Notes to SEFA
Title: 1. Basis of Presentation
Accounting Policies: Note 2
De Minimis Rate Used: N
Rate Explanation: The auditee has not elected to use the 10% de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of BJ Enterprises, Inc. under the Child and Adult Care Food Program for the year ended
September 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 BJ Enterprises, Inc., it is not intended to and does
not present the financial position, changes in net position or cash flows of BJ Enterprises, Inc.
Title: 2. Summary of Significant Accounting Policies
Accounting Policies: Note 2
De Minimis Rate Used: N
Rate Explanation: The auditee has not elected to use the 10% de minimis cost rate.
Expenditures reported on the Schedule are reported on the accrual or modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform
Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Any negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
The underlying accounting records for some grant programs are maintained on the modified accrual basis of accounting. Under the modified accrual basis, revenues are recorded when susceptible to accrual, i.e., both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures are recorded when the liability is incurred. The accounting records for other grant programs are maintained on the accrual basis, i.e., when
the revenue has been earned and the liability is incurred.
Title: 3. Indirect Cost rate
Accounting Policies: Note 2
De Minimis Rate Used: N
Rate Explanation: The auditee has not elected to use the 10% de minimis cost rate.
The auditee has not elected to use the 10% de minimis cost rate.