Notes to SEFA
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards summarizes the expenditures of theAtlanta Ballet, Inc. (the Organization) under the program of the federal government for the yearended July 31, 2022 and is presented on the accrual basis of accounting. The information in thisschedule is presented in accordance with the provisions of Title 2 U.S. Code of Federal Regulations(CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements forFederal Awards (the Uniform Guidance).NOTE 2 ACCOUNTING PRINCIPLESExpenditures for direct costs are recognized as incurred using the accrual method of accountingand the cost accounting principles contained in the Uniform Guidance. Under these cost principles,certain types of expenditures are not allowable or are limited as to reimbursement.NOTE 3 INDIRECT COST RATEThe Organization elected not to use the 10% de minimis cost rate under Title 2 U.S. CFR Part 200,Subpart E, Cost Principles.NOTE 4 CONTINGENCIESThe Organizations federal program is subject to financial and compliance audits by the grantoragency which, if instances of material noncompliance are found, may result in disallowedexpenditures and affect the Organizations continued participation in specific programs. Theamount, if any, of expenditures which may be disallowed by the grantor agency cannot bedetermined at this time, although the Organization expects such amounts, if any, to be insignificant.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.