Working with Nonprofits & NGOs from Start-Up to Build-Up - Company Message
RSS Follow Become a Fan

Delivered by FeedBurner

Recent Posts

Attorneys: Links for Pro-Bono Nonprofit Business Attorneys
Types of Nonprofits by Definition
Nonprofit Internships -
What are NGOs? - Are they Nonprofits?
KBLX 102.9 Nonprofit Weekend Tip! What are 501c4 Organizations?


KBLX Exhibit Discounts
KBLX Nonprofit Weekend Tips
News - General News Worthy Nonprofit Info
NEWS - Nonprofits Execs Possibly Facing Jail Time
Nonprofit Articles
Nonprofit Audit Info
Nonprofit Budget Templates
Nonprofit Business Attorneys
Nonprofit Compliance
Nonprofit Compliance Laws
Nonprofit Defined
Nonprofit Education
Nonprofit Emergency Funding
Nonprofit ERISA - 403(b) retirement plans
Nonprofit financial education
Nonprofit Financial Report Info
Nonprofit Fiscal Agent/Sponsorship
Nonprofit Health Care Compliance
Nonprofit Internships
Nonprofit Published Articles
Nonprofit Reserves - Cash
Nonprofit Start-Up
Nonprofit Surveys
powered by

My Blog

Brief Description of Nonprofit Financial Statements

Written by Glenda Estioko, Presented by Lenora Williams, May 9, 2011
Financial Statements
The Income Statements
A Financial Statement is a written report which quantitatively describes the financial health of a company usually compiled on a monthly, quarterly, and annual basis.
3 Main Financial Statements:
Ø Income Statement
Ø Balance Sheet
Ø Cash Flow Statement
What is an Income Statement?
The Income Statement (or Profit & Loss Statement) reports the income, expenses, and net income (surplus/deficit) for a specific period of time.
Fund Accounting
Nonprofit organizations use an accounting system called fund accounting. Fund accounting essentially groups financial data together into funds (Class/Job Codes) or accounts that share a similar purpose. This way, the organization has a better idea of what resources it has available to complete a specific task.
Differences between revenues (income) and expenditures (expenses) are called surpluses (a positive difference) or deficits (a negative difference).
Income Statements tell a story….
      Total Income: Informs you what types of funding the organization received;
      Total Expenses: Informs you what types of expenses the department/program incurred to fulfill deliverables;
               Example:  Labor, utilities, marketing, supplies, depreciation,  etc.
       Net Income: Informs you of the difference (surplus or deficit) of Income and Expenses.
Total Income (Revenue) - Total Expenses (Expenditures)    = Net Income (Surplus/Deficit)

0 Comments to Brief Description of Nonprofit Financial Statements:

Comments RSS

Add a Comment

Your Name:
Email Address: (Required)
Make your text bigger, bold, italic and more with HTML tags. We'll show you how.
Post Comment