Entries Tagged ‘Allocation’:

Advertising Expense May Not be a Program Activity

If you are a performing arts organization and have substantial expenses relating to advertising for people to buy tickets for the performances, it would make sense to functionally allocate those expenses to program activities, right?  After all, providing these performances is part of your mission.  Actually, the answer is probably no.  Whether advertising expense can [...]

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Joint Costs

Both the Form 990 and your financial statements are required to disclose any joint costs that have been allocated. Many times our clients will respond to our inquiry about such costs with an explanation of how they allocated the cost for this one activity between the two programs to which it related. While we appreciate [...]

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