Cost allocations provide nonprofit management the ability to determine appropriate levels for pricing products or services, report true program costs when claiming reimbursements or making grant applications and recognize and respond to trends. However, inadequate disclosures, missing classifications, and improper presentation of cost allocations are common errors in nonprofit financial statements. Join YPTC’s Aimee Pourciau for this discussion and overview of the importance of cost allocations for nonprofit organizations, including tips for implementing accounting guidance when allocating costs.
Who Should Attend:
Individuals who are new to managing or providing financial services for nonprofit organizations, or would like a refresher on cost allocations are encouraged to attend.
Learning Objectives:
- Define cost allocations
- Review the authoritative guidance addressing cost allocations
- Discuss the importance of allocating costs
- Summarize common methods of allocating costs
- Identify some basic steps for allocating costs