Index

A

• accounting pronouncements adopted/to be adopted, (examples)
• Accounting Standards Codification (ASC) (FASB)
  • overview
• Accounting Standards Update (ASU) 2014-09 (FASB), (examples), defined
• Accounting Standards Update 2014-15 (FASB), (examples), defined
• Accounting Standards Update 2015-07 (FASB) (examples), defined
  • See also fair value measurements (examples)
• Accounting Standards Update 2016-02 (FASB), (examples)
  • defined
• Accounting Standards Update 2016-14 (FASB)
  • ASU provisions with accounting effect
  • cash flow statement
  • defined
  • disclosures of board-designated net assets
  • effective date of
  • expense reporting-related changes
  • expirations of capital restrictions
  • on footnotes
  • goals of
  • highlights of
  • on individual elements of financial reports
  • investment return-related changes
  • liquidity and availability
  • on listing assets and liabilities
  • net assets with donor restrictions, defined
  • net assets without donor restrictions, defined
  • net assets without donor restrictions, temporarily versus permanently restricted
  • operating measure
  • overview (See also financial statements of nonprofit organizations)
  • overview of, (examples), (See also Society of American Associations (example A); Society of American Associations (example B); Society of Analysts and Affiliate (example A); Society of Analysts and Affiliate (example B); United States Charity (example A); United States Charity (example B))
  • Phase 2
  • presentation of underwater endowments
  • on reserves
  • on Statement of Activities
  • on Statement of Cash Flows
  • on Statement of Financial Position
  • on Statement of Functional Expenses
  • types of financial statements
  • understanding update to
• administration requirements, per Uniform Guidance (UG)
• assets
  • current, (examples), defined
  • impairment of long-lived assets, (examples)
  • as key indicator for financial analysis
  • listing
  • noncurrent, (examples), defined
  • reserves
  • See also net assets; Statements of Financial Position
• audited financial statements
  • overview
  • See also Independent Auditor’s Report
• Auditor’s responsibility
  • for Independent Auditor’s Report, (See also Independent Auditor’s Report; opinion (Independent Auditor’s Report))
  • requirements per Uniform Guidance (UG)
• “Audit Requirements” (Uniform Guidance)
• availability. See liquidity and availability

B

• Balance Sheet. See Statements of Financial Position
• basis of accounting, (examples)
• benchmarking
• benchmarks, for reserves
• benefit plans, (examples)
• board-designated net assets, disclosure of, (examples), defined

C

• capital lease, (examples)
• capital restrictions, expirations of
• cash/cash equivalents
  • (examples)
  • as key indicator for financial analysis
  • See also Statements of Cash Flows
• “clean” opinion, of auditors
• comparative data
• comparative ratios
• contributed services, (examples)
• contributions receivable
  • as key indicator for financial analysis
  • overview
  • Society of Analysts and Affiliate, (examples)
  • United States Charity, (examples)

D

• data visualization
• deferred revenue, (examples)
• direct internal investment expenses
• disclaimers
• disclosure, of board-designated net assets

E

• “Emphasis of a Matter” paragraphs
• endowment, (examples). See also underwater endowments
• examples. See Society of American Associations (example 1A); Society of American Associations (example 1B); Society of Analysts and Affiliate (example 3A); Society of Analysts and Affiliate (example 3B); United States Charity (example 2A); United States Charity (example 2B)
• exercises
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• expenses
  • defined
  • direct internal investment expenses
  • expense reporting-related changes made by ASU 2016-14, 7
  • functional allocation, (examples)
  • membership dues/total expenses, as key indicator for financial analysis, (See also membership dues)
  • Notes to Financial Statements, (examples)
  • prepaid expenses, (examples)
  • Statements of Functional Expenses, (examples)
  • Statements of Functional Expenses, overview, (examples)
  • See also Statements of Activities
• expirations of capital restrictions, ASU 2016-14 and
• external audited financial statements
• external investment expenses, defined

