Accountants' Handbook, Volume Two, Special Industries and Special Topics, 12th Edition

Chapter 28

Not-for-Profit Organizations

The author wishes to acknowledge that the exhibits and inspiration for this work were derived from Financial and Accounting Guide for Not-for-Profit Organizations, 6th ed., (New York: John Wiley & Sons, 2000) by PricewaterhouseCoopers LLP, Malvern J. Gross Jr., Richard F. Larkin, and John H. McCarthy.

Richard F. Larkin, CPA

BDO USA, LLP

28.1 Not-for-Profit Accounting Environment

(a) Current Status of Accounting Principles

(i) Decisions

(ii) AICPA Audit Guides and Other Guidance

(iii) Projects in Process

(b) Government Audit Requirements

28.2 Not-for-Profit Accounting Principles and Reporting Practices

(a) Principal Accounting and Reporting Requirements

(b) Basis of Accounting: Cash or Accrual

(c) Fund Accounting

(i) Relationship of Funds and Classes

(d) Reclassifications

(e) Appropriations

(f) Fixed Assets

(i) Fixed Assets Where Title May Revert to Grantors

(g) Depreciation

(h) Investments and Investment Income

(i) Investment Income

(ii) Gains and Losses on Investments

(i) Contributions

(i) Expendable Support

(ii) Gifts in Kind

(iii) Support Not Currently Expendable

(iv) Transfers of Assets to a Not-for-Profit Organization or Charitable Trust That Raises or Holds Contributions for Others (SFAS No. 136; ASC Topics 958-605 and -20)

(j) Taxes

(k) Related Organizations

(i) Definition of the Reporting Entity

(ii) Pass-Through Gifts

(l) Mergers and Acquisitions

(m) Cash Flows

(n) Governmental versus Nongovernmental Accounting

28.3 Specific Types ...