Notes to SEFA
Accounting Policies: Note A - Basis of PresentationThe accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity ofMichigan First Credit Union and Subsidiaries under programs of the federal government for the yearended December 31, 2022. The information in the Schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Because the Schedule presents only a selected portion of the operations of Michigan First CreditUnion and Subsidiaries, it is not intended to and does not present the earnings, changes in membersequity, or cash flows of Michigan First Credit Union and Subsidiaries.Note B - Summary of Significant Accounting PoliciesExpenditures reported on the Schedule of Expenditures of Federal Awards are reported on theaccrual basis of accounting. Such expenditures are recognized following the cost principlescontained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles and Audit Requirements for Federal Awards, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Michigan First Credit Union andSubsidiaries has elected not to use the 10% de minimus indirect cost rate as allowed under theUniform Guidance.Note C - Major ProgramsMajor programs are identified in the Summary of Auditors Results section of the Schedule ofFindings and Questioned Costs.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.