NFP Statement of Financial Position

Free CPA FAR (Financial Accounting & Reporting) lesson in Financial Reporting. 14 min read, ~2,149 words.

The NFP statement of financial position reports assets, liabilities, and net assets (not stockholders' equity); the equation is Assets = Liabilities + Net Assets. Net assets split into two classes under ASU 2016-14: without donor restrictions (board-designated quasi-endowments live here) and with donor restrictions (purpose, time, or perpetual). Donor-restricted endowment...

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What this lesson covers

Content
Example 1
Example 2
Common Mistakes
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Exam Shortcuts

Learning objectives

I.B1

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