Shelter Partnership Inc

According to our text, “Not-for-profit organizations lack a residual ownership claim and the organization’s purpose is something other than to provide goods and services at a profit.” “Because significant resources are provided to governments and not-for-profit organizations, financial reporting by these organizations is important.” (Page 2).

For the final project in ACC380 Accounting for Not-For-Profit, we were asked to prepare a Statement of Activities, a Statement of Unrestricted Revenues, Expenses, and Other Changes in Unrestricted Net Assets along with a Statement of Changes in Net Assets for Lee College which is a private not-for-profit college. In addition to the financial statements, we were also asked to explain the process that was used to prepare the financial statements and to offer an in-depth analysis of the financial health of Lee College.

Under an ABC system, the allocation of costs to products is achieved through at least four analytical steps. Firstly, costs are grouped into activity levels. Secondly, cost drivers are

Under a traditional system, overhead cost is allocated to an activity based on hours or rates for direct labor or machine usage. However, this approach does not clearly indicate how much overhead cost will be needed in order to complete a job through a particular function. ABC methodology is to be used as an alternative to traditional accounting where a business 's overhead costs (indirect costs such as electrical energy consumption for heating or cooling, or indirect cost associated with marketing) are allocated as a proportion of direct costs, to an activity. This approach is unsatisfactory because there can be cases where two activities could absorb the same direct costs

This paper was originally written for Financial Management for Nonprofits 380, taught by Professor Zelhart.

It is the utmost concern of the leadership in the nonprofit to guide the organization through financial control. Through the guidance of the board of directors and officers, the organization aims to achieve its mission and vision. This accomplishment cannot be done without the strategic plan of financial control put into place by the leadership. It is important to set up internal controls and according to the Council of Nonprofits, financial management practices that are systematically used to prevent misuse and misappropriation of assets, such as occur through theft or embezzlement" (Council of Nonprofits, 2016). Leaders in the nonprofit world would do well to ensure they are following all the standards of best business practices and remaining accountable to the board, state, and

There are millions of not-for-profit (NFP) organizations. Each organization has their own definitive set of rules on handling donor gifts. Every time a donor gift is made to a NFP; determination is needed on whether or not the gift needs to be restricted or unrestricted. There are times that gift donations are made at the end of the year so that the donor is able to file on their taxes. The NFP organization needs to have a certified public accountant (CPA) that can get involved in how the donation is given. The direct pupose of this paper is set up to explain the different acconting processes of NFP organizations.

3. Under the new activity-based costing (ABC) system, compute the indirect cost allocation rates for each of the three activities:

An organization costing system is a system that helps the management with the strategy planning while the system plays an important role in providing accurate cost information about the products and customers (Curtin, 2006). UPS utilizes the Activity-Based Costing (ABC) system. ABC assumes that activities cause costs and that cost objects create the demand for activities (Marx,

We will examine the given data from the case and compare the unit costs from the company’s current costing system (traditional costing) and from activity-based costing. We will also highlight other qualitative data in consideration with the numerical factors that may result to a significant change on our recommendation.

John Paola, Iraqi Veteran, Currently couch surfing in his brothers one-bed room apartment after a very difficult divorce. John has been suffering from PTSD for the past 3 years, since returning from a 9months deployment to Iraq, john has been depending on his wife, and disability he got from Department of Veteran Affairs (VA), Can not keep a job longer due to disability . After several confrontational incident with his brother’s girlfriend and determined to overcome tough times John came to HomeFirst of Santa Clara (Agency, a homeless shelter) to seek help.

Financially healthy nonprofits use income-based, rather than budget-based spending which allows them to have income projections that are realistic and helps to determine realistic costs (Zietlow, Seidner, 2014). The most successful nonprofit should have an operating reserve to finance shortfalls and hopefully allows them to have a positive cash flow at the end of the year (Zietlow, Seidner, 2014). However, most nonprofit organizations fight to manage cash flow due to how income and the expenses often may occur at different times, so that there may not be enough cash to pay for the expenses as they become due and payable (Zietlow, Seidner, 2014).

The purpose of this paper is to answer a few important questions: Why do companies allocate costs? How do companies allocate costs? And how this cost allocation can affect the decision making of the company. It is important for the companies to find the proper method to allocate the costs. Cost allocation is an important issue in many companies because many of the costs associated with designing, producing and distributing products and services are not easily identified with the products and services that are created. It would have been easier for companies to allocate cost if costs were directly traceable with the products and the cost allocation would have been minor issue for the company. The decision-making

A Non-profit Organisation (NPO) is an establishment that uses its funding for the pursuit of a specific purpose such as for a charitable cause (Lorette, 2015). It is different from a for-profit organisation as its objective is to provide greater good to the society rather than to maximise the wealth of its stakeholders. The surplus revenues of an NPO are used for either its expansion, self-preservation or plans and no part of the profit is distributed to its members. NPOs are increasingly starting to operate like traditional business organisations as strategic planning and marketing is imperative for their survival.

The value of an organization is what the organization is worth. It’s value today is available cash, expected future cash flows which would accrue to the owners of the firm. In the case of an organization which has ownership divided into shares, the value of the organization is the total value of the shares. This research is being performed for the Honorable Mayor, the City Council, and the Board of Directors, to address a host of issues to solve the health needs of an African Country. One of the research objectives is to put forth a “proposal, an expenditure plan, and assessing key objectives like fund accounting, and financial controls. This includes control and management of public expenditures, government financial reporting requirements”, and budgets to make good administrative decisions for a large Not-for-Profit Health Relief Organization. For the purpose of this writing, the organization of discussion is the (HRO), The Health Relief Organization. One of the main research “objectives is to propose an expenditure plan assessing the key objectives along with fund accounting, financial controls, analyzing financial statements, and budgets for making appropriate