Doll News Spring 2015 - (Page 170)

Financial Statement Review T he United Federation of Doll Clubs, Inc., review of the Financial Statements for the fiscal year September 1, 2013 to August 31, 2014 was completed on November 21, 2014. The review was performed in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants by Rubin Brown LLP. Based on their review, Rubin Brown has determined that "they are not aware of any material modifications that should be made to the financial statements in order for them to be in conformity with accounting principles generally accepted in the United States of America." Included in the supplementary information section of the report are the following reports: Schedule of Functional Expenses and Schedule of Activities by Fund. These reports are presented here for your review. What is a schedule of functional expenses and why is it presented? The Schedule of Functional Expenses shows how the expenses are presented on our income tax return. The expenses are divided between program services, management and fundraising. UFDC presents the schedule of functional expenses because it elaborates on the consolidated expenses from the schedule of activities by fund. You won't be able to tie all the expenses 170 SPRING 2015 back to the schedule of activities because internal classifications may differ from the classifications necessary for the income tax return line items; however, the expenses by fund will tie between both schedules. What types of expenses are included in the functional expense line items? Wages and benefits include all salaries paid to employees and employer payroll taxes. Benefits include the health insurance premiums and retirement contributions UFDC pays for its employees. Professional services include legal fees, auditor's fees for preparation of the review and tax returns, as well as payroll provider fees and information technology consultant fees. Advertising and promotion includes any advertising we do whether highway signs for the museum, advertising in other publications, promotional materials, on-line marketing, and website maintenance. Office expenses include printing, postage, telephone, office supplies, equipment repairs and maintenance, bank and credit card fees, fundraising expenses. Some of these costs will vary depending on the current needs of the organization. For example, in some years we may have to reprint forms but the new supply will last several years. Occupancy includes utilities such as electricity, gas, and water and pest control. Building repairs and maintenance include items such as office cleaning, landscape service, snow removal, and security. Travel includes travel paid for officers, board members and staff to the extent allowed in UFDC's policy manual. This includes travel by car and airlines and lodging while away from home. Many officers and board members donate their travel expenses to the organization. Convention and meeting includes costs of hosting the convention. This includes such items as the souvenir, favors, security, equipment rental, audio visual assistance, printing costs, meals, transportation, and insurance. Interest expense is the interest paid on the copier lease. We had a lease in 2011 for the copier but replaced that copier with a different one and in 2012 the auditors determined the lease to be a capital lease instead of an operating lease. Therefore we placed an asset on the books and recorded a note payable. The expense appears in the schedule of activities as a depreciation expense. Depreciation expense is the writing down of an asset over its useful life. Business insurance includes liability, building, collection, workers compensation, and directors and officer insurance.

Table of Contents for the Digital Edition of Doll News Spring 2015

From the Editor
UFDC Officers and Regional Directors
President’s Message
Conference Calendar
A Warm Welcome to Our Newest Members
UFDC Student/ Apprentice Judge Programs
UFDC Notice of Annual Meeting
A Dream Come True – UFDC’s 66th Annual Convention 2015
Fundraising Committee Report
Miss Flora McFlimsey’s Journey
Miss Flora McFlimsey Original Paper Doll
Fashionable Fair Females: Charitable Dress in Miniature
Artists in Wonderland – Featuring the Collection of Lynn Kublank
Out of Adversity
Shared Passions 2014 Special Exhibit Shared Passions
Shared Passions 2014 Special Exhibit The Many Faces of German Dolls
Shared Passions 2014 Special Exhibit The Executive Committee and Board of Directors
Shared Passions 2014 Antique Competitive Exhibit Part 2
Shared Passions 2014 Modern Competitive Exhibit Part 2
Corinne’s Creation – A Doll’s Legacy
The Silent Witness Doll
The Unbridled Spirit of Miss Rose Percy
From Germany with Love – The Story of Annette Hermann
A Civil War Tea and Doll Exhibit
A Tradition of Caring
The Work of Your Hands
Reviewing Resources
Club Notes
Member-at-Large Form
Slate of Officers
Getting to Know Our Regional Directors
Doll-ers & Sense
In Our Memories
News & Notes

Doll News Spring 2015