Notes to SEFA
Title: Note 3 - Relationship to Basic Combined Financial Statements
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Building Responsible Intelligent Creative Kids and Affiliate and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Tile 2 U.S Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards ("Uniform Guidance").
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal award expenditures are reported on the statements of activities and changes in net assets as functional expenses. In certain programs, the expenditures reported in the basic combined financial statements may differ from the expenditures reported in the schedule of expenditures of federal awards due to program expenditures exceeding grant or contract budget limitations or capitalization policies required by accounting principles generally accepted in the United States of America.