Financial Reporting Review of a Not-for-Profit Organization

Review the financial statements and audit reports for the American National Red Cross. The financial statements and audit report of this not-for-profit organization should be readily and publicly available on their website.

Instructions

Write a 3 page paper in which you do the following:

• Analyze the selected not-for-profits financial statements to determine if the statements conform to the Financial Accounting Standards Board (FASB) guidance in Financial Statements of Not-for-Profit Organizations.
• Explain the selected organizations use of the three fund categories.
• Recommend at least two areas of potential interest to the stakeholder concerning the status of revenue and expenses.
• Analyze the organizations statement of cash flows.
• Explain the format that the organization utilizes, including any unique areas of emphasis that differ from the GAAP accounting format.
• Compare the organizations reporting of pledges and contributions to reporting of exchange transactions. Discuss the funds that are used.
• Assess the fiscal condition of the selected organization, interpreting financial indicators and using financial ratios widely accepted as being indicative of fiscal health.
• Expand the assessment to include fundraising analysis, program review, contributions, and grant and revenue analyses.