The Curious Accountant in this chapter discussed some of the budgeting issues facing the United States Olympic Committee (USOC). First, to get a basic understanding of the sources of revenues and expenses of the USOC, review its Form 990, which shows its revenues and expenditures as reported to the IRS, by accessing the following link: www.teamusa.org/About-the-USOC/Organization/Financial.aspx. You only need to review the information on the first page of the Form 990, but reviewing pages 9 and 10 of the form will provide additional insight as to the USOC’s revenues and expenses.

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