Audit 40920

Accounting Policies: BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federalgrant activity of Accion Social de Puerto Rico, Inc. and is presented using the accrualbasis of accounting. The information in this schedule is presented in accordance withthe requirement of Title 2 U. S. Code of Federal Regulations, Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance).Because the Schedule presents only a selected portion of the operations of AccionSocial de Puerto Rico, Inc. it is not intended to and does not present the financialposition, changes in net assets, or cash flows of Accion Social de Puerto Rico, Inc.RECONCILIATION TO FINANCIAL STATEMENTSThe reconciliation of expenses in the statement of activities to the Schedule ofExpenditures of Federal Awards is as follows:Expenditures per the statement of activities $ 28,093,025Depreciation expense (392,757)Non-federal expense (151,187)Capital expense 1,439,733Expenditures per Schedule of Expenditures of Federal Awards $ 28,988,814 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.