Notes to SEFA
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) summarizes thefederal expenditures of the CNA Corporation (the “Corporation”) to perform research anddevelopment activities for the Federal Government for the year ended September 30, 2024. Theamounts reported as federal expenditures were obtained from the Corporation's general ledger.The information in the Schedule is presented in accordance with the requirements of Title 2 U.S.Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, andAudit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presentedin the Schedule may differ from amounts presented in, or used in the preparation of the financialstatements. For purposes of the Schedule, federal awards include all contracts, grants, and similaragreements entered into directly between the Corporation and agencies and departments of theFederal Government and all sub-awards to the Corporation by non-federal organizations pursuantto federal contracts, grants and similar agreements. Negative numbers in the Schedule representadjustments to amounts reported in prior years in the normal course of business. Where fullAssistance Listing Numbers are not available, other identifying grants and contract numbers arepresented.
De Minimis Rate Used: N
Rate Explanation: For purposes of the Schedule, expenditures for federal award programs are recognized on theaccrual basis of accounting. The Corporation utilizes billing rates negotiated with the Office ofNaval Research (ONR) and did not elect to use the 10% de minimis rate as covered in §200.414Indirect (F&A) costs.