Notes to SEFA
Accounting Policies: Note A - Basis of Presentation
The accompanying schedule of expenditures of federal awards includes the federal grant activity
of The Moravian Development Corporation (the Corporation) and is presented on the accrual
basis of accounting. The information in this schedule is presented in accordance with the
requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 operations of the Corporation, it is
not intended to and does not present the financial position, changes in net assets, or cash flows
of the Corporation.
Note B – Summary of Significant Accounting Policies
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such
expenditures are recognized using the principles contained in Uniform Guidance, wherein certain
types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: Note C - Indirect Cost Rate
The Moravian Development Corporation has not elected to use the 10% de minimis indirect cost
rate as allowed under Uniform Guidance.