F

• fair value measurements, (examples)
• Financial Accounting Standards Board (FASB)
  • Accounting Standards Update 2014-09, (examples)
  • Accounting Standards Update 2015-07, (examples)
  • Accounting Standards Update 2015-14, (examples)
  • Accounting Standards Update 2016-02, (examples)
  • “Revenue Recognition of Grants and Contracts by Not-for-Profit Entities,”
  • updates, overview
  • website of
  • See also Accounting Standards Codification (ASC) (FASB)
• financial analysis
• financial statements of nonprofit organizations
  • benchmarking and
  • financial analysis of
  • footnotes to
  • increasing complexity in nonprofit financial reporting
  • Independent Auditor’s Report, overview
  • internal versus external (audited) financial statements
  • modified and adverse opinions on
  • overview
  • purpose of
  • reading
  • on reserves
  • Single Audit Act and Uniform Guidance
  • Statements of Activities (Income Statement), overview
  • Statements of Cash Flows, overview
  • Statements of Financial Position (Balance Sheet), overview
  • Statements of Functional Expenses, overview
  • supplemental information to
  • types of
  • update to nonprofit reporting model
  • See also Accounting Standards Update 2016-14 (FASB); footnotes/notes; Independent Auditor’s Report; opinion (Independent Auditor’s Report); Statements of Activities; Statements of Cash Flows; Statements of Financial Position; Statements of Functional Expenses
• footnotes/notes
  • overview
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• fundraising
  • financial analysis
  • overview
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)

G

• GAAP (generally accepted accounting principles)
  • departure from, (examples)
  • departure from, overview
  • exceptions, (examples)
  • expenses
  • types of financial statements and
  • underwater endowments
• GAAS (generally accepted auditing standards)
• gains
• goals, achievement of
• Government Auditing Standards (Uniform Guidance)
• grants/contributions receivable, (examples)

H

• headings, of financial statements

I

• Income Statement. See Statements of Activities
• income taxes, (examples). See also Internal Revenue Code
• Independent Auditor’s Report
  • Auditor’s Opinion on Supplemental Information
  • Auditor’s responsibility and
  • disclaimer of opinion
  • modified and adverse opinions
  • overview
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
  • See also opinion (Independent Auditor’s Report)
• indicators, for financial analysis
• inputs, benchmarking
• internal financial statements
  • • defined
    • about
• Internal Revenue Code
  • 501(c), (example)
  • Section 401(k)
• investment
  • (examples)
  • investment return-related changes, to ASU 2016-14
  • as key indicator for financial analysis
  • See also endowment (examples); underwater endowments

L

• liabilities
  • (examples)
  • as key indicator for financial analysis
  • listing
  • See also Statements of Financial Position
• line of credit, (examples)
• liquidity and availability
  • ASU 2016-14 requirements
  • (examples)
  • Notes to Financial Statements, (examples)
• long-term investments, (examples)
• losses

M

• management
  • internal financial statements for
  • organization management statements, overview
  • plans of, (examples)
  • responsibility for the financial statements, (examples)
  • responsibility for the financial statements, overview
• measure of operations, (examples)
• membership dues
  • as key indicator for financial analysis
• modified opinions

N

• net assets
  • classification of net assets, (examples)
  • disclosure of board-designated net assets
  • with donor restrictions
    • defined
    • (examples)
  • permanently restricted
    • (examples)
  • purpose restricted
  • released from restrictions
    • (examples)
  • Statement of Activities
  • Statements of Changes in Net Assets, defined
  • temporarily restricted
  • temporarily restricted net assets, (examples)
  • time restricted net assets
  • unrestricted net assets
  • without donor restrictions
    • defined
    • (examples)
  • See also Statements of Activities; individual examples
• net asset value (NAV), (examples)
• net investment loss, (example)
• nonoperating activities/items
  • (examples)
• nonprofit financial statements. See financial statements of nonprofit organizations
• Nonprofit Operating Reserves Initiative Workgroup
• nonprofit reporting model. See Accounting Standards Update 2016-14 (FASB)
• notes. See footnotes/notes; individual examples from notes
• Not-for-Profit Entities (Topic 958) (FASB Accounting Standards Update 2016-14). See also Accounting Standards Update 2016-14 (FASB)

