Audit 341041

Accounting Policies: NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Tekoa Charter School, Inc. dba Tekoa Academy of Accelerated Studies S.T.E.M School (“TCS”) for the year ended August 31, 2024. 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 operation of TCS, it is not intended to and does not present the financial position, changes in net assets, or cash flows of TCS. Relationship to Financial Statements Expenditures incurred under the Federal award programs were reported in the basic financial statements. Summary of Significant Accounting Policies 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 certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. Indirect Cost Rate TCS has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Subrecipients TCS did not provide federal awards to subrecipients. NOTE 2 – PRIOR YEAR FEDERAL EXPENDITURES TCS received assistance under federal disaster recovery programs for expenses incurred in a prior fiscal year. Those amounts have been included in current year federal revenue but excluded from the current year Schedule of Expenditures of Federal Awards. Reconciliation of Federal Revenues and (SEFA): SEFA Expenditures FY2023-2024 $1,367,363 School Lunch Matching 1,267 Instructional Mat'l Allotment 2,799 Total Federal Revenue per Statement of Activities $1,371,429 De Minimis Rate Used: N Rate Explanation: TCS has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.