University of North Carolina at Greensboro
Bryan School of Business and Economics
Department of Accounting and Finance
ACC 561: Governmental and Not-for-profit Accounting
Syllabus for FALL 2015, T / R 11:00 - 12:15PM in Bryan 105
Instructor
Office Location
Office Hours*
Office Phone
Email
Last updated
Dr. Jenna Meints
Bryan 339
Tuesdays / Thursdays, 9:30AM – 10AM, 1:30PM – 2PM; by appointment
336-334-5647
jmmeints@uncg.edu
July 26, 2015
Course Description:
This course will introduce students to accounting and financial reporting for not-for-profit
organizations and governmental entities.
Course Prerequisite:
ACC 319, Intermediate Accounting II, or equivalent, with a grade of C or better
Student Learning Objectives (SLOs):
1. Describe the unique financial reporting environments facing not-for-profit organizations
and governmental entities.
2. Identify governmental revenues and expenditures.
3. Identify not-for-profit revenues and expenditures.
4. Utilize fund accounting.
5. Account for the operations of not-for-profit and governmental entities with up-to-date
technical accounting guidance from the FASB, the AICPA, the GASB, the OMB, the
GAO, and other relevant regulatory bodies.
6. Analyze the key financial statements of not-for-profit and governmental organizations.
7. Analyze the budgeting process within not-for-profit and governmental organizations.
8. Analyze a primary piece of accounting or auditing guidance.
Expanded Description: This course will introduce students to the accounting and financial
reporting environments for not-for-profit organizations and for governmental entities. Course
topics include fund accounting, the budgeting process, technical accounting guidance for not-forprofit organizations, technical accounting guidance for governmental organizations, and
techniques for evaluating and assessing the financial strength of not-for-profit institutions and
governmental entities. Students will become familiar with CAFRs for governmental entities and
with financial statements for not-for-profit organizations. The course will help students learn
how to apply financial management tools ranging from broad budgeting processes and fund
accounting principles to regulatory bodies’ financial reporting technical guidance for not-forprofit and governmental organizations.
*Changes to office hours will be announced via syllabus, class session, and/or Canvas.
ACC 561, Fall 2015, Combined Syllabi, page 1
Required Text and Materials:
Government and Not-for-Profit Accounting: Concepts and Practices, Sixth Edition.
Michael H. Granof and Saleha B. Khumawala. Publication Date: January 22, 2013. ISBN-10:
1118155971. ISBN-13: 978-1118155974.
Several course materials will be posted to Canvas.
Teaching Methods:
Class time will be a mix of informative lectures, interactive presentations, practical skillsbuilding exercises, and occasional short videos. Classes will be heavily discussion-based.
Class Assignments and Grade Weights:
Undergraduate Students:
Intro
Group Work (Two at 2.5%)
Participation
Presentation / Paper – 990
Presentation / Paper – US GAAP
Final Paper
HW (Seven; drop one = Six * 5%)
Extra Credit Presentation
Maximum Course Grade
2%
5%
8%
15%
15%
25%
30%
2%
102%
Second Class Session by Class Start Time
Tues, Sep 1 & Thurs, Sep 10 – in class
Every class
Sep 3, 8, or 15
Sep 24, Sep 29, or Oct 1
Thurs, Dec 3 by noon
Sep 3, 24; Oct 22, 29; Nov 5, 9, 14
As arranged by Student
with extra credit
Rough undergraduate grading distribution:
A+ / A / A- , 98%, 93% / 90%; B+ / B / B- , 88% / 83% / 80%; C+ / C / C- , 78% / 73% / 70%;
D , 65%
Graduate Students:
Intro
Group Work (Two at 2.5%)
Participation
Primary Piece Analysis
Presentation / Paper – 990
Presentation / Paper – US GAAP
Final Paper
HW (Seven; drop one = Six * 5%)
Extra Credit Presentation
Maximum Course Grade
2%
5%
8%
10%
12.5%
12.5%
20%
30%
2%
102%
Second Class Session by Class Start Time
Tues, Sep 1 & Thurs, Sep 10 – in class
Every class
Tuesday, October 6 by Class Start Time
Sep 3, 8, or 15
Sep 24, Sep 29, or Oct 1
Thurs, Dec 3 by noon
Sep 3, 24; Oct 22, 29; Nov 5, 9, 14
As arranged by Student
with extra credit
Rough graduate grading distribution:
A / A- , 93% / 90%; B+ / B / B- , 88% / 83% / 80%; C+ / C / C- , 78% / 73% / 70%; D , 65%
- Minimum grade to be considered in good standing for the MAC program = B- (80%).
