Audit 17652

Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of New World Educational Center (School) under programs of the federal government for the year ended June 30, 2022 and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Audits (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements.NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on in this schedule are reported on the accrual basis of accounting, and are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. New World Educational Center has elected not to use the ten (10%) percent de minimis indirect cost rate as allowed under the Uniform Guidance.NOTE 3 CLASSIFICATION OF FEDERAL AWARDSIn accordance with the Uniform Guidance, because total federal expenditures were at least$750,000, but less than $25,000,000, Type A programs are all programs with expenditures equal to or greater than $750,000. Major programs were determined using a risk-based approach.NOTE 4 CATALOG OF FEDERAL ASSISTANCE LISTING (FAL) NUMBERSThe program titles and FAL numbers were obtained from the federal or pass-through grantor or 2022 Federal Assistance Listing. When no FAL numbers had been assigned to a program, the two-digit federal agency identifier and the federal contract number were used. When there was no federal contract number, the two-digit federal agency identifier and the word unknown were used.NOTE 5 SUBRECIPIENTSNew World Educational Center did not pass any funds on to subrecipients during the yearended June 30, 2022. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.