• The only methods that ignore salvage value in the annual calculation are the declining balance methods - Min L

    But don't drop below the salvage value - Melonie J


  • All the Fiduciary Funds do not require Cash Flows Stmt. - Min L

  • Remember what is capitalized in land and buildings and what isn’t - Leah J

    Let me elaborate- when land has been purchasedfor the purpose of constructing a building, all costs incurred up to EXCAVATION for the new bldg are considered LAND COSTS. LAND DO NOT GET DEPRECIATED. Following are also LAND COSTS: Clearing of Bush and Trees, Cost of Razing (Tearing Down) an old Bldg (Demolition). - Min L

    Also- Land IMPROVEMENTS are depreciable. Fences, Water Systems, Paving, Landscaping, Lighting. - Min L


  • Liabilities = what you pay, Expenses = what it cost. (Sounds corny and simple but it really helped me out with pensions and leases). Also, effective interest is mostly likely the method forwhatever liability balance you need to calculate, and remember tocalculate the new balance after each payment for EFFECTIVE interest (I'm really talking to myself here lol) - Melonie J

    also remember to depreciate the asset! 75 or 90 is over the lease and transfer title and BPO is over the useful life - Natasha R

  • ONLY the Volunteer Health Organizations are required to present a Stmt of Functional Expenses. - Min L

    For others it is encouraged, but not mandatory - Mohit G

  • When Temporarily Restricted Assets and Unrestricted Assets are available for use- Temporarily Restricted assets are used BEFORE Unrestricted Assets. - Min L

    There will be a reclassification from temporary restricted to unrestricted, then expenses will be deducted from unrestricted - Mohit G

    if terms are met during the year for temporarily restricted assets to become available, Reclassify temporary restricted to unrestricted net assets in that year. Therefore temp assets wold be 0 at year end - Natasha R

  • The MOST significant financial document provided by a Govt is the OPEARATING BUDGET. - Min L

  • Donated Services are normally not recorded because of the difficulty in placing a monetary value. But SOME are recorded as a contribution revenue and expense at Fair Value if : Specialized skills/Otherwise needed by the Organization/Measurable/Easily at Fair Value (SOME mnemonic). - Min L

    Also services which enhance the asset are recorded - Mohit G

    yes even it is is not done by a professional in the church members rebuild damaged church - Natasha R


  • Fundamental Qualitative Characteristics are "Relevance" and "Faithful" Representation. Relevance- "Predict and Confirm Material Value after you pass" (Predictive Value/ Confirmatory Value/Materiality). Faithful Representation- "Completely Neutral isFree from Error" (Complete/Neutral/Free From Error). Enhancing those Qualitative Characteristics are "Compare and Verify in Time to Understand" (Comparability/Verifiability/Timeliness/Understandability). - Min L

  • The Multi-Step Income Stmt reports operating revenues and expenses separately from non operating revenues and expenses and other gains and losses. In the single-step presentation of income from Continuing Operations, total expenses are subtracted from total revenues. (Same bottom line) - Min L

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