Please answer
the following questions for all three institutions.
1.
Review
the Statement of Net Position. For the last three years, show the following:
a.
The major restrictions appearing in the restricted
portion of the Statement of Net Position.
b.
The amount reported for contributions receivable that
is unrestricted.
c.
The amount of unrestricted net assets that is
designated by the board.
d.
The total investment return on investments reported in
all three net asset categories along with how much of this amount represented
an increase in unrestricted net assets.
e.
The amount of investments in endowments reported in the
permanently restricted net asset class.
f.
The major depreciable and non-depreciable assets
reported.
g.
The largest non-cash asset on the Statement of Net
Position.
h.
The total amount of cash.
i.
The amount of cash that donors contributed for the
acquisition of buildings and equipment
j.
Is the Unrestricted Net Position a positive or negative
amount??
2.
Review
the Statement of Revenue, Expenses and Change in Net Position. For the last
three years, answer the following:
a.
The largest revenue item in the operating income
section; the largest source of total revenue; and the largest source of
unrestricted revenue.
b.
The percent of tuition revenue not on an accrued basis
by the end of the fiscal year.
c.
How (and how much) scholarships and fellowships, for
which no service is required, are reported in the statement.
d.
Whether operating income a positive or negative figure.
Why? How much of the net assets released were for operations?
e.
The five largest expense items in the operating income
section. Are these to be expected? Explain why. Give three suggestions on how
the school can continue to expand revenue sources and save on spending?
3.
Review
the Statement of Cash Flows. For the last three years, what is the largest
adjustment on the statement in adjusting the change in net assets to cash
provided by operating activities (also is it positive or negative)? Do you
think this adjustment is common for a private university? Why or why not
4.
How
much outstanding bonds payable does the institution have? What is the institution’s
bond rating? Has it been improving or deteriorating over the last three years?
What are the major comments given by the rating agency for the current bond
rating?
5.
What
interest rate did the university use to determine the present value of
multiyear pledges?
It is your committee responsibility is to recommend
which university should receive the other $2 million grant by identifying the
one with the best performance based on your evaluation.
6.
Complete
the ratios included in Table 1 for all three institutions for the last three
years in an Excel file.
7.
Create
a chart similar to Table 2, Panel C to show your evaluation of the other two
institutions.
8.
Complete
a comprehensive performance evaluation of DePaul and the two universities in a
professionally written report. The written report should include background
information about the two other universities, as well as clear identification
and evaluation of their performance. A final recommendation should be clearly
stated at the end of the written report. Each Grant Committee should document
their justification for selecting the most deserving
university.