Acid test ratio

Municipalities throughout the country recorded the acid test ratio of 1,2:1 and 1,1:1 during the financial years ended 30 June 2013 and 30 June 2014 respectively.

Current ratio

For both the financial years ended 30 June 2013 and 30 June 2014, municipalities had the current ratio of 1,2:1.

Municipal revenue stream

For the year to 30 June 2014, the largest contributor to the municipal revenue was 'grants and subsidies received' (32,5%), followed by 'sales of electricity' (28,9%), 'property rates received' (14,5%), 'other revenue' (9,6%) (which consists of fines, licences and permits, public contributions and donations, etc.), 'sales of water' (8,5%), 'sewerage and sanitation charges' (3,4%), and 'refuse removal charges' (2,7%).
 
Municipal expenditure patterns

In 2014, the largest contributor to the municipal total operating expenditure was 'employee-related costs' (26,1%), followed by 'electricity purchases' (22,1%), 'depreciation and amortisation' (9,4%), 'other expenditure' (9,3%) (which consists of collection costs, loss on disposal of property, plant and equipment, impairment loss, etc.), 'bad debts' (6,4%),  'general expenditure' (5,9%) (which consists of accommodation, travel and subsistence costs, audit fees, bank charges, consultancy and professional fees, fuel and oil, hiring of equipment, insurance costs, subscriptions and membership fees, telecommunication costs, etc.), 'purchases of water' (5,3%), 'contracted services' (4,8%), 'repairs and maintenance' (4,7%), 'interest paid' (2,5%), 'grants and subsidies paid' (2,3%), and 'remuneration of councilors' (1,2%).