KENTUCKY STATE UNIVERSITY
NOTES TO FINANCIAL STATEMENTS
June 30, 2017
In the Statement of Revenues, Expenses and Changes in Net Position, operating expenses are presented by functional expense purpose. Depreciation is allocated below based on functional classification as required by IPEDS for Fiscal Year 2017. Functional expense purpose is classified by natural classification as follows:
| Compensation and Benefits | Supplies and Services | Scholarships and Fellowships | Depreciation | Operations and Maintenance | Total |
|---|
| Instruction | $ 10,138,662 | $ 784,580 | $ - | $ 633,563 | $ 944,276 | $ 12,501,081 |
|---|
| Research | 5,389,222 | 3,559,019 | - | 777,128 | 794,657 | 10,520,026 |
|---|
| Public service | 5,024,015 | 4,064,288 | - | 371,726 | 772,969 | 10,232,998 |
|---|
| Academic support | 2,343,132 | 515,847 | - | 215,190 | 251,179 | 3,325,348 |
|---|
| Student services | 4,333,968 | 1,792,211 | - | 435,455 | 536,123 | 7,097,757 |
|---|
| Institutional support | 7,359,729 | 4,564,517 | - | 611,997 | 1,023,379 | 13,559,622 |
|---|
| Operation & maintenance | | | | | | |
|---|
| of plant | 2,071,047 | 2,602,949 | - | 657,538 | (5,331,534) | - |
|---|
| Auxiliary enterprises | 1,017,202 | 4,390,069 | - | 304,730 | 466,706 | 6,178,707 |
|---|
| Student financial aid | 410,505 | 217,341 | 5,967,862 | 40,870 | 542,245 | 7,178,823 |
|---|
| Total operating expense | $ 38,087,482 | $ 22,490,821 | $ 5,967,862 | $ 4,048,197 | $ - | $ 70,594,362 |
|---|
Kentucky State University Foundation, Inc. (the Foundation) is a Kentucky not-for-profit corporation formed to receive, invest and expend funds to promote and implement educational and developmental activities at Kentucky State University (the University). The Foundation is managed by a Board of Trustees independent from that of the University. The Foundation is supported primarily through contributions from alumni.
Use of Estimates: The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) which require management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates. The following is a summary of the significant accounting policies consistently followed by the Foundation in the preparation of its financial statements.
40.