Adopted Budget Book FY 23-24 Final with TOC links - Flipbook - Page 390
Appendix → glossary
Glossary
This glossary provides definitions of various specialized terms used in this budget document that
may not be familiar to all readers. Also provided are the meanings of technical acronyms used.
Account: A classification of appropriations by expenditure account code.
Accrual Accounting: A system that recognizes revenues and expenses as they occur, regardless of
when the final payment is made. This system is used by businesses and certain government funds
operating like businesses.
Annual Comprehensive Financial Report (ACFR): An annual report that presents the status of the
City’s financial situation during the past fiscal year. The ACFR is organized by the fund and contains
two basic types of information: (1) a Statement of Net Assets that compares assets with liabilities and
fund balance; and (2) a Statement of Activities that compares revenues and expenditures.
Ad Valorem Tax: A tax levied on real personal property’s assessed value (net of any exemptions).
Adopted Budget: The financial plan of revenues and expenditures for a fiscal year as approved by
the City Commissioners.
Amendment: A change to an adopted budget may increase or decrease a fund total. The City
Commissioners must approve the change.
Appropriation: Legal authorization is granted to make expenditures and incur obligations for
specific purposes. An allocated time is set in which appropriations can be expended. The City
Commission is the authoritative appropriating body for the City of Eustis.
Approved Budget: The City Commissioner’s Budget is to be legally adopted by state statutes before
the beginning of the fiscal year.
Assessed Property Value: The value set upon property by the Lake County Property Appraiser as
a basis for levying ad valorem taxes.
Audit: A financial audit is an objective examination and evaluation of an organization’s financial
statements to ensure that the financial records are a fair and accurate representation of the transactions they claim to represent. The audit can be conducted internally by employees of the organization or externally by an outside Certified Public Accountant firm.
Balanced Budget: A balanced budget is a financial planning or budgeting situation where total
expected revenues are equal to total planned spending.
Basis of Accounting: Timing of recognition for financial reporting purposes when the effects of
transactions or events should be recognized in the City’s financial statements.
Basis of Budgeting: Method used to determine when revenues and expenditures are recognized
for budgetary purposes.
Beginning Fund Balance: Audited fund balance remaining from the previous fiscal year. These
remaining funds are both unexpended appropriations and the last year’s reserves.
Bonds: A bond is a fixed income instrument that represents a loan made by an investor to a
borrower. Bonds are used by municipalities, states, and sovereign governments to finance projects
and operations. Owners of bonds are debtholders, or creditors, of the issuer.
388
City of Eustis, Florida
Adopted Budget
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