ADMS 3330 Study Guide - Accountant, Financial Statement, Soup Kitchen

• School: York University
• Department: Administrative Studies
• Course: ADMS 3330
• Professor: Terry Conlin

Document Summary

The main user of the report is myesha kind the executive director of hope. Hope is a nonprofit organization and provides food and shelter for homeless and more importantly it attempts to educate the public and lobby government for programs to assist the homeless. As a professional accountant, the following report brings to light some issues which are evident in the preparation of the financial statements. The concerns ms. kind has brought up are outlined below. Hope has a dec 31 year end and uses the deferral method for accounting contributions. : hope received 000 donation on dec 3 from a wealthy benefactor. Issue would like to know if they can be considered restricted for financial reporting purposes so that they could be recognized in the following year, when they will be spent. Explicit restriction will be made by the donor in a written instruction how the money should be used.