Reference no: EM133094053
Question - Assume the following information was derived from the fund financial statements prepared by the city of Tallahassee, Florida for the fiscal year ended September 30, 2019:
City of Tallahassee General Fund Balance Sheet (in thousands)
Assets:
Cash and cash equivalents $2,480
Due from other governments 0
All other assets 11,848
Total assets $14,328
Liabilities:
Total current liabilities $11,287
Fund balance:
Non-spendable 1,500
Committed 0
Assigned 0
Unassigned 1,541
Total fund balance 3,041
Total liabilities and fund balance $14,328
City of Tallahassee General Fund Statement of Revenues, Expenditures, and Changes in Fund Balance (in thousands)
Total revenues $109,901
Total expenditures 164,473
Excess of revenues over (under) expenditures -54,572
Other financing sources (uses):
Transfers in 49,597
Transfers out -21,522
Proceeds from sale of capital assets 430
Total other financing sources (uses) 28,505
Net change in fund balance -26,067
Fund balance, October 1, 2019 29,108
Fund balance, September 30, 2019 $3,041
Assume the city of Tallahassee's total tax-supported debt service expenditures in fiscal year 2019 were $7,940 thousand. The schedule of debt service requirements in the notes to the 2019 financial statements showed that Tallahassee's total governmental activity debt was $96,125 thousand, of which $37,515 thousand was scheduled to be paid off between 2020 and 2024, $17,475 thousand was scheduled to be paid off between 2025 and 2029, and the remainder was scheduled to be paid off between 2030 and 2039.
Required -
a) Calculate the debt service burden?
b) Calculate the percentage of debt principal payback in the next five years?
c) Calculate the percentage of debt principal payback in the next ten years?