Audit 358411

Title: BASIS OF PRESENTATION 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. The City of Leeds Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The City of Leeds Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of the City of Leeds Board of Education and is presented on the modified 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, 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 City of Leeds Board of Education, it is not intended to and does not present the financial position or changes in net position of the City of Leeds Board of Education.