Financial Accounting in Government and Non-Profit Organizations - 2475 Words

Financial Accounting in Government and Non-Profit Organizations (Coursework Sample) Content: Financial Statement Analysis By:Grant Osborne To: Melissa Shirah, CPA ACCT421: Financial Accounting in Government and Non-Profit Organizations November 29, 2014 City of Escondido, Fiscal Years 2013 and 2012 City of San Marcos, Fiscal Year 2013 [Comparable entity] Description of services and activities provided by City of Escondido The city of Escondido provides many services for its residents. According to pages 8 to 9 of Escondido's CAFR for 2013, these services include street and park maintenance, police, fire protection, refuse collection, water utilities, wastewater management, inspection of buildings, planning, zoning, recreational programs, senior centers, libraries and public facility capital improvement constructions. Along with these items, the city also provides community services, information systems, human resources and finance services from its operating departments. Description of the industry environment of Escondido Based on the Principal Employers section on page 175 of Escondido's CAFR for 2013, it appears that the city is primarily focused on services with the Palomar Medical Center, which takes up around 4% of total employment within the city followed by the Escondido Union School District with 2.55%. Escondido itself has municipal employees that comprise 1.48% of the total employment within the city. Other principal employers include Welk Group Inc., Escondido Union High School District, Home Depot, San Diego Wild Animal Park, Nordstrom Inc. and Vons Grocery Stores. Escondido is experiencing high rates of unemployment, around 9.3% as of 2012 according to the Demographic and Economic statistics section on page 174. Furthermore, the per capita income for the same year is around $20,836 for 2012. Compared to 2003, which was $31,600 and 5.2% respectively, this is a sign of weak economic health for the city. Based on this analysis, the high rates of unemployment would have a detrimental impact on the city's ability to generate income taxes from its inhabitants. Financial Analysis over a Two year Period Overall, it seems that the city of Escondido is not doing well in terms of financial health, based on selected ratios. Due to the severe decline in Escondido's Fund balance ratio, from 0.564 in 2012 to 0.273 in 2013, the city is half as able to withstand any decreases in revenues and fiscal emergencies as it could have in the previous year. The current liabilities to the operating revenues ratio is very high, even though it has decreased from the previous year. The recommended amount has to be less than 5%. However, for 2013, Escondido has 19.9% fortheir current liabilities to operating revenues ratio. This indicates that the city would have trouble in paying its debts off, even though this is just comparing current liabilities to operating revenues rather than considering revenues from other sources such as taxes.However, what this does indicate is that the city would possibly rely more on other areas of revenues than operating revenues to pay off their overall liabilities, even tho ugh they have enough to cover them. Also, there is a lot of debt outstanding for the government as a whole which indicates that the governmental entity does not substantially own itself in a fiscal manner. This is apparent due to the fact that, in 2013,net bonds comprise about 137 of the 276 million dollars in total liabilities. Because of this, the city's debt to assets ratio for both 2012 and 2013 was around 0.34. There are some redeeming qualities about Escondido's financials however. First, due to the increase in the revenues per capita, $526.16 in 2013 versus $470.65 in 2012, the government would be able to continue current service levels without trying to obtain new revenue sources, such as increasing the tax rate. The government seems like it can handle its own when it comes to its ability to pay its short- term obligations as they become due. While the current ratio has decreased by 10% from 2012 to 2013, the ratio is still incredibly high at around 17.6 in 2013. This means that the government's current assets are at least 17 times that of its current liabilities, making it more than able to pay off its short-term obligations which is seemingly contrary to its operating revenues ratio. However, this is just for its current liabilities, not long term debt such as its bonds which were an entirely different case. The BTA self-sufficiency ratios for 2013 and 2012 are both more than 1.00, 1.0 35 for 2013 and 1.019 for 2012. This means that the business-type activities run by the city of Escondido are self-sufficient and do not require any other payments from the city, such as taxes and the like that are not related to the business-type activities themselves. Other financial ratios of note are the employees per capita and property taxes per capita. There is barely a change in the number of (municipal) employees per capita, 0.0075 for 2013 and 0.0074 for 2012. Also, for Escondido's CAFR for 2013 and 2012, there is no distinction between part-time and full-time employees. Finally, there are no personnel costs displayed anywhere in Escondido's CAFR for 2013 or 2012. However, based on page 176 of Escondido's CAFR for 2013, the total number of municipal employees have largely remained stable for the past ten years, only spiking in 2006 to 2008, so it seems that these employees are reasonable in number considering this factor. Based on Escondido's property taxes per capita for 2013, taxpayers are burdened with $70.32 in property taxes, up from $68.12 for the previous year. However, the population between these two years barely changed as it increased by 150 from 2012 to 2013, reaching a current total of 146,057. This means that the property tax rate, or other factors, primarily caused the increase. Based on my analysis of the city of Escondido's financial statements using the selected ratios, it appears that the city is in weak financial health. This is largely due to the significant decline in the city's fund balance which, as mentioned before, hinders its ability to deal with decreases in revenue or fiscal emergencies. What's more is that the current liabilities to operating revenue ratio is around four times greater than the 5% ideal ratio.Also, the city has a very high amount of total liabilities, which account for around 34% of its total assets and a significant portion of these liabilities are comprised of net bonds. These factors, even when considering Escondido's high unemployment rate and low personal income per capita, are signs of weak financial health. The fact that the city seems to be taking in a lot of bonds when its own economy doesn't appear to be strong enough to withstand the burden does not appear to be a fiscally sound move based on the selected ratios and the analysis derived from them. Financial comparison to a similar entity for a one year period San Marcos is a city to the west of Escondido that contains a population of around 87,000 and it offers, more or less, the same services as Escondido. This includes police, fire departments, community services, public works and others. Like Escondido, San Marcos' economic environment seems to be service-based with top employers such as United Parcel Service, Wal-Mart store, Inc., Fry's Electronics and others. Of note is Hunter Industries Inc. which has around 2.45% of total employment as of 2013, or 725 total employees. Also, San Marcos has a higher per capita personal income in comparison to Escondido. San Marcos has $49,719 as of 2012 while Escondido has $20,836 in the same year. Also, San Marcos has an unemployment rate of 7.35% in the same year while Escondido has 9.3%. Another notable difference is that San Marcos has only one business type activity, the Creekside Marketplace, while Escondido has at least two which is its water and wastewater services. These factors are taken in to consideration for the financial ratio comparison of these two cities. Escondido takes in far more revenues per capita compared to San Marcos, $526.16 versus $47.15. This is due primarily to the fact that Escondido has far more business-type activities than San Marcos. Escondido has around $76.8 million while San Marcos has only $4.1 million. Escondido also has more employees per capita compared to San Marcos, 0.0075 versus 0.0045. This is probably expected as Escondido has more business-type activities than San Marcos. San Marcos has a far higher general fund balances ratio compared to Escondido, 34.59 to 0.27, which means that San Marcos' government can easily withstand financial emergencies that would appear trivial to it while being catastrophic for Escondido. Since San Marcos has very little operating revenues from its business type activities, its current liability ratio is extremely high compared to Escondido, 310% to 19.9%. However, what is even more apparent is that San Marcos's current liabilities account for nearly half of the city's total li abilities, around $12.7 million out of $23.2 million, indicating that San Marcos has far less long term debt relative to Escondido. On the other hand, the ideal current liabilities to operating revenues ratio should be 5% and neither one of these cities have achieved that ideal benchmark. Since San Marcos' total liabilities are extremely small compared to Escondido's, and that San Marcos' total assets are also greater, the city's Debt-to-assets ratio is only a fraction of Escondido's. San Marcos has a debt-to-assets ratio of 0.024 versus Escondido's 0.343, indicating that San Marcos' assets are primarily funded by sources other than debt. Like Escondido, San Marcos is more than able to pay off its short-term obligations as they become due, though San Marcos is slightly better with a ratio of 20.8 versus Escondido's 17.6. In spite of the fact that San Marcos draws in very little operating revenues from its business-type activities, it is actually more than four times a...

