Notes to SEFA
Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) is presented on the accrualbasis of accounting, which is the same basis of accounting used for financial reporting purposes. TheSchedule is presented 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). Expenditures are recognized following thecost principles contained in the Uniform Guidance. Because the Schedule presents only a selectedportion of the operations of AEM, it is not intended to and does not present the financial position,changes in net assets, or cash flows of AEM.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.