Notes to SEFA
Accounting Policies: 1. BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (the Schedule) includesthe federal award activity of Smyth-Lake Apartments, Inc. under programs of the federalgovernment for the year ended September 30, 2022. The information in this Schedule ispresented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presentsonly a selected portion of the operations of Smyth-Lake Apartments, Inc., it is notintended to and does not present the financial position, changes in net assets, or cashflows of Smyth-Lake Apartments, Inc.2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(1) Expenditures reported on the Schedule are reported on the accrual basis ofaccounting. Such expenditures are recognized following the cost principles contained inthe Uniform Guidance, wherein certain types of expenditures are not allowable or arelimited as to reimbursement.(2) Smyth-Lake Apartments, Inc. has elected not to use the 10 percent de minimisindirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.