Audit 323943

Accounting Policies: NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Year ended December 31, 2023 NOTE A- BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal awards includes the federal activity of THE LYNX CROSSING APARTMENTS, INC., HUD Project No. 118-11040, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the uniform guidance, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the presentation of, the basic financial statements. NOTE B- EXPENDITURES Federal Expenditures for the Mortgage Insurance – Section 207 pursuant to Section 223(f) of the National Housing Act is the balance outstanding at year-end which was advanced pursuant to the Regulatory Agreement and is subject to the terms of the Mortgage and Note. De Minimis Rate Used: N Rate Explanation: NOTE C – INDIRECT COST The Project has elected not to use the 10-percent de minimus indirect cost rate allowed under the Uniform Guidance.