Fiscal Condition Analysis with Excel Research Paper Instructions
Sound fiscal health is imperative to ensuring the effective operation of governments. Thus, governments should periodically assess their financial condition. Performing a financial condition analysis can provide governments with valuable information on the current and future state of their finances. The analysis can highlight potential fiscal problems and provide information necessary for corrective action. By taking action to address weaknesses and strengthen fiscal health, government can better ensure that resources are available to fund the level and quality of services expected by taxpayers
Financial condition is defined as the ability of a government to balance recurring expenditures with recurring revenues, allowing governments to provide necessary services on a continuing basis. A government in good financial condition is able to maintain adequate service levels during economic downturns and is able to develop resources to meet future needs. In contrast, a government in fiscal stress struggles to balance the budget, experiences service disruptions and has limited resources to finance future needs. Maintaining a sound financial condition requires governments to adjust to long-term changes in community needs and develop the ability to plan.
There is no single measure that fully captures the financial condition of a governmental entity therefore it is necessary to take a comprehensive approach that focuses on both external and internal fiscal factors.
There are over 40 standard indicators that can serve as an evaluation basis for the financial condition of a city. Examples of standard indicators for local governments are as follows:
- Total Revenues
- Operating Revenues per Household
- Intergovernmental Revenues as a Percent of Operating Revenue
- Property Tax Revenues
- Sales & Use Tax Revenue per Household
- Restricted Revenues
- Debt per Household
For this assignment, you must develop a fiscal condition analysis of Maumelle, Arkansas analyzing the most recent three-year revenue and expenditures data of Maumelle, Arkansas, utilizing Excel Tools and charts (compute and create tables) to create fiscal condition analysis for Maumelle, Arkansas.
This fiscal condition analysis will focus only on the five (5) of the most important financial indicators for local governments: (1) Total Revenues, (2) Property Taxes, (3) Sales Taxes, (4) Operating Expenditures, and (5) Personnel Costs.
To do this:
Open and save the abbreviated Budget for Maumelle, Arkansas below. It contains all the information you will need to enter into the spreadsheets (Excel).
Hint: After you save the Abbreviated Budget, expand the zoom function to about 200+ to read the figures. The zoom function is located at the bottom right of the document. (probably set to 100%)
When dealing with dollars over time:
Remember, before entering the budgeted amounts in the excel spreadsheets, you need to convert each dollar amount to constant dollars. Due to inflation, the purchasing power of the dollar changes over time, so in order to compare dollar values from one year to another, they need to be converted from nominal (current) dollar values to constant dollar values
The easiest way to do that is to use an inflation calculator, such as the one below.
The number of Households in Maumelle, Arkansas are as follows:
2020 = 4,394
2019 = 4,046
2018 = 3,782
Use the following spreadsheets (Excel). They are interactive, so when you replace the appropriate figures in the spreadsheet with the data for Maumelle, Arkansas, the data and graphs will automatically be updated to correspond with the data you entered. In most exercises, you must enter both the dollars in the budget and the constant dollar amounts (2020 Dollars).
The spreadsheets contain budgetary figures for illustrative purposes. The figures are not reliable. Thus, you must enter the appropriate budget figures in real and in constant dollars (2020) in each of the cells.
PS. If you submit spreadsheets and charts containing the illustrative budgetary figures, you will fail this assignment.
Open and save the following spreadsheet (Excel) format-to be used later
Hint: After you save the Excel spreadsheet, expand it by clicking on the little square icon at the upper right top of the green bar of the spreadsheet (next to the X). So, you can see the three tabs at the bottom of the spreadsheet (2018, 2019. 2020).
Now, develop a Fiscal Condition Report. Use the Fiscal Condition Report as a template. You will be conducting a partial fiscal condition analysis, as all the components will not be analysis, just the five (5) above.
Open and save the Fiscal Condition Report-to be used later
USE the format as a template for your report.
The Trend Analysis Report is an applied research report, not a traditional academic report. Most applied research report have a prescribed format that must be followed. Following a prescribed format in an applied research report is required. Following the prescribed format is not plagiarism. Plagiarism would occur in copying the tables and charts and the analysis.
Use the wording and format of the report as is. You need to insert the tables and charts in the appropriate places in the document and write the concluding comments that should focus on analyzing the data and charts.
- All tables and charts must be submitted in an accurate and a presentable format. The table or chart should be self-contained. That is, it should have all the information a reader needs to understand the table or chart. Each table and chart at minimum should have:
- A table or chart number in numerical sequence, using Roman numbers (e.g., Table 1, Table 2, etc. and Chart 1, Chart2, etc.)
- A descriptive title describing briefly what the table/ chart is measuring with each word capitalized except for articles
- A legend describing the variables used in the chart; tables do not need a legend this because they have column and row headings
- Horizontal and vertical axis titles for charts. Axis labels not needed with tables.
- When using dollars, use whole dollars only and make sure the cells include $ sign and number are separated by commas (,)
- Concluding remarks that analyze each of the five sets of tables and charts.
The analysis should focus on the (1) overall trends, (2) their significance, and (3) the implications as they relate to the warning trends. (Do not tell me what is in the tables and charts. I can see that. Tell me how the data relate to the warning trends and what is the significance and implications of that.)
You MUST use the Trend Analysis Report embedded in the Assignment as the format for the research paper. (See it above.)
You MUST submit the Excel worksheet(s) with the research paper.
You will need to expand your research beyond text authors’ comments, which normally are not specific enough to provide sufficient information to help you determine the significance and implications of the conclusions.
Make sure that you support research with scholarly and/or biblical references in APA format.
Note to submit a table in the format shown in the embedded spreadsheets.
To copy a clean table and/or chart from Excel to a Word document, paste as a picture
How Paste as Picture
- Select the area you want to copy.
- Select Copy button in Home tab, click the small arrow below Copy to expand the menu and select Copy and Picture
- In the dialogue box to the right side of the screen,
Under Appearance select As shown when printed andunder Format select Picture
- Select OK
- Switch to the Word document where you want to paste the table or chart and Paste
- The table or chart will be pasted as a picture at the place of the cursor.
This is a Doctoral-level research assignment designed to test your ability to carefully research, effectively organize, and concisely communicate a nuanced understanding of the concepts and issues raised in the assignment. While the minimum page limit is short (as is often the case in public policy/public administration briefings), students are expected to craft efficient, highly substantive papers. You are expected to comport with the highest writing, research, and ethical standards. Additionally, to do well on this assignment, you must conduct high-quality research and offer rich, well-supported analysis; mere opinion or conjecture will not suffice. There must be no careless or simple grammatical errors such as misspellings, incomplete sentences, comma splices, instances of faulty noun/verb agreement, etc. Such errors will result in significant point deductions.
You are expected to have a minimum of 5 sources not including the course textbooks, assigned readings, and Biblical verse(s).