The curious accountant in this chapter discussed some of the budgeting issues facing the United States Olympic and paralympic committee (USOPC). First, to get a basic understanding of the sources of revenues and expenses of the USOPC, review its Audited Financial statements. These may be accessed with the following link: teamusa.org/footer/finance/. You need to review the information on the consolidated statement of activities. Note that there are usually two of these, once for the current fiscal year, and one for all the years since the year after last summer's Olympic games. Either of these forms will provide additional insight into the sources of the USOPCs revenues and expenses.

Required:

Assume the USOPC had not previously used continuous budgeting but was considering implementing a continuous budgeting system. Also, assume you have been asked to identify some of the challenges the USOPC would face in implementing this system. Write a memorandum explaining the challenges you identify.

The accompanying notes are an integral part of this consolidated financial statement. United States Olympic and Paralympic Committee CONSOLIDATED STATEMENT OF CASH FLOWS Year ended December 31, 2021 (in thousands) United States Olympic and Paralympic Committee CONSOLIDATED STATEMENTS OF FINANCIAL POSITION The accompanying notes are an integral part of these consolidated financial statements. United States Olympic and Paralympic Committee CONSOLIDATED STATEMENT OF ACTIVITIES - CONTINUED Year ended December 31, 2021 (in thousands) The accompanying notes are an integral part of this consolidated financial statement. United States Olympic and Paralympic Committee CONSOLIDATED STATEMENT OF FUNCTIONAL EXPENSES - CONTINUED For the year ended December 31, 2021 (in thousands) (a) Included in total general and administrative expenses in consolidated statement of activities. (b) Included in total fundraising expenses in consolidated statement of activities. (c) Includes USOPC portion of Nassar Settlement of $34 million (Note P) The accompanying notes are an integral part of this consolidated financial statement