 1.699,148 30 31 EXPENDITURE Employee Related Costs Remuneration of Councillors Depreciation and Amortisation Impairment Losses Interest, Dividends and Rent on Land Contracted Services Inventory Consumed Transfers and Subsidles Pald Operating Leases Operational Costs Loss on Disposal of Property, Plant and Equipment 32 201,682,294 103,921,683 15,994.187 26,646,571 3,812,347 66 14.300,005 5,104,581 2,720,886 116,219 28,976,811 33 34 35 7,081,130 3,918 291 4,183,877 36 37 38 42,827 890 1,843 700 Total Expenditure 217 878, 244 201,682,294 SURPLUS 1 (DEFICIT) FOR THE YEAR 18.083,306 34 175 Refer to Budget Statement for explanation of budget variances INTSIKA YETHU MUNICIPALITY STATEMENT OF CHANGES IN NET ASSETS FOR THE YEAR ENDED 30 JUNE 2019 Total Funds & Accumulated Total Net Assets Reserves Surplus/ (Deficit) R R R 2018 Balance at 30 June 2017 Correction of Error (Note 39) Restated Balance 546,407,245 42,297,950 588,705,195 546,407,245 42 297 950 588,705,195 Imbalance on prior Financial Position Surplus/ (Dofil) for the year Surplus / Dafit) as per prior 2017/18 AFS Revenus & Expenditure Correction of Error (Note 39) Salance 30 June 2018 (106.435) 34,777,175 40,368,861 (5,591,888) 323,375,935 (106,435 34,777,175 40,368, 861 16.591,688) 823,375,935 2019 Correction of Error (Note 39) Read Balance 823,375,935 823,375,035 18,093,306 18,093.306 Surplus/ (Delic) for the year other Transfers to trom Accumulated Surplus Balance 30 June 2010 841.480, 241 641,409.241 Data on the movement of the Funds and Reserves are set out in Note NA and Note 17 nder INTSIKA YETHU MUNICIPALITY CASH FLOW STATEMENT FOR THE YEAR ENDED 30 JUNE 2019 Actual 2019 2018 Restated R R CASH FLOWS FROM OPERATING ACTIVITIES Receipts Property Rates Transfers and Subsidies External Interest and Dividends Received Other Receipts VAT Receivable/Payable 3,804,920 209,624,250 3,619.252 6,955,848 4,683,682 225.257.999 2,864,480 4,751,985 634,175 (109,805,846) (16 564,479) Payments Employee Related Costs Remuneration of Councillors External Interest and Dividends Pald Suppliers Paid Other Payments VAT Receivable/ Payable (101,514,630) (15,994,167) (65) (23,777,788) (31,511,782) (28,520 380) (47,139,041) (78,212) NET CASH FLOWS FROM OPERATING ACTIVITIES 21,798,311 65,393.890 CASH FLOWS FROM INVESTING ACTIVITIES Purchase of Property, plant and Equipment Proceeds on Disposal of Property. Plant and Equipment (29,678 405) 1.048 708 (49,934,544) 2,643,700 NET CASH FLOWS FROM INVESTING ACTIVITIES (28,829.697) (47,390,844) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from Borrowings Repayment of Borrowings 1.561,354 NET CASH FLOWS FROM FINANCING ACTIVITIES 1,551,354 NET INCREASE I (DECREASE) IN CASH AND CASH EQUIVALENTS (6,831,386) 19,554,400 Cash and Cash Equivalents at Beginning of Porlod Cash and Cash Equivalents at End of Period 26. 149,385 19,317,979 8,584,665 28,149.365 nd INTSINA TETTU MUNICIPALITY STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2019 Actual 2019 Note 2018 Restated R R ASSETS Current Assets Inventories Receivables from Exchange Transactions Receivables from Non exchange Transactions VAT Recolvable Cash and Cash Equnalents Operating Lease Receivables ON AN 83,073,632 50,336 929 4,381.927 5,007,738 4,018,743 19,317,979 10,316 87,854,185 50, 196,293 3,390.961 4,159,296 3,942,531 26,149,385 5 6. 7 15.738 Non-Current Assets Property, plant and Equipment Investment Property 0005 594, 264,301 526,752 664 67,511,638 576,862,862 508,732,646 68,130,217 Total Assets 677,337,934 664,717,047 LIABILITIES 10 11 Current Liabilities Consumer Deposits Provisions Payables from Exchange Transactions Payables from Non-exchange Transactions Unspent Conditional Grants and Receipts 28.112.945 5.254.749 1,809,212 20 999,889 49,095 35,296,300 4,910,255 1,729,068 19.781,043 197 293 8,678,640 12 13 14 Non-Current Usabilities Employee Benefit Liabilities Non-current Provisions 15 7,756,748 5 640,274 2,115,474 6,044,812 4,034,159 2.010.853 16 Total Liabilities 35,868,693 41,341,113 Total Assets