Exoskeletons for Human Performance Augmentation

By definition, an exoskeleton is a skeleton on the outside of the body. One example of an exoskeleton is the hard outer covering that makes up the skeleton of many insects. Today, there is a new invention that claims the name of exoskeleton. Exoskeletons for human performance augmentation is a new type of body army being developed for soldiers that will significantly increase their capacity. An exoskeleton will allow you to carry more without feeling the weight, and move faster too. History of Exoskeleton General Electric developed the first exoskeleton device in the 1960s. Called the Hardiman, it was a hydraulic and electrical bodysuit, however, it was too heavy and bulky to be of military use. Currently, exoskeleton development is being done by DARPA under their Exoskeletons for Human Performance Augmentation Program lead by Dr. John Main. DARPA began phase I of the exoskeleton program in 2001. Phase I contractors included Sarcos Research Corporation, University of California, Berkeley, and the Oak Ridge National Laboratory. DARPA selected two contractors to enter the program’s second phase in 2003, Sarcos Research Corporation and the University of California, Berkeley. The program’s final phase, which began in 2004, is being conducted by the Sarcos Research Corporation and focuses on the development of a fast-moving, heavily armored, high-power lower and upper body system. Sarcos Research Corporation The Sarcos exoskeleton being developed for DARPA utilizes a number of technological innovations, including. A combustion-based driver to support advanced hydraulic actuators that produce robotic limb movements with very high strength, speed, bandwidth, and efficiency.A control system that allows the operator to move naturally, unencumbered and without additional fatigue, while the exoskeleton carries the payload. Application-specific packages can be attached to the exoskeleton. These packages could include mission-specific supplies, protective outer coverings capable of operation in extreme threat and weather conditions, various electronic systems, weapons, or supplies and instrumentation for medical support and surveillance. The exoskeleton could also be used to move material in places inaccessible to vehicles, on board ships, and where forklifts are not available.

Analysis of Article Never Say Anything a Kid Can Say by...

