Budget
What is a plan for earning revenue and spending?
Budget?
What report is a snapshot of the financial health of a program?
Balance Sheet
What does the cash flow statement tell you?
Cash coming in and Cash going out
Fill in the blank
The income statement may also be called the ______ and _______statement.
Profit and Lose Statement
What are internal controls?
Processes to help manage risks in business.
What is a recommended percentage of capacity that the provider should budget for enrollment?
85%
What are the key components of a balance sheet?
•Assets
•Liabilities
•Net Worth
How often should cash flow statements be reviewed?
Monthly
What are the key components of an income statement?
•Revenue
•Expenses
•Net Income
Name one step in the internal controls cycle.
Review processes & assess risks
Make adjustments to manage risks
Communicate new processes to others involved
Monitor processes
Name two sources of income for providers.
•Tuition and fees
•Subsidy
•CACFP
•Donations and In-kind
•HS/EHS Partnerships
What does the balance sheet tell providers?
Long-term health and sustainability of their program.
What are the key components of a cash flow statement?
•Cash received
•Cash paid
•Cash remaining
What is the difference between a budget and an income statement?
Budget = Estimate
Income Statement = Actual
Involving more than one person in a business activity is called.
Separation of Duties
What is the first step in the budget process?
Review the previous years’ financial reports.
How often should the balance sheet be reviewed?
Quarterly
True or False
A negative cash flow means that less cash was received than paid out.
True
Name three program expenses.
•Rent
•Food
•Utilities
•Materials
•Staff salaries
This process requires either prior approval or authorization from a second person before certain business transactions.
Authorizations and Approvals
What should be used to help make budget decisions?
Data
What is the difference between a balance sheet and an income statement?
A balance sheet shows assets, liabilities and equity.
An income statement shows income, expenses and net income.
What is the difference between the cash flow statement and an income statement?
The income state shows what has been billed or paid. The cash flow statement shows what has been processed (paid or received).
What is the net income formula?
Revenue – Expenses = Net Income
A data protection policies and procedures should be in place for what type of data.
Sensitive paper files and electronic information