Audit 49642

Title: Loan/loan guarantee outstanding balances Accounting Policies: 1. Summary of Significant Accounting Policies: Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs administered by Houghton University (the University), an entity as defined in Note 1 to the University's consolidated financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other entities, are included on the Schedule. Basis of Accounting: The University uses the accrual basis of accounting for federal programs consistent with the consolidated financial statements. The amounts reported as federal expenditures generally were obtained from the appropriate financial reports for the applicable programs and periods. The amounts reported in these financial reports are prepared from records maintained for each program, which are periodically reconciled to the University's financial reporting system. Indirect Costs: Indirect costs and administrative allowances are set by New York State or Federal awarding agencies based upon contractual rates. As such, the University does not apply the 10% de minimis rate permitted by the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. FEDERAL PERKINS LOAN PROGRAM (84.038) - Balances outstanding at the end of the audit period were 501945.