Financial Position of an Organization

P‌‍‍‌‌‍‌‌‌‌‌‍‍‍‌‌‌‌‍lease use word document and excel document to answer the following case questions. The assignment requires both a two page paper and excel documents to be filled.

Case Question # 1: Using the EXCEL file labeled “80Center,” please complete Chart #3 (Reformatted Statements of Financial Position).

CaseQuestion # 2: Using the information provided in the EXCEL file labeled “80Center” (5 charts), please describe the current financial position of 80 Center. Please limit your response to 2 typewritten pages for this question.

CaseQuestion # 3: Using the information provided in the EXCEL file labeled “80Center”(5 charts), please identify five (5) initiatives that are “reasonable” and “achievable”(at least four must come from program ideas) that the organization could complete in 2012. Try to avoid harming clients and staff with any initiative if possible. Please show the financial calculation for each new initiative with its accompanying rationale. The initiatives should substantially improve the financial position – please define “substantially” and explain WHY you chose the projected surplus amount that you did for FY 2012. Finally, complete Chart # 6 in the EXCEL file labeled “80 Center.” Please limit your response to 3 typewritten pages (excluding calculations and the completed chart).At the end of May 2011, Mary reflected upon her major programmatic and financial problems as well as opportunities. She decided to list them. Here is her list: (1) The Chairperson of the Board’s Finance Committee has been troubled by the “annual draw” that is being taken each year from the endowment. She thinks that it is too large and should be reduced. She has asked Mary to advise her on the issue.

Case Question # 4: Please complete the chart labelled “80 Center Investments” by inserting numbers where there are question marks in the chart. Also, using the data shown in the EXCEL file labeled “80Centerinvestments”, what advice would you give the Chairperson of the Board’s Finance Committee? WHY? Please limit your response to 2 typewritten pages, and please show calculations.

 (2) The Chairperson of the Board has refused to increase the annual giving requirement for board members. She has said that the “get” requirement (Board Members introducing Mary to various individuals, foundations, and corporations) may increase but not the “give” requirement.

 (3) Mabel Lewis, the Chief Operating Officer had recently told Mary that two or three programs were having difficulty delivering quality services to their clients.

 (4) Henry Clay, the Commissioner of Social Services for the state of Ohio has asked Mary if she would consider “merging” with any of four social service agencies. The agencies were: A. Meislin Inc. The organization was founded in 1997 by a dynamic young entrepreneur. Its purpose was to serve the undocumented immigrant population of Cincinnati. Most of the programs provide adequate service to the clients; some of the programs, e.g. the translations’ program, has serious issues with client delivery and service. Please see the EXCEL file labeled “Meislin Inc.” for the financial history and the current financial situation. Case Question # 5: Please describe the financial position of Meislin, Inc. Should Mary agree to merge with this organization? WHY, or WHY NOT? Please provide financial AND programmatic reasons. Please limit your response to 2 typewritten pages. B. Pace, Inc. The organization was founded in 1982. The current Executive Director was formerly the Program Director. Various outside observers have consistently praised the programs as delivering quality services to clients. Approximately four years ago, the State of Ohio audited a specific program’s revenue claims resulting in a disallowance of approximately $2.0 million . The State of Ohio and Pace, Inc. recently‌‍‍‌‌‍‌‌‌‌‌‍‍‍‌‌‌‌‍ agreed to a 20 year repayment plan with an interest rate of 3% annually on the declining principal balance. Please see the EXCEL file labeled “80Centerpaceinc” for the financial history and the current financial situation. Case Question #6: Please describe the financial position of Pace, Inc. Should Mary agree to merge with this organization? WHY, or WHY NOT? Please provide financial AND programmatic reasons. Please limit your response to 2 typewritten pages. C. Davon + 23 Inc.The organization was founded in 2005. It provides a variety of services to the “Blackstone” neighborhood in Cincinnati. The neighborhood is thought to be the poorest section of the city. The organization was founded by a charismatic neighborhood resident who has lived in the area since her birth. She has very strong ties to powerful members of the Cincinnati City Council and to the current Mayor. From 2005 through 2008, she received ever increasing grant amounts from the City government however in 2009 with the weakening economic climate, she was not able to sustain that growth. The board of directors are individuals who live in the ‘Blackstone” neighborhood. A recent program audit conducted by the Controller of the City of Cincinnati showed various problems in the quality of services delivered to the organization’s clients. The Executive Director responded to the program audit by stating very clearly that “the Controller is preparing to run for Mayor in two years and needs some “dirt” to hang on to; our programs are the very best and provide a quality service to each client”. Please see the EXCEL file labeled “Davon + 23 Inc” for the financial history and the current financial situation.

Case Question #7: Please describe the financial position of Davon + 23 Inc. Should Mary agree to merge with this organization? WHY, or WHY NOT? Please provide financial AND programmatic reasons. Please limit your response to 2 typewritten pages. D. Jenkins House, Inc. The organization was founded in 1985. It provides a multitude of services to a primarily middle class population residing in the “Middletown’ neighborhood of Cincinnati. The current Executive Director is a very experienced professional who has served as executive director in a variety of similar organizations throughout the United States. He has been with Jenkins House for the past 14 months. Jenkins House has an excellent reputation with all the major funders in Cincinnati. Approximately four years ago, the funders came together and decided to give Jenkins House much more latitude in how it spent the funders’ donations. The funders of both earned revenue and contributed revenue decided to give their grants and donations based on some general programmatic and financial goals that the organization was to complete over the next few years. The goals were not specific to programs; they were related to the organization as a whole, e.g. provide “very good” service to clients; have an operating financial surplus each fiscal year. Please see EXCEL file labeled “80Centerjenkinshouse” for the financial history and the current financial situation. Case Question #8: Please describe the financial position of Jenkins House, Inc. Should Mary agree to merge with this organization? WHY, or WHY NOT? Please provide financial AND programmatic reasons. Please limit your response to 2 typewritten pages. (5) Susan Smythe, Development Officer had an idea for a new Special Event that could bring in some additional net revenue (new revenue less new expense) for FY 2012 to help the budget situation. Case Question #9: Using the data shown in the EXCEL file labeled “80Centerspecialevent,” please answer the following questions: (1) Will the special event show a net contribution to overhead (new revenues less new expenses). Please show calculations. (2) Do you think that Mary should approve Ms. Smythe’s proposal for the sp‌‍‍‌‌‍‌‌‌‌‌‍‍‍‌‌‌‌‍ecial event? If so, WHY? If not, WHY NOT? Please limit your response to both questions to 2 typewritten pages.

• Financial Position of an Organization