General
A tax on an entity that is typically tax-exempt.
What is unrelated business income tax?
This standard setting body provides guidance for nongovernmental not-for-profit organizations.
What is FASB?
This is the basis of accounting for both public and private colleges and universities.
What is the accrual basis of accounting?
This type of service is never recorded as revenue.
What is Charity Care?
The organizational forms available to a Not-for Profit.
What is:
1) Nongovernmental - Taxable
2) Nongovernmental - Nontaxable
3) Governmental - General Purpose
4) Governmental - Special Purpose?
These are the three characteristics for determining if a not-for-profit entity is governmental or nongovernmental.
What are:
1) Board members determined by popular elections;
2) dissolution of NFP results in net assets reverting to one government; or
3) the entity has the power to enact a tax levy?
When a student provides a housing deposit to the university, it should be recorded in this account.
What is Deposits Held in Custody for Others (a current liability account)?
This is a type of account where a governing board of a NFP hospital can set aside funds for the eventual construction of a hospital addition.
What is "assets limited as to use?"
These entities are supported by a small number of donors.
What is Private Foundations?
Net Assets Released from restrictions appears on this financial statement.
What is Statement of Activities of a nongovernmental not-for-profit?
This is how we record tuition refunds.
What is directly against tuition & fees revenue?
Tuition and Fees Receivable DR
Tuition and Fees – Unrestricted CR
This type of hospital will include a Statement of Changes in Net Assets in its financial statements.
What is a NFP Hospital?
The tax form reported to the IRS by non-profit entities.
What is the Form 990?
This type of gift or pledge would NOT be recorded as revenue at the time the promise to give was made.
What is a conditional promise?
These are different types of mechanisms to provide benefits to both the organization and another beneficiary.
What are split interest agreements?
This is a measure used by NFP hospitals to make it possible to compare for-profit facilities with not-for-profit facilities.
What is performance indicator?
Donors and creditors use this performance measure to assess if a not-for-profit is using its resources to accomplish its mission or goals.
What is program effectiveness ratio? (Program Expenses / Total Expenses)
These are the 2 requirements for recording volunteered services as revenue.
What are:
1) Create or enhance nonfinancial assets; or
2) Volunteer provides specialized skills that the entity would have had to purchase if the volunteer did not donate his or her time?
This type of college or university must report expenses by functional classification.
What is private colleges and universities?
Hospitals will adjust revenues based on the contractual obligations with insurance companies. This adjustment will be reflected in these accounts.
What is a DR to Contractual Adjustment and CR to Accounts Receivable?