Audit 292046

Title: Reconciliation of Accrued Revenue Amounts per the Schedule of Expenditures Accounting Policies: Note A – Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of the Philadelphia Charter School for Arts and Sciences at HR Edmunds (the “School”) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of the School, it is not intended to and does not present the balance sheet, revenues, expenditures, or changes in fund balances of governmental funds. The financial activity for the aforementioned awards is reported in the School’s Statement of Revenues, Expenditures, and Changes in Fund Balances – Governmental Funds. Note B – Summary of Significant Accounting Policies 1. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein De Minimis Rate Used: N Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. Federal subsidies receivable at June 30, 2023 and 2022 was $821,421 and $469,464. Included in deferred revenue at June 30, 2023 and 2022 was $(30,850) and $(51,469). Due from local governments at June 30, 2023 and 2022 was $0 and $ 324,379. The total accrued revenue at June 30, 2023 and 2022 $790,571 and $742,374.