Audit 43657

Title: Loan/loan guarantee outstanding balances Accounting Policies: Business Activity:Jewish Community Housing Corporation (Corporation) built and began rental operations of the David Specter Shalom House (Project) in Albuquerque, New Mexico, as of September 5, 1985. Construction was completed on September 5, 1985. The Project has been specifically designed as low-income housing the well-elderly.Basis of Reporting and Accounting:The accompanying financial statements have been prepared using the accrual method of accounting. Under the accrual method of accounting, revenues are recognized when earned rather than when paid.Financial Statement Presentation:The accompanying financial statements have been prepared following the guidance required under Accounting Standards Codification (ASC) #958-605, Not for Profit Entities- Revenue Recognition and ASC #958-205, Not for Profit Entities-Presentation of Financial Statements. Under guidance expressed in these statements, An organizations net assets and its revenues, expenses, gains and losses are classified based on whether they are restricted by donors. Amounts for each of these three classes of net assets (permanently restricted, temporarily restricted, and unrestricted) are required to be displayed in a statement of financial position and amounts of change in each of these classes of net assets are required to be displayed in a statement of activities. Recognition of the expiration of donor-imposed restrictions in the period in which the restrictions expire is required (None FYE 2022). Expirations of restrictions that simultaneously increase one class of net assets and decrease another (reclassifications) are reported separately from other transactions in the statement of activities. The Organization prepares its financial statements on the accrual basis of accounting; therefore, apartment rental revenues are recorded as the rent becomes due from the tenants. Rental payments received in advance, if any, are deferred until earned. Expenses are recognized when the related liability is incurred. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. MORTGAGE NOTE PAYABLE (14.116) - Balances outstanding at the end of the audit period were 408020.