Notes to SEFA
Accounting Policies: BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) summarizes the federalaward expenditures disbursed by We Bloom, Inc. received from the federal government for the year endedDecember 31, 2022. For the purpose of the Schedule, federal awards include pass-through funds fromgrants and contracts entered into directly between We Bloom, Inc. and state or local agencies anddepartments of the federal government.The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of We Bloom, Inc., it is not intended to and does not present the statementsfinancial position, changes in net assets, or cash flows of We Bloom, Inc. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES FOR FEDERAL AWARD EXPENDITURESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement.Expenditures consist of direct and indirect costs. Direct costs are those that can be readily identified withan individual federally sponsored program. Benefit payments made on behalf of an eligible recipient andthe materials consumed by the program are examples of direct costs. MANAGEMENTS USE OF ESTIMATESThe preparation of the Schedule of Expenditures of Federal Awards requires management to makeestimates and assumptions that affect the reported amounts of assets, liabilities, disclosure of contingentassets and liabilities, and the reported amounts of revenues and expenses. Actual results could differ fromthose estimates.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.