not for profit Flashcards
Statement of Financial Position
Statement of Activities
Statement of Cash Flows
Statement of Functional Expense (Volunteer Health Organizations Only)
Not For Profit Accounting
Similar to Balance Sheet:
Assets
Liabilities
Net Assets
Unrestricted Assets
Permanently Restricted Assets
Temporarily Restricted Assets
Not For Profit Accounting
Similar to an Income Statement - organization - wide:
Revenues
Expenses - ONLY deducted from Unrestricted Revenues
Gains and Losses
Changes in Net Asset classes
Unrestricted
Permanently Restricted
Temporarily Restricted
Not For Profit Accounting
Both direct and indirect methods are OK
Operating Activities - Unrestricted Revenues and Unrestricted Expenses
Investing Activities
Financing Activities - Endowments and restricted contributions
Not For Profit Accounting
Volunteer Health Organizations
Not For Profit Accounting
Balance Sheet
Statement of Operations
Statement of Changes in Net Assets
Statement of Cash Flows
Financial Statement Notes
Not For Profit Accounting
Accrual basis of accounting is used
Only external parties can restrict the use of assets (permanent or temporary)
Assets earmarked internally by management are still classified as unrestricted
Not For Profit Accounting
No restrictions or conditions placed on entity in order to use the resources
Note: assets earmarked internally by management are still unrestricted
Not For Profit Accounting
Revenues on contributions are recognized in the year received - not the year the contribution is spent and are recorded at Fair Value on the date received
Not For Profit Accounting
If the organization would have otherwise paid for them
or
They increase the value of a non - monetary asset
Not For Profit Accounting
NO.
It is disclosed in the notes to the financial statements only.
Not For Profit Accounting
Classified as revenue in the current year only - multi - year future contributions fall under Temporarily Restricted.
Not For Profit Accounting
Expenses ONLY deducted from Unrestricted Revenues - not Temporary or Permanently Restricted Revenues/Assets
Not For Profit Accounting
Use is restricted to a future time - which could then convert to unrestricted - Class: Temp. Restricted Revenue
Unrestricted contributions promised (including multi - year contributions) - but not yet received are actually restricted by time and are therefore classified as Temporarily Restricted Assets - Multi - year contributions are recorded at the present value of the future contributions
Not For Profit Accounting
Use of investment is restricted - but income from investment could be either restricted or unrestricted
Must be under control of receiving entity (Quasi Endowment) in order to be recorded in unrestricted net assets
Otherwise - a memo entry is recorded
Not For Profit Accounting
