Res 2002-072 - Laserfiche WebLink

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SOUTHSIDE COMMUNITY CENTER, INC. NOTES TO FINANCIAL STATEMENTS (Continued) Contributed Facilities, Goods and Services Contributions to the Center include furniture and clothing to the thrift shop which are recognized as cash donations when sold. Building materials are donated to the summer work camp program and are recognized as an in-kind donation. Income Tax The Center is exempt from Federal income taxes under Internal Revenue Code Section 501 (c)(3) under a group ruling as an affiliated organization of the United Methodist Church. As an affiliated organization, it is also exempt from the filing of Fonn 990 Return of Organization Exempt From Income Tax. Functional Allocation of Expenses The costs of providing the Center's various programs and supporting services have been summarized on a functional basis in the statement of activities. Accordingly, certain costs have been allocated among the programs and supporting services benefitted. Cash Equivalents For purposes of the statement of cash flows, the Center considers all cash and other highly liquid investments with initial maturities of three months or less to be cash equivalents. Estimates The preparation of financial statements in confonnity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. NOTE 2. CASH INVESTED AT TEXAS METHODIST FOUNDATION An investment with the Texas Methodist Foundation is currently eaming interest at 6.35%. The Foundation primarily makes loans to Methodist Churches for building projects. The market value is considered to be the same as cost. The balances at September 30,2000 and 1999 of $31,119 and $39,265, respectively, are shown on the balance sheet with cash. 13