ACC 561, Fall 2015, Combined Syllabi, page 2
Introduction (2 pts)
Each student must send me an e-mail by the beginning of class time on the second class date. At
a minimum, please tell me your name, your year in your program, any experience with or interest
in governmental and/or not-for-profit organizations, and something unique that will help me get
to know you a bit. Each student must also attach a picture of oneself to the introduction e-mail. If
a student is not comfortable sharing a picture of oneself (which is only for my private files), then
I ask that the respective student send me a picture of anything that means something to the
student.
Group Work (Two at 2.5 pts = 5 pts) – All SLOs.
There are two assignments that will be completed in assigned groups of three (no more than four)
students. Students must be present and active for the entire class sessions to receive credit for the
respective assignments. Students will have the full class time to work together. A deliverable is
due by the end of class time and will be graded. Detailed instructions will be provided in each
respective class session.
Class attendance and Participation (8 pts) – All SLOs.
The full number of points will be awarded when students miss no more than two classes (and
complete make-up work for the classes that they missed, if necessary) and make active and
thoughtful contributions to several class discussions and other learning activities. These
contributions should demonstrate that the student is critically engaged with course content, class
material, and/or the current environment facing not-for-profit organizations and governmental
entities. Fewer points will be awarded when absences and contributions do not meet these
criteria, at the discretion of the instructor. Being on time for class is important and is a sign of
respect for the learning environment. Being late and/or leaving early may result in the loss of
class participation points.
If a student is late for three classes, then that student automatically will receive a course
grade of F. The student will not be allowed to attend any consequent class sessions. If a student
is absent for four class periods, regardless of reason or planning, then the same procedure will
apply.
Homework (Six at 5 pts = 30 pts) – All SLOs.
There are seven homework assignments for this course. Each assignment is worth 5% of a
student’s final grade. Students must drop the lowest homework score, such that the final 30% is
composed of the top six homework scores. Students must work independently. Cheating will
result in an F for the course and an Honor Code violation. Homework is due by the beginning of
the class period in which it is listed as due in the day-to-day schedule located later in this
syllabus. Homework will not be accepted via e-mail unless explicitly requested via e-mail. No
late assignments accepted. Details will be posted to Canvas.
Presentation or Paper (UG: Two at 15 pts = 30 pts; GR: Two at 12.5 pts = 25 pts)
Each student will have the option of writing a paper or presenting information for two
assignments. For the first presentation/paper, the student must present information from the IRS
Form 990 available for the most recent year for a not-for-profit organization of one’s choice. The
not-for-profit organization must have prepared financial statements in accordance with US
GAAP, which you can determine by looking at Schedule D, Part IX of the actual IRS Form 990.
ACC 561, Fall 2015, Combined Syllabi, page 3
If there is no or incomplete information for Part IX of Schedule D, then the student must choose
a different organization that has complete information for Part IX of Schedule D.
The student must inform me via e-mail whether the student will present or write a paper
for each of the two assignments by the start of the second class. The length of each presentation
and of each paper will be determined once all students elect to either present (with written
calculations and explanations) or write for the assignment. Ideally, each presentation will last
approximately ten minutes and each paper will require at least fifteen double-spaced pages of
content. Paper specifications will be the same as those reported for the final paper below.
