Audit 32453

Title: Management's Use of Estimates Accounting Policies: BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federal grant activity of ColumbusRegional Shelter for Victims of Domestic Violence, Inc. and is presented on the accrual basis of accounting. Theinformation in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements forFederal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amountspresented in, or used in the preparation of, the basic financial statements. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES FOR FEDERAL AWARD EXPENDITURESExpenditures consist of direct and indirect costs. Direct costs are those that can be readily identified with anindividual federally sponsored program. Benefit payments made on behalf of an eligible recipient and the materialsconsumed by the program are examples of direct costs.Unlike direct costs, indirect costs cannot be readily identified with an individually sponsored project. Indirect costsare the costs of services and resources that benefit many projects, as well as non-sponsored projects and activities.Indirect costs primarily consist of expenses incurred for administration, payroll taxes and fringe benefits. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The above basis of accounting requires management to make estimates and assumptions that affect the reportedamounts of assets, liabilities, revenues and expenses and disclosures of contingent assets and liabilities reportedin the schedule of expenditures of federal awards. Actual results could differ from those estimates.