Audit 19949

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE A - BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federal award activity of Murphy LakeApartments Housing Corporation and is presented on the accrual basis of accounting. The information in thisschedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (UniformGuidance). Because the Schedule presents only a selected portion of the operations of Murphy Lake ApartmentsHousing Corporation, it is not intended to and does not present the financial position, changes in net assets, or cashflows of Murphy Lake Apartments Housing Corporation.NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in the Uniform Guidance, wherein certain types of expendituresare not allowable or are limited as to reimbursement. Murphy Lake Apartments Housing Corporation has electednot to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.NOTE C U.S. Department of Housing and Urban Development Loan ProgramMurphy Lake Apartments Housing Corporation has received a U.S. Department of Housing and UrbanDevelopment capital advance under Section 202 of the National Housing Act. The Capital Advance balanceoutstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. MurphyLake Apartments Housing Corporation received no additional Capital Advances during the year. The balance of theCapital Advance outstanding at December 31, 2022 consists of:Outstanding BalanceCFDA Number Program Name at December 31, 202214.157 Supportive Housing for the Elderly $ 3,020,300 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 3020300.