Go to the website of a private not-for-profit organization such as United Cerebral Palsy (www.ucp.org), the American Heart Association (www.americanheart.org), or the American Cancer Society (www.cancer.org). Find the charity's latest financial statements, which usually can be found by clicking on a button such as "About Our Charity" and then clicking on "Financial Information" or "Audited Financial Statements." Some financial statements are easy to find while some are quite difficult. Other organizations simply do not include financial statements on their websites.
Required
After examining these financial statements, answer the following questions about the private notfor- profit organization:
1. How many different program services were listed? Name each.
2. What percentage of total expenses went to supporting services?
3. Were any contributed services recognized and, if so, for how much?
4. What dollar amount was spent on fund-raising?
5. What was the year-end total for unrestricted net assets, temporarily restricted net assets, and unrestricted net assets?
6. What amount of net assets was reclassified from temporarily restricted to unrestricted net assets this past year because the external restriction had been satisfied?
Go to the website of a private not-for-profit college or university such as Duke (www.duke.edu), Vanderbilt (www.vanderbilt.edu), Notre Dame (www.nd.edu), or Georgetown (www.georgetown. edu) and locate the latest set of financial statements for the institution. As an alternative, write to the vice president of finance at your institution and request the most recent financial statements.
Required
Use this report to answer the following questions and document where in the report you located the relevant information:
1. What was the percentage of financial aid to total student tuition and fees? Show your calculation.
2. Did the school report any pledges receivable and, if so, for how much? What amount is not to be collected within one year?
3. Looking at the school's expenses, what was the total amount spent on educating the students,
and what was spent on research during the period? List the items you include for each category.
4. What was the total amount donated to the school during the previous year?
5. What was the total amount of temporarily restricted net assets and permanently restricted net assets?
6. What was the unrealized gain or loss on the school's investments (caused by changes in fair value) and the realized gain or loss (caused by sales of these investments)?
7. Compare the amount earned in tuition and student fees to the amount of education expenses incurred by the school to determine whether it generated a profit or a loss this past year on educating its students. Support your answer with a schedule of items used to calculate your answer.