Government-Wide Financial Statement Analysis

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Government-wide financial statements are important for us as citizens to find out how one particular state and local governments spend their money (tax revenues). Government- wide financial statements use accounting standard that set by the Government Accounting Standards Board (GASB), and those statements can help us to make our own comparisons between publicly funded activities and how well the government is operating currently in the society. There are two financial statements that have to prepare under the government-wide financial statement: statement of net asset and statement of activities.
Statement of Net Assets have two separate columns for Governmental Activities, Business-Type Activities, Totals, and Discretely Presented Component Units.
Separate columns for expenses, program revenues, and net (expense) revenue for Governmental Activities, Business-Type Activities, Totals and Discretely Presented Component Units. The City of Bakersfield government-wide financial statements distinguish between the governmental and business-type activities of the City. Governmental activities that normally are supported by all kind of taxes …show more content…

There is a restriction on net asset that is capital improvements of $21,015,837 for governmental activities and $20,209,227 for business type activities, and they have strong, unrestricted net assets for both governmental activities and business type activities of $213,670,245, $109,292,512 respectively. A large part of their net assets are invested in the capital assets for both governmental activities and the business type activities. Under the government wide financial statement, the statement of net position shows that a large portion of the money is used for investment in capital assets such as: land, buildings, equipment, park facilities, roads, highways, bridges and construction in

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