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SEPTEMBER 7, 1972 TERRACE BAY NEWS PAGE 9 TOWNSHIP OF TERRACE BAY CONSOLIDATED BALANCE SHEET AS AT DECEMBER 31, 1971 . LIABILITIES 1971 1970 Current liabilities (note 3) $ $ Temporary loans Cash 112,716 80,012 A cunts Poselvable 20,624 20.830 Accounts payable and accrued liabilities 1,52 9,915 0th b Taxes receivable 4,713 11,281 Sher gi fT Atttes Lad] ai Other current assets 136,053 112,123 Capital outlay to be recovered in future years (note 5) 45,561 55,843 ASSETS (note 3) 1971 1970 Current assets Net long term liabilities 45,561 55,843 Reserves and reserve funds 92,264 48,264 Other long term assets Surplus (deficit) and unapplied capital receipts 14,60 19:13 183,614 167,966 in 167,9 TOWNSHIP OF TERRACE BAY NOTES TO FINANCIAL STATEMENTS I, Charges for net long term liabilities : Total charges for the year for net long term liabilities were as follows: Principal peyments $10,282 Interest payments 3,915 $14,197 Of the total charges shown above $2,500 and $7,749 were paid from the general revenues of the municipality and from the special ares account respectively, and are included in expenditures classified under the app- ropriate functional headings. The balance of $3,948 was recovered from the waterworks operating account. 2, Contributions to reserve fund An amount of $Ll, 000 was set aside in a reserve fund for public works capital expenditure. This contribution is included in the statement of revenue and expenditure classified under the functional heading of public works expenditure. 3. Basis of consolidation The consolidated balance sheet reflects the assets and liabilities of the revenue fund, the capital fund and all reserve funds of the municipality. Cemetery trust fund assets of $2,453 which are administered by the municipality have not been consolidated, nor have the assets and liabilities of any local boards or utility services of the municipality. 4, Net long term liabilities Total long term liabilities incurred by the municipality and outstanding at the end of the year amount to $621,561 Of the long term liabilities shown above the responsibility for payment of principal and interest charges has been assumed by the Lake Superior Board of Education for a pringipcal amount of $576,000 Net long term liabilities at the end of the year $ 45,561 5. Capital outlay to be recovered in future years Some capital outlay does not represent a burden on general municipal revenues, as it 1s to be recovered in future years from other sources, Special area for sewer work $ 23,531 Municipal enterprises - waterworks 15,68 $ 39,218 6. Surplus The surplus at December 3I, I97I, shown on the statement of revenue and expenditure and the consolidated balance sheet consists of the following items: General revenue fund surplus $ 7,095 I0 Urban service area surplus $ 14,605 This represents a change in procedure in that in prior years the surplus or deficit did not include that of the urban service area. The service arsa surplus was previously reflected as a liability on the balance sheets. continued next page esecee