Fundamentals
The methods and systems by which financial transactions are recorded
What is Bookkeeping?
Revenue from earned-income activities
Top-down, Bottom-up, Combination
What is the process of developing a budget?
The rules by which financial transactions are classified and reported
What is account?
Payments from donors designated for particular purposes
What are donor-restricted funds?
Show me the money
Internal numbers versus External numbers
What is Financial Accounting versus Managerial Accounting?
Reserves of 6 to 12 months
What are operating reserves?
Tracks all revenue and expenditures
What is the operating budget?
The process of using information derived from accounting statements to make decisions.
What is financial management?
Funds planned for something specific
What are funds for special purpose?
It concerns the purchase or disposal of long-term physical assets
What is the capital budget?
Value provided to a partner
What are trade benefits?
A gift that is invested
It tracks the flow of cash during the year
What is a cash budget?