Evaluating and Assigning Appropriate Funds Discussion

Below is a list of items that could appear in a CAFR report.
Legal debt limits and debt margins
10-year trend data
Notes to financial reports
Property tax levy and collection information
Budgetary schedules
Auditor’s report
Letter of transmittal
Description of the government’s financial condition
Financial highlights for the fiscal year
Defined benefit pension plan schedules
The GASB requires that information be reported in certain sections of the CAFR.  For each of the items listed, indicate whether the item would be reported in the following sections and the reason for doing so:
I  –  Introductory section
F –  Financial section
S – Statistical section
MDA  –  MDA portion of the Financial section
RSI – RSI portion of the Financial section
Part B:
Assuming that a government has governmental, proprietary, and fiduciary funds, identify and briefly explain the nine financial statements that must be prepared for the Comprehensive Annual Financial Report.
When conducting a financial analysis, ratios based solely on governmental fund financial statements would not be considered sufficient for assessing economic condition.  Explain why this statement would be true or false.

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