Presentation is loading. Please wait.

Presentation is loading. Please wait.

Voluntary Health & Welfare Organizations (VHWO’s)

Similar presentations


Presentation on theme: "Voluntary Health & Welfare Organizations (VHWO’s)"— Presentation transcript:

1 Voluntary Health & Welfare Organizations (VHWO’s)
Examples: YMCA United Way American Heart Association Most organizations are Non-Gov’t, but may receive some government support.

2 Non-Government Supported (Most)
Accounting Authority GASB FASB Government Supported Non-Government Supported (Most)

3 FAS #116 Impact FAS #117 Impact
Major – since contributions are major sources of revenue. FAS #117 Impact Major – since most VHWO’s prepared financial statements on a disaggregated (layered) basis.

4 Sources of Accounting Authority:
AICPA Audit Guide Audits of VHWO’s (1974) Audit & Accounting Guide NPO’s (1996) SFAS #116 SFAS #117 SFAS #124, 133, and 135

5 Financial Statements Statement of Financial Position (Net Assets as to Restriction Category) Statement of Activities Statement of Cash Flows Statement of Functional Expenses

6 VHWO Accounting Notes of Importance…
Revenues Full Accrual Basis Gross Amounts Conditional & Unconditional Categories of Restrictions PV for Multiyear Contributions

7 VHWO Accounting Notes of Importance…
Expenses Full Accrual Basis Reported Only in Unrestricted Net Asset Class Involves Reclassification of Use of Temporarily Restricted Assets Reported by Function & Natural Classification

8 Healthcare Accounting
Types of Organizations Nongovernmental NFP Governmental Commercial (For-Profit) Financial Accounting Standards Category A: FASB & GASB Hierarchy Category B: AICPA Healthcare Guide (1997)

9 Healthcare Accounting
Governmental, Nongovernmental NPO’s, and Commercial Healthcare entities are similar. Business type activities (substantial % of revenue is for services provided) AICPA instrumental in developing standards for all types Therefore FASB & GASB have accepted AICPA Audit Guide as category B GAAP FASB and GASB requirements are supplemented by AICPA Guide

10 Financial Statements-NG
Statement of Operations Statement of Changes in Net Assets Statement of Financial Position Statement of Cash Flows

11 Governmental Hospitals
Required to follow GASB #34 (Category A) and AICPA Health Care Guide (Category B) GAAP Reporting as— Special Purpose Government (Chapter 9) S of R, E, & Changes in NA may be two statements as illustrated in Chapter 12 Enterprise Fund (Illustrations 6-1, 6-2, 6-3)


Download ppt "Voluntary Health & Welfare Organizations (VHWO’s)"

Similar presentations


Ads by Google