June 30, 2012
2011 versus 2010. Total assets amounted to 133.1million and 123.4million in fiscal year 2011 and 2010 respectively. Total liabilities amount to 17.1 million in fiscal year 2011 and 18 million in fiscal year 2010. When compared to fiscal year 2010, the University's total assets for fiscal year 2011 increased 10.6million primarily in the current asset category due to an increase in student accounts, grant and loans receivables, investments, and capital assets.
The Statement of Revenues, Expenses and Changes in Net Assets is prepared on the accrual basis of accounting, whereby revenues and assets are recognized when the service is provided and expenses and liabilities are recognized when others provide the service, regardless of when cash is exchanged. All items that increase or decrease net assets must appear on the Statement of Revenues, Expenses and Changes in Net Assets as revenues, expenses, gains or losses.
Financial activities are reported as either operating or nonoperating. GASB Statement No. 35 requires state appropriations, gifts, investment income and endowment income to be classified as nonoperating revenues. Accordingly, the University reports an operating loss prior to the addition of nonoperating revenues. The utilization of long-lived capital assets is reflected in the financial statements as depreciation, which amortizes the cost of an asset over its expected useful life. Tuition revenue is reduced by gift scholarships and institutional aid, and is reported net of scholarship allowances in the financial statements. A summarized comparison of the University's revenues, expenses and changes in net assets for the years ended June 30, 2012, 2011 and 2010 is as follows.