Financial Statement - Financial Statements of Not-for-profit Organizations

Financial Statements of Not-for-profit Organizations

The financial statements that not-for-profit organizations such as charitable organizations and large voluntary associations publish, tend to be simpler than those of for-profit corporations. Often they consist of just a balance sheet and a "statement of activities" (listing income and expenses) similar to the "Profit and Loss statement" of a for-profit. Charitable organizations in the United States are required to show their income and net assets (equity) in three categories: Unrestricted (available for general use), Temporarily Restricted (to be released after the donor's time or purpose restrictions have been met), and Permanently Restricted (to be held perpetually, e.g., in an Endowment).

Read more about this topic:  Financial Statement

Famous quotes containing the words financial and/or statements:

    A theory of the middle class: that it is not to be determined by its financial situation but rather by its relation to government. That is, one could shade down from an actual ruling or governing class to a class hopelessly out of relation to government, thinking of gov’t as beyond its control, of itself as wholly controlled by gov’t. Somewhere in between and in gradations is the group that has the sense that gov’t exists for it, and shapes its consciousness accordingly.
    Lionel Trilling (1905–1975)

    Dogmatic theological statements are neither logical propositions nor poetic utterances. They are “shaggy dog” stories; they have a point, but he who tries too hard to get it will miss it.
    —W.H. (Wystan Hugh)