Students may present or write a paper in pairs or solo. If students present in pairs, then all
correspondence and communication with me about the respective assignment must include both
partners. Each pair is solely responsible for managing the time and efforts of each partner spent
on each assignment. I highly suggest that students interested in working in pairs for one or both
assignments take time to assess whether the chosen partner will offer the same level and amount
of contributions that the student plans to offer. (e.g., Do schedules jive? Do interests align? How
often will you two communicate and in what medium? What are your internal deadlines? How
often and where will you meet together? Do you each have the same strengths in presenting
and/or writing? Are there language barriers? And so on…)
Time and length requirements will be increased for pairs. Each student in a pair must
confirm with me one’s partner when submitting one’s e-mail with the decisions of whether to
present or write for assignment one and for assignment two (both assignment choices due by the
second class period start time). Each student / pair must reserve the chosen not-for-profit
organization with me by one week before the first class session of presentations for this
assignment. I highly encourage early reservation, as organizations will be assigned on a first
come, first serve basis.
In the presentation/paper, each student must discuss the not-for-profit’s mission,
operations, total revenue and total expenses, governance structure, and staffing structure.
Each student must calculate the following ratios and submit written, detailed calculations by
the time of the respective presentation or paper deadline. For each calculation, the student must
explain what the ratio is meant to measure and state one’s opinion about the health of that
particular ratio for the organization. 1. Current Ratio; 2. Quick Ratio; 3. Reserve Ratio; 4.
Overhead Ratio; 5. Fundraising Return Ratio; 6. Days’ Cash; 7. Days’ Receivables; 8. Debt to
Net Assets; 9. Total Margin; 10. Accounting Age – Fixed Assets; 11. Program Expense Ratio;
12. M&A Expense Ratio; and 13. Fundraising Expense Ratio. In the presentation/paper, each
student must report and comment on watchdog ratings from at least two different not-forprofit rating agencies (e.g., Guidestar or Charity Navigator, etc.).
For the second presentation/paper, the student (or pair) must present or write about
information from a subtopic in Topic 958 in the Accounting Standards Codification (ASC).
Topic 958 is for not-for-profit entities. Students may also choose a subtopic from the Healthcare
Organizations topic or from the Educational Institutions topic. The level of detail and discussion
that a student or pair must do will depend on the subtopic chosen, the number of presentations,
and the amount of solos versus pairs. The ideal presentation time and paper length is the same as
for assignment one.
This second assignment is open-ended, in that each student/pair may approach the
assignment from most any perspective / with most any focus. For example, ASC 958-605,
Revenue Recognition, consists of 47 pages when printed with sources. A student or pair would
need to discuss only some of that subtopic to have ample material to meet assignment
ACC 561, Fall 2015, Combined Syllabi, page 4
requirements. The student/pair could discuss certain content, sources, examples, XBRL, or other
points of interest from the subtopic. Most ASC Subtopics that consist of approximately fifteen
printed pages with sources will provide the ideal amount of information for presentation or paper
requirements. Of course, this all depends on what exactly the student/pair decides to discuss.
Each student / pair must reserve the chosen part of ASC 958 with me via e-mail by one week
before the first class session of presentations for this assignment.
Final Paper (UG: 25 pts; GR: 20 pts)
Each student must complete a final paper that will synthesize and analyze information and
themes from throughout the semester. Students will be prompted with questions/points to
consider. The paper will be graded for detail, thoughtfulness, levels of synthesis and analysis,
accuracy, composition, and critical thinking. The paper should be in either MLA or APA format.
Students must provide a title page, an executive summary of 150 words or less, ten pages of
content with the specifications that follow, and a works cited page. Tables, Figures, and
Appendices must be avoided. Citations and references will be graded for appropriate MLA or
APA format. The paper should be ten pages (no less than nine pages and no more than eleven
pages), double-spaced, with Times New Roman font (size 12), and with 1” margins all around.
The paper is due via e-mail by the date listed above.
