| Author |
| Coe, Charles K. | 1989 |
| Number of Pages: | 254 |
| Public Financial Management |
Abstract |
| Financial management involves several specialties: budgeting anticipated revenues and costs: accounting for |
| the receipt and disbursement of funds once the budget is enacted; purchasing goods and services; investing |
| idle funds; issuing short- and long-term debt to buy equipment and construct facilities; controlling risks from |
| accidents, fire, theft, and liability suits; and after the fiscal year ends, auditing financial transactions for legal |
| compliance and adherence to accepted accounting principle. |
| Why is financial management important? The intensified interest in financial management reflects the fact |
| that these skills are needed by public managers. Knowledge of financial management enables managers to |
| cut through the jargon that surrounds this specialty. Furthermore, a sound foundation in financial management |
| allows managers to use general principles to improve the effectiveness of the organization. For example, |
| management need not necessarily know that accounting entries to debt and credit, but should be aware of how |
| the accounting system supports the budgeting process and how a properly designed chart of accounts can |
| result in more useful management information. Likewise, management need not know the technical mechanics |
| of structuring a bond payment schedule, but should be very familiar with what factors bond rating agencies |
| weigh most heavily in assigning a bond rating. |
| This book is principally directed at two audiences: (1) undergraduates and graduate students seeking a career |
| in public administration, and, (2) already practicing public administrators needing to sharpen their financial |
| analytical skills. Each chapter begins with a brief explanation of why that particular function is important to |
| management and to policymakers. In all of the chapters, in tabular form, are specific management |
| techniques, called applications. Applications that are self-explanatory are presented in the tables. Applications |
| requiring further explanation are also illustrated in the text. At the end of each chapter are problems based on |
| the chapter as well as a recommended biography of additional readings. |