Reaction of the futile cycle:-

A) An  adequate level of  cAMP  stimulates formation of  the  inactive  'D'  form  of glycogen synthase and the active form of phosphorylase. Thus, glycogenesis is limited and glycogenolysis is increased.

B) With a low level of CAMP,  the active I form of glycogen synthase predominates and  the active  form  of phosphorylase kinase  is  low  because  the  common phosphorylating enzyme, cAMP  dependent protein  kinase,  is  inactive. There, glycogenesis is increased and glycogenolysis is decreased.