Notes to SEFA
Title: Basis of Presentation
Accounting Policies: 1) Expenditures reported on the Schedule are reported on the accrual basis of accounting, except for the capital advance as discussed below.
2) Norwood Square, Inc.’s federal award is not based on eligible costs incurred.
De Minimis Rate Used: N
Rate Explanation: Norwood Square, Inc. has not made an election related to the use of the 10% de minimis indirect cost rate described in the Uniform Guidance.
This schedule includes the federal grant activity of NORWOOD SQUARE under programs of the federal
government for the year ended December 31, 2024. The information presented 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 (the Uniform Guidance). Because
the Schedule presents only a selected portion of the operations of Norwood Square, Inc., it is not intended to
and does not present the financial position, changes in net assets, or cash flows of Norwood Square, Inc.
Title: Capital Advance
Accounting Policies: 1) Expenditures reported on the Schedule are reported on the accrual basis of accounting, except for the capital advance as discussed below.
2) Norwood Square, Inc.’s federal award is not based on eligible costs incurred.
De Minimis Rate Used: N
Rate Explanation: Norwood Square, Inc. has not made an election related to the use of the 10% de minimis indirect cost rate described in the Uniform Guidance.
Federal expenditures reported as capital advance represent the December 31, 2023 balance of a capital
advance received in a previous year for which the grantor imposes continuing compliance requirements.
The balance of the capital advance outstanding as of December 31, 2024 was $2,786,600.