What is the most effective way to teach? Can students really learn and fully understand the material teachers convey to them on a day to day basis? According to a middle school mathematics teacher, his methods of teaching the traditional way was not as effective and producing a long-term impact as he would have liked. The article Never Say Anything a Kid Can Say! enriches us to the possibility of applying slight gradual modifications to our teaching methods and how we could find ways to utilize that information in the search for more effective teaching methods to encourage students to explain their thinking and become more deeply involved in the classroom discussions, thus developing their questioning skills (Reinhart, 2000). After†¦show more content†¦In order for him to accomplish this, he focused more on the five questioning strategies: never say anything a kid cant say, ask good questions, replace lectures with sets of questions, use more process questions, and to be pat ient. He stressed the importance of teachers not only asking quality questions that guided a students thinking abilities but to also allow students the time they need to actually think through their observations to arrive at an answer they are most confident in (Reinhart, 2000). I liked his wait time approach, as it is important for us to always give our students time to process their understanding of the question to arrive at their answers rather than always asking a question and calling upon the first hand we see. I agree because often times, students who are timid do not want to be called on so they either do not complete the work to arrive at an answer and if they do not know the actual answer, they do not know the proper steps they need to take in order to arrive at the right answer. This method can be productive for both the students and the teacher. I can see some positive aspects of Reinharts position of a student-based teaching method. It promotes self-confidence in the stu dents. Students at this level are more peer-conscious and if

Auguste Comte Theory on Sociology free essay sample

Furthermore, Comte argued that sociology could become a social physics — i. e. , a social science on a par with the most positivistic of sciences, physics. Comte believed that sociology would eventually occupy the very pinnacle of a hierarchy of sciences. Comte also identified four methods of sociology. To this day, in their inquiries sociologists continue to use the methods of observation, experimentation, comparison, and historical research. While Comte did write about methods of research, he most often engaged in speculation or theorizing in order to attempt to discover invariant laws of the social world.Comtes famed law of the three stages is an example of his search for invariant laws governing the social world. Comte argued that the human mind, individual human beings, all knowledge, and world history develop through three successive stages. The theological stage is dominated by a search for the essential nature of things, and people come to believe that all phenomena are created and influenced by gods and supernatural forces. We will write a custom essay sample on Auguste Comte Theory on Sociology or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Monotheism is the ultimate belief of the theological stage. The metaphysical stage is a transitional stage in which mysterious, abstract forces (e. g. nature) replace supernatural forces as the powers that explain the workings of the world. The positivist stage is the last and highest stage in Comtes work. In this stage, people search for invariant laws that govern all of the phenomena of the world. Comte also used the term positivism in a second sense; that is, as a force that could counter the negativism of his times. In Comtes view, most of Western Europe was mired in political and moral disorder that was a consequence of the French Revolution of 1789. Positivism, in Comtes philosophy, would bring order and progress to the European crisis of ideas.Comtes philosophical idealism thus separates his views from those of his contemporary Karl Marx (1818-1883), who was a materialist. Comtes Sociology Comte separated social statics from social dynamics. Social statics are concerned with the ways in which the parts of a social system (social structures) interact with one another, as well as the functional relationships between the parts and to the social system as a whole. Comte therefore focused his social statics on the individual, as well as such collective phenomena as the family, religion, language, and the division of labor.Comte placed greater emphasis on the study of social dynamics, or social change. His theory of social dynamics is founded on the law of the three stages; i. e. , the evolution of society is based on the evolution of mind through the theological, metaphysical, and positivist stages. He saw social dynamics as a process of progressive evolution in which people become cumulatively more intelligent and in which altruism eventually triumphs over egoism. This process is one that people can modify or accelerate, but in the end the laws of progressive development dictate the development of society.Comtes research on social evolution focused on Western Europe, which he viewed as the most highly developed part of the world during his times. Theory and Practice and Comtes Vision of the Future Comte believed that positivism could both advance science (theory) and change the ways people live their lives (practice). He argued that the upper classes of his time were far too conservative to advocate positivistic change. Women and the members of the working class, however, were well situated to advocate positivism and help to implement its programs of change.Comte viewed the working class as agents of positivistic change because of their ties of affection to their families, res pect for authority, exposure to misery, and propensity for self-sacrifice. Comte thought of his positivism as a counter-force against communism, although the latter could provide a foundation for the former. Comte thought that women would support his positivist program for change largely because women, in his view, were more affectionate, altruistic, and feeling than men.He tended to view men as superior in intellectual and practical matters, and thus better suited to planning and supervising change, while women are better suited to moral matters. Comte did not believe in the equality of the sexes. He saw himself and his proteges as the priests of humanity who would oversee the religion of positivism. Some of Comtes most amusing ideas are found in his plans for the future. Comte envisioned a positivist calendar, public holidays, and temples. He elaborated a plan for his positivist society that included important roles for bankers and industrialists, positivist priests, merchants, manufacturers, and farmers. Comte also envisioned a positivist library of 100 books — titles that he personally selected. He argued that reading other works would contaminate the minds of the people. He also planned to restructure the family to include a father, mother, three children, and paternal grandparents. Comtes Positive Contributions and Weaknesses Ritzer and Goodman identify eight positive contributions that Comte made to sociology