C153718 Financials 2010

• Contract/PO #: C153718
• Contractor Name: Pinewood Springs Water District
• Contract Type: Loan
• Loan Projects - Doc Type: Report

Morgan County Quality Water District
' '� Y P.O. BOX 1218
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FORT MORGAN, C
Bus: [phone] OLORADO 80701
IFax: [phone]
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Mana ements Discussion and Analysis alysis (MD&A)
' The management of Morgan County Quality Water District (District) offer
readers of our financial statements the following narrative overview and
analysis of our financial activities for the year ended December 31,
II2010.
Basic Financial Statements; Our basic financial statements are prepared
II using proprietary fund accounting (enterprise fund) . The District is
operated under one enterprise-fund. Under this method of accounting, an
economic resources measurement focus and an accrual basis of accounting
II is used-.
Revenue is recorded when earned and expenses are recorded when incurred.
The basic financial statements include a statement of net assets; a
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I statement of revenues, expenses and changes in net assets; and a
statement of cash flows . These are followed by notes to the financial
statements .
IIThe statement of net assets presents information on the District' s assets
and liabilities with the difference between the two reported as net
I assets . Over time, increases or decreases in net assets may serve as a
useful indicator of whether the financial position of the District is
improving or deteriorating.
II The statement of revenue, expenses, and changes in net assets reports the
operating revenues, expenses, non-operating revenues, and non-operating
expenses of the District for the fiscal year with the difference - the
II net income or loss-to determine the net change in- assets for the fiscal
year. That change combined with the net assets at the end of the
previous year equal the net assets at the end of the current fiscal year.
IIThe statement of cash flows reports cash and cash equivalent activities
for the fiscal year resulting from operating activities; capital and
I related financing activities, non-capital and related financing
activities and investing. The net result of these activities added to
the beginning of the year cash balance total equal the cash and cash
IIequivalent balance at the end of the current fiscal year
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