Primary Piece Analysis (Only Graduate Students = 10 pts)
Choose a piece of practical guidance from any of the FASB (or its FASAC, NAC, EITF, PCC,
and so on), GASB (GASAC), FASAB (FASAC), PCAOB, OMB, AICPA, SEC, SOP, or
IPSASB (and so on) that represents current accounting and/or auditing guidance for assessing a
governmental or not-for-profit entity. (Other guiding forces reasonably welcome – let’s chat
about such before locking in.) Present the information that you have found to the class, with a
focus on how one would apply this information immediately, on a day-to-day basis. Turn in a
written description describing key issues noted, solutions proposed, tension existing, obstacles
existing and likely solutions to such.
Extra credit (Up to 2 pts)
Extra Credit Possibility #1: Identify a governmental entity that interests you. Find that
entity’s CAFR. Highlight aspects of the government’s CAFR that have or have not been covered
in class. Present to the class (in approximately 3 minutes) the background of the organization,
why you chose it, and at least three accounting/financial reporting aspects that stood out to you
and/or that related to class material in the entity’s CAFR. You must show the class images of the
CAFR when you explain. Be open to questions from and interaction with the class.
**OR** Extra Credit Possibility #2: Identify a not-for-profit entity (NPO) that interests
you. Find that entity’s IRS Form 990, and if applicable, its audited financial statements, IRS
Form 990T, and annual financial report. Highlight aspects of the NPO’s reporting that have or
have not been covered in class. Present to the class in approximately 3 minutes the background
of the organization, why you chose it, and at least three accounting/financial reporting aspects
that stood out to you and/or that related to class material in the entity’s reports. You must show
the class images of the IRS Form 990, IRS Form 990T, Annual Report, and/or audited financial
statements when you explain. Be open to questions from and interaction with the class.
Each extra credit possibility is worth up to 2% to be added directly to your overall course
grade. Your actual percentage earned will depend on the number/quality of issues that you
ACC 561, Fall 2015, Combined Syllabi, page 5
identify, the research that you conduct, the planning and organization that you put into your class
presentation, and your understanding of relevant accounting and financial reporting issues that
have, at least, been covered in class.
The maximum extra credit to be earned is 2% of your final course grade. Each student is
encouraged to meet with me at any time about their interests – in person, via e-mail, via phone,
or via whatever channel is best for you (and that I can figure out!). I love this interaction! There
are so many great and fascinating organizations out there that could be covered! That said, each
student is required to only let me know (via e-mail is fine) of exactly what each student plans to
present to the class at least two class periods before the actual in-class presentation. (First come,
first serve.) Be creative! Have fun! Chat with me any time!
Policy on Incompletes and Late Assignments:
No late assignments accepted. No incompletes allowed.
Use of laptops or other electronic devices:
Laptops and electronic devices are fine to use for learning purposes. Personal use (e.g. Facebook,
checking email) is prohibited.
Cell Phone Policy:
Cell phones are a disruption to the learning process. Students are expected to turn off their cell
phones during class. Any cell phone making noise during a class session will result in student
ejection from the classroom and a marked absence from class for participation purposes.
E-mail Policy:
Please allow at least 24 hours for me to respond to any e-mail(s) that you send to me. I try
my best to respond as soon as possible, but this does not always happen as quickly as I wish it
could. I apologize in advance for any delayed responses. Because of the volume of e-mails that I
receive throughout the semester, I highly suggest that you send me just one message with
multiple questions/issues at a time, if possible, rather than a sending me a series of e-mails with
one issue each in rapid succession.
Expectations for written assignments/Formatting:
Students are expected to use good academic English; grades will be lowered for poor grammar,
syntax, or spelling. Those who have difficulty writing can make an appointment with the campus
Writing Center to receive guidance. Graduate students are expected to follow APA or MLA
format for in-text citations and references.
Policy on Academic Dishonesty:
It is the responsibility of every student to obey and to support the enforcement of the Honor
Code, which prohibits lying, cheating, or stealing in actions involving the academic processes of
this class. Students will properly attribute sources used in preparing written work. In keeping
with the UNCG Honor Code, if reason exists to believe that academic dishonesty has occurred, a
referral will be made to the appropriate University disciplinary division for investigation and
further action as required. You and I are expected to abide by the UNCG Academic Integrity
Policy as well as by the UNCG Codes of Conduct. These can be accessed at:
http://bae.uncg.edu/assets/faculty_student_guidelines.pdf . Specifically, UNCG’s Student
ACC 561, Fall 2015, Combined Syllabi, page 6
Conduct Code is available at http://studentconduct.uncg.edu/policy/code/ and its Academic
Integrity Policy is available at http://academicintegrity.uncg.edu/violation/ .
