• What accounting system does the unit use – cash, accrual, or modified accrual?
• How much is the total assets for the current year? Prior year? Was there an increase or decrease? What items caused the increase or decrease?
• How much is the total assets for the current year? Prior year? Was there an increase or decrease? What items caused the increase or decrease?
• How much is the total equity for the current year? Where does the unit’s equity come from?
• Was there a margin or loss for the period?
• Where does the unit’s source of income come from?
• What are the major expenses of the unit?
• How much is the net cash flows from operating activities? Investing activities? Financing activities?
4. Based on the above, write a summary report on the following:
a. Financial condition (based on the balance sheet)
b. Financial performance (based on the income statement)
c. Changes in equity
d. Cash flows
5. As a financial manager, how would you assess your unit/agency’s financial health? You may identify factors that would support your assessment. What improvements can you recommend?
Note: Attached is the financial statement