and Liabilities 841,469,240 623,375,934 NET ASSETS Accumulated Surplus (Det) 841,489,240 641.489.240 623,375.834 623375.834 17 TotNet As $41.488.240 623,375,934 Find INTSIKA YETHU MUNICIPALITY STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2019 Actual 2019 2018 Restated R Note R 10 224,580,234 7,209,888 78,608 19 REVENUE Revenue from Non-exchange Transactions Property Rates Fines, Penalties and Forfeits Licences and Permits Transfers and Subsidies Interest, Dividends and Rent on Land Earned 226, 127,486 5,563,062 623.053 12,146 218,202,800 1.725, 436 20 21 216,579.359 712,481 26 20 22 23 Rovenue from Exchange Transactions Licences and Permits Service Charges Sales of Goods and Rendering of Services Income from Agency Services Rental from Fixed Assets Interest, Dividends and Renton Land Earned Operational Revenue Gains on Disposal of Property. Plant and Equipment 9,844,065 2.299,826 906.873 254,451 978 211 1,566,128 3,619 262 21,324 24 11,879,235 2,006,147 837,729 65,486 1,964,740 1,214,306 3,220,720 38.406 2,543,700 25 26 27 38 Total Revenue 235,771,550 236,439,469 28 29 217,678,244 112,042,420 16,584,479 27.517 440 1.699,148 30 31 EXPENDITURE Employee Related Costs Remuneration of Councillors Depreciation and Amortisation Impairment Losses Interest, Dividends and Rent on Land Contracted Services Inventory Consumed Transfers and Subsidles Pald Operating Leases Operational Costs Loss on Disposal of Property, Plant and Equipment 32 201,682,294 103,921,683 15,994.187 26,646,571 3,812,347 66 14.300,005 5,104,581 2,720,886 116,219 28,976,811 33 34 35 7,081,130 3,918 291 4,183,877 36 37 38 42,827 890 1,843 700 Total Expenditure 217 878, 244 201,682,294 SURPLUS 1 (DEFICIT) FOR THE YEAR 18.083,306 34 175 Refer to Budget Statement for explanation of budget variances INTSIKA YETHU MUNICIPALITY STATEMENT OF CHANGES IN NET ASSETS FOR THE YEAR ENDED 30 JUNE 2019 Total Funds & Accumulated Total Net Assets Reserves Surplus/ (Deficit) R R R 2018 Balance at 30 June 2017 Correction of Error (Note 39) Restated Balance 546,407,245 42,297,950 588,705,195 546,407,245 42 297 950 588,705,195 Imbalance on prior Financial Position Surplus/ (Dofil) for the year Surplus / Dafit) as per prior 2017/18 AFS Revenus & Expenditure Correction of Error (Note 39) Salance 30 June 2018 (106.435) 34,777,175 40,368,861 (5,591,888) 323,375,935 (106,435 34,777,175 40,368, 861 16.591,688) 823,375,935 2019 Correction of Error (Note 39) Read Balance 823,375,935 823,375,035 18,093,306 18,093.306 Surplus/ (Delic) for the year other Transfers to trom Accumulated Surplus Balance 30 June 2010 841.480, 241 641,409.241 Data on the movement of the Funds and Reserves are set out in Note NA and Note 17 nder INTSIKA YETHU MUNICIPALITY CASH FLOW STATEMENT FOR THE YEAR ENDED 30 JUNE 2019 Actual 2019 2018 Restated R R CASH FLOWS FROM OPERATING ACTIVITIES Receipts Property Rates Transfers and Subsidies External Interest and Dividends Received Other Receipts VAT Receivable/Payable 3,804,920 209,624,250 3,619.252 6,955,848 4,683,682 225.257.999 2,864,480 4,751,985 634,175 (109,805,846) (16 564,479) Payments Employee Related Costs Remuneration of Councillors External Interest and Dividends Pald Suppliers Paid Other Payments VAT Receivable/ Payable (101,514,630) (15,994,167) (65) (23,777,788) (31,511,782) (28,520 380) (47,139,041) (78,212) NET CASH FLOWS FROM OPERATING ACTIVITIES 21,798,311 65,393.890 CASH FLOWS FROM INVESTING ACTIVITIES Purchase of Property, plant and Equipment Proceeds on Disposal of Property. Plant and Equipment (29,678 405) 1.048 708 (49,934,544) 2,643,700 NET CASH FLOWS FROM INVESTING ACTIVITIES (28,829.697) (47,390,844) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from Borrowings Repayment of Borrowings 1.561,354 NET CASH FLOWS FROM FINANCING ACTIVITIES 1,551,354 NET INCREASE I (DECREASE) IN CASH AND CASH EQUIVALENTS (6,831,386) 19,554,400 Cash and Cash Equivalents at Beginning of Porlod Cash and Cash Equivalents at End of Period 26. 149,385 19,317,979 8,584,665 28,149.365