Policy on Accommodations for Students with Disabilities:
To request and receive accommodations at UNCG you must be registered with the Office of
Disability Services (ODS). If you have any specific questions or concerns call ODS at (336)3345440 or visit their website: http://ods.dept.uncg.edu/services/. Students with disabilities that
affect their participation in the course and who wish to have special accommodations should
contact ODS and provide documentation of their disability. ODS will notify the instructor that
the student has a documented disability and may require accommodations. Students should
discuss the specific accommodations they require (e.g. changes in instructional format,
assignment format) directly with the instructor as well. Please visit
http://ods.dept.uncg.edu/services/ for further information.
Students in Distress:
UNCG cares about your success as a student. We recognize that students often balance many
challenging personal issues and demands. Please take advantage of the University resources
designed to help. For assistance accessing these resources, contact the Dean of Students Office at
334-5514 or Student Academic Services at 334-5730. The Counseling and Testing Center is
available for mental health assistance, 334-5874.
Blackboard, Canvas, and Technology:
For those who are not familiar to Blackboard, please consult the following resources:
- Watch "Blackboard Video Tutorials" (http://ondemand.blackboard.com/students.htm)
- Go to "Blackboard Help for Students" (http://help.blackboard.com/student/index.htm)
- UNCG Canvas Resources (http://its.uncg.edu/services/service/canvas-learningmanagement-system)
- Contact 6-TECH: (336) 256-TECH (8324); 6tech@uncg.edu
Class time and environment
I will respect you and your time. In return, I expect you to do the same for me and for your
fellow classmates. I expect you to read the relevant materials before class. I will cold call during
classes. If you are not prepared to contribute to a class session, then I suggest that you do not
attend at all. Lateness and leaving/re-entering the classroom is disruptive to everyone and should
be avoided.
ACC 561, Fall 2015, Combined Syllabi, page 7
SCHEDULE OF CLASS TOPICS AND ASSIGNMENTS
(subject to change at instructor’s discretion)
DATE
TOPIC(S)
Tues Aug 18
Readings: Syllabus
Introduction to Class
ASSIGNMENT DUE
Thurs Aug 20
NFPs Overview
Readings: Chapter 12
Intro DUE
Tues Aug 25
Board Affairs
Readings: (1) The Performance Imperative: A framework for social-sector excellence (16 pages).
(2) www.ifcweb.org . (3) www.chcmow.org . (4) Annual Reports for IFC, CHCMOW. (5) IFC
meeting minutes. (6) CHCMOW meeting minutes.
Thurs Aug 27
NFP Potpourri (NFP Budgeting, Bookkeeping / SMART Outcomes /
NFPs in North Carolina / IRS Form 990)
Readings: (1) Chapter 15 – focusing on objectives and outcomes. (2) Our State’s Nonprofit
Sector Is a Vital Economic Engine. North Carolina Center for Nonprofits, 2015 (37 pages). (3)
IRS Forms 990 for IFC, CHCMOW.
*Tues Sep 1
SMART Outcomes Group Work – DUE at end of class period
Thurs Sep 3
Student Presentations: IRS Form 990
Tues Sep 8
Student Presentations: IRS Form 990
*Thurs Sep 10
Status Quo Group Work – DUE at end of class period
IRS Form 990 HW DUE
*Tues Sep 15
Student Presentations: IRS Form 990
Readings: Skim ASC 958 – Not-for-Profit Entities (~400 pages)
Thurs Sep 17
US GAAP - SFAS No. 117 / US GAAP – SFAS No. 116
Readings: (1) Statement of Financial Accounting Standards No. 117, Financial Statements of
Not-for-Profit Organizations. June 1993 (70 pages). (2) Statement of Financial Accounting
Standards No. 116, Accounting for Contributions Received and Contributions Made. June 1993
(61 pages). (3) SKIM: (a) Audited financial statements for IFC, (b) CHCMOW, and (c)
Comparability of Accounting Information (~30 pages).
