Go to the website of the Canadian Cancer Society ( www.cancer.ca). Answer as many of the questions from Problem 1 as you can based on the 2012 Canada-wide financial statements. For each question, indicate where in the financial statements or annual report you found the answer and/or provide a brief explanation.
(a) Read the auditor's report. There is a paragraph there that is unique to NFPOs. Explain what message it conveys.
(b) Approximately how much of the organization's fund balances are restricted? What can they be spent on?
(c) How many funds are reported?
(d) Approximately what percentage of the year's revenues was spent on fundraising?
(e) What is its largest single source of revenue?
(f) Has the organization's cash increased or decreased over the past two years? What was a major factor in the change?
(g) Outline what is included in the accounting entity.
(h) Briefly explain the army's amortization policy.
(i) Which method of revenue recognition for contributions is being used?
(j) What is their policy with respect to donated materials and services?