Audit 21538

Accounting Policies: Note A - Basis of PresentationThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grantactivity of the Housing Authority of the City of Benton under programs of the federal government for theyear ended March 31, 2022. The information in this schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Because the Schedule presents only a selected portion of the operations of the Housing Authority of theCity of Benton, it is not intended to and does not present the financial position, changes in net position, orcash flows of the Housing Authority of the City of Benton.Note B - Summary of Significant Accounting PoliciesExpenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement.Note C - Indirect Cost RateThe Housing Authority of the City of Benton has elected not use the 10% de minimis indirect cost rateallowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.