Tues Sep 22
US GAAP – SFAS No. 136 / US GAAP – SFAS No. 124
Readings: (1) Statement of Financial Accounting Standards No. 136, Transfers of Assets to a
Not-for-Profit Organization or Charitable Trust That Raises or Holds Contributions for Others.
June 1999 (38 pages). (2) Statement of Financial Accounting Standards No. 124, Accounting for
Certain Investments Held by Not-for-Profit Organizations. November 1995 (42 pages).
ACC 561, Fall 2015, Combined Syllabi, page 8
DATE
TOPIC(S)
ASSIGNMENT DUE
Thurs Sep 24
Student Presentations: US GAAP Applied
Tues Sep 29
Student Presentations: US GAAP Applied
*Thurs Oct 1
Student Presentations: US GAAP Applied
US GAAP HW DUE
*Tues Oct 6
Proposed Changes to NFP Reporting GR: Primary Piece Analysis Due
Readings: (1) FASB_in_Focus_NFP_Entities_4.22.15_FINAL.pdf . (2) The FASB Exposure
Draft. Proposed Accounting Standards Update - Not-for-Profit Entities (Topic 958) and Health
Care Entities (Topic 954). Issued: April 22, 2015. These optional materials may help: (3OPT)
Financial Statements of Not-for-Profit Entities. FASB Presentation. (4OPT) IN FOCUS: FASB
Update for Private Companies & Not-for-Profit Organizations. June 23, 2015. The FASB
presentation.
Thurs Oct 8
NAC Materials
Readings: September 10-11, 2015 Not-for-Profit Advisory Council materials.
*Tues Oct 13 and *Thurs Oct 15 – Fall break; NO CLASS
Tues Oct 20
Fund Accounting (Day 1)
Readings: Chapter 2.
Thurs Oct 22
Fund Accounting (Day 2)
Readings: Chapter 2.
Fund Accounting HW DUE
Tues Oct 27
Revenue Recognition (Day 1)
Readings: Chapter 4.
Thurs Oct 29
Revenue Recognition (Day 2)
Readings: Chapter 4.
Revenue Recognition HW Due
*Tues Nov 3
Expenditures and Expenses (Day 1)
Readings: Chapter 5.
*Thurs Nov 5
Expenditures and Expenses (Day 2) Expenditures / Expenses HW Due
Readings: Chapter 5.
Tues Nov 10
Government Accounting Highlights: Day 1
Readings: (1) SKIM Chapter 6. (2) SKIM Chapter 7.
Thurs Nov 12
Government Accounting Highlights: Day 2
Readings: (1) SKIM Chapter 8. (2) SKIM Chapter 9. (3) SKIM Chapter 10.
ACC 561, Fall 2015, Combined Syllabi, page 9
DATE
TOPIC(S)
ASSIGNMENT DUE
Tues Nov 17
Auditing GNP Organizations
Readings: (1) Chapter 16. (2) Office of Management and Budget (OMB) Circular A-133, Audits
of States, Local Governments, and Non-Profit Organizations. (3) OMB Super Circular Makes
Changes to Audit Requirements.
Thurs Nov 19
Auditing GNP Organizations
Performance Audit HW1 Due
Readings: (1) OMB Circular A-122, Cost Principles for Non-Profit Organizations. Last revised
2004 (55 pages). (2) OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal
Governments. (3) OMB Circular A-102, Grants and Cooperative Agreements with State and
Local Governments.
Tues Nov 24
Wrap-Up
Performance Audit HW2 Due
Readings: Durham City Internal Audit Department Work Papers
Final Paper DUE by 12PM on Thursday, December 3
* = Change in Office Hours
ACC 561, Fall 2015, Combined Syllabi, page 10