O

• Office of Management and Budget
• operating measures
• operating reserves. See also reserves
• opinion (Independent Auditor’s Report)
  • adverse opinions
  • Auditor’s Opinion on Supplemental Information
  • modified opinions
  • overview
  • requirements per Uniform Guidance (UG)
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• organization management statements
• “other matter” paragraphs
• outcomes, benchmarking
• outputs, benchmarking

P

• prepaid expenses, (examples)
• profitability, in nonprofit sector
• program/supporting services
  • (examples)
  • as key indicator for financial analysis
• property and equipment, (examples)
• purpose restricted net assets

R

• ratio analysis
• reading, of financial statements
• related party transactions, (examples)
• reserves
• retirement plans, (examples)
• revenue
  • deferred revenue (example)
  • defined
  • (examples)
  • as key indicator for financial analysis
  • revenue recognition(examples)
  • See also Statements of Activities
• “Revenue Recognition of Grants and Contracts by Not-for-Profit Entities” (FASB)

S

• scanning, of financial statements
• Single Audit Act
• Society of American Associations, (example A)
  • exercises
  • Independent Auditor’s Report
  • Notes to Financial Statements
  • opinion
  • overview
  • Statements of Activities
  • Statements of Cash Flows
  • Statements of Financial Position
• Society of American Associations, (example B)
  • exercises
  • Independent Auditor’s Report
  • Notes to Financial Statements
  • opinion
  • overview
  • Statements of Activities
  • Statements of Cash Flows
  • Statements of Financial Position
• Society of Analysts and Affiliate, (example A)
  • Consolidated Statement of Activities
  • Consolidated Statement of Cash Flows
  • Consolidated Statement of Financial Position
  • exercises
  • Independent Auditor’s Report
  • Notes to Consolidated Financial Statements
  • opinion
  • overview
• Society of Analysts and Affiliate, (example B)
  • Consolidated Statement of Activities
  • Consolidated Statement of Cash Flows
  • Consolidated Statement of Financial Position
  • Consolidated Statement of Functional Expenses
  • exercises
  • Independent Auditor’s Report
  • Notes to Consolidated Financial Statements
  • opinion
  • overview
  • specialized ratios
• Statements of Activities
  • defined
  • ratio analysis
  • reading
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• Statements of Cash Flows
  • cash flows from financing activities
    • defined
    • (examples)
  • cash flows from investing activities
    • defined
    • (examples)
  • cash flows from operating activities,defined, (examples)
  • defined
  • direct method
    • defined
    • (examples)
  • indirect method
    • defined
    • (examples)
  • reading
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• Statements of Changes in Net Assets,defined
• Statements of Financial Position
  • defined
  • ratio analysis
  • reading
  • Society of American Associations, (example A)
  • Society of American Associations, (example B)
  • Society of Analysts and Affiliate, (example A)
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, (example A)
  • United States Charity, (example B)
• Statements of Functional Expenses
  • defined
  • reading
  • Society of Analysts and Affiliate, (example B)
  • United States Charity, supplemental schedule, (example A)
  • See also expenses
• subsequent events, (examples)
• supplemental information in financial reports
  • United States Charity Supplemental Information, (example A)
  • United States Charity Supplemental Information, (example B)

T

• tax status, (examples)
• time restricted net assets
• Title 2 Code of Federal Regulations (CFR) Part 200

U

• underwater endowments
  • ASU 2016-14 on
  • complexity of
  • (examples)
• Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) (Title 2 Code of Federal Regulations Part 200)
• Uniform Prudent Management of Institutional Funds Act (UPMIFA),defined, (examples)
• United States Charity, (example A)
  • exercises
  • Independent Auditor’s Report
  • Notes to Financial Statements
  • opinion
  • overview
  • supplemental Schedule of Functional Expenses
  • Statements of Activities
  • Statements of Cash Flows
  • Statements of Financial Position
  • Supplemental Information
• United States Charity, (example B)
  • exercises
  • Independent Auditor’s Report
  • Notes to Financial Statements
  • opinion
  • overview
  • Statements of Activities
  • Statements of Cash Flows
  • Statements of Financial Position
• unrestricted net assets
  • (examples)
  • overview
• U.S. GAAP

W

• With donor restrictions
  • (examples)
  • overview
• Without donor restrictions
  • (examples)
  • overview