Summary
The MindBridge not-for-profit library supports workflows to easily surface relative risk summarization and analytical insight for specific programs, including industry-specific ratios.
- Not-for-profit: Account grouping
- Not-for-profit: Ratios
- Not-for-profit: Filters
- Not-For-Profit: Risk scores
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Program support
Not-for-profit: Account grouping
This library uses the MindBridge Account Classification (MAC) code system, which has been expanded to include not-for-profit concepts such as contributions and grants.
Not-for-profit: Ratios
This library contains the following predefined ratios by default. Learn more about managing ratios in the library settings.
| Ratio | Formula | Description | FS |
|---|---|---|---|
| Activity | |||
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Repairs and maintenance as a % of property, plant and equipment |
5210 Repairs, maintenance, and upgrades expense, Cumulative YTD Activity * 365 / Days in YTD period / 1116 Property, plant and equipment (PP&E), Calculated Ending Balance + 1113 Lease and right-of-use assets, Calculated Ending Balance |
This ratio compares the amount of repairs and maintenance to the overall amount of plant, property, and maintenance. An increase or decrease in this ratio may indicate unusual amounts being spent on repairs and maintenance or changes in the amounts of plant, property and equipment. |
IS & BS |
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Going concern |
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Interest Coverage Ratio |
4100 Operating revenue, Activity + 5100 Cost of goods and services sold, Activity + (5200 Operating expenses, Activity – 5217 Interest expense and bank charges, Activity) / 5217 Interest expense and bank charges, Activity |
This ratio measures the company's ability to pay interest on its outstanding debt. It's calculated using operating profit, which is also known as earnings before interest and taxes (EBIT). This provides a clearer view of the company's operational efficiency and its capacity to cover interest expenses independently of its tax strategy and capital structure. | IS |
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Profitability |
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| Change in Net Assets | 4000 Revenue, Activity - 5000 Expenses, Activity / 1 | Measures an organization’s financial performance by answering the question, "Did the organization live within its means during the fiscal year?" While an organization's success shouldn't be judged by a positive or negative change in net assets over one year, consecutive deficits could be a cause for concern. | IS |
| Operating Margin | 4000 Revenue, Activity - 5000 Expenses, Activity / 4000 Revenue, Activity | This is a great forecasting ratio as it measures a not-for-profit’s ability to produce a potential surplus, which could be drawn on if needed in future years. | IS |
Not-for-profit: Filters
This library includes 14 predefined filters made to help you narrow your search results when viewing an engagement’s transactions in the Data table dashboard.
Using various combinations of control points, accounting standards, and the auditor's professional judgement and understanding of the business, the following filters can be strong indicators of activity that falls outside the normal course of business.
You can also create your own filters tailored to your clients' needs.
| Filter name | Filters on | Description |
|---|---|---|
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Additional assurance filters |
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High Impact Outlier |
High control point score for: |
This filter finds entries or transactions that do not occur regularly in the dataset, with a net effect greater than the Material Value threshold as defined in the control point settings. |
| MindBridge AI Journal Entry Testing |
High control point score for: |
The filter finds outlier entries or transactions containing keywords indicating manual entry into the ledger, with a net effect greater than the Material Value threshold as defined in the control point settings.
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| Unusual Transactions |
High control point score for: |
This filter can help identify anomalous movements of money when compared to normal business practices. |
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Purchasing cycle filters |
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| Cost of Goods Sold |
Account is: 5100 Cost of goods and services sold |
This filter finds entries or transactions that belong to accounts related to cost of sale. Note: The integrity of this filter relies on accurate account grouping and account mapping. |
| Expenditure |
Account is: 5201 Employee-related expense (wages, benefits, etc.) or 5202 General and administrative expense or 5203 Research and development costs or 5204 Advertising and promotion expense or 5207 Facilities/rental expense or 5208 Insurance expense or 5210 Repairs, maintenance, and upgrades expense or 5212 Travel expense or 5216 Business taxes and fees or 5229 Other/unspecified operating expense or 5300 Other expenses |
This filter finds entries or transactions that belong to accounts related to expenditure. Note: The integrity of this filter relies on accurate account grouping and account mapping. |
| Payroll Transaction |
Account is: 5201 Employee-related expense (wages, benefits, etc.) |
This filter finds entries or transactions that belong to accounts related to payroll transactions. Note: The integrity of this filter relies on accurate account grouping and account mapping. |
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Repairs and Maintenance Review |
Account is: 5210 Repairs, maintenance, and upgrades expense |
This filter finds entries or transactions that belong to accounts related to repairs and maintenance review. Note: The integrity of this filter relies on accurate account grouping and account mapping. |
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Revenue filter |
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Reversed Revenue or Reversal of Revenue |
Increasing credits in: 4000 Revenue or Increasing debits in: 4000 Revenue and High control point score for: |
This filter finds entries or transactions that are a credit or debit to revenue, and that are flagged as either a reversal or a reversed entry. When you import a general ledger, MindBridge updates the account tags based on MAC codes related to revenue (i.e., all online revenue, wholesale revenue, etc.) |
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Revenue |
Account is: 4100 Operating Revenue |
This filter finds entries or transactions that belong to accounts related to revenue. Note: The integrity of this filter relies on accurate account grouping and account mapping. |
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Standard filters |
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| Transactions Near Analysis Period End |
High control point score for: |
This filter finds entries or transactions that occurred within the first or last 10 days of the analysis period. |
| Transactions Near Reporting Period End |
High control point score for: |
This filter finds entries or transactions that occurred within the first or last 10 days of the reporting period. |
| Manual Transactions Near Analysis Period End |
High control point score for: End of Analysis Period or Start or Analysis Period and |
This filter finds entries or transactions that occurred within the first or last 10 days of the analysis period, and that contain keywords indicating manual entry into the ledger. |
| Manual Transactions Near Reporting Period End |
High control point score for: End of Reporting Period or Start of Reporting Period and |
This filter finds entries or transactions that occurred within the first or last 10 days of the reporting period, and that contain keywords indicating manual entry into the ledger. |
| Material Transactions Near Analysis Period End |
High control point score for: End of Analysis Period or Start or Analysis Period and |
This filter finds entries or transactions that occurred within the first or last 10 days of the analysis period with a net effect greater than the Material Value threshold as defined in the control point settings. |
| Material Transactions Near Reporting Period End |
High control point score for: End of Reporting Period or Start of Reporting Period and |
This filter finds entries or transactions that occurred within the first or last 10 days of the reporting period with a net effect greater than the Material Value threshold as defined in the control point settings. |
Not-for-profit: Risk scores
This library contains 3 assertion risk scores, the overall MindBridge score, and lists the rule-based, statistical, and machine learning control points within each assertion.
- Asset assertion scores
- Liabilities and equity assertion scores
- Overall scores*
- Profit and loss assertion score
*In addition to the 32 rules-based, statistical, and machine learning control points included in the overall MindBridge score, Expense Flurry has been added to the MindBridge score in the not-for-profit library.
Program support
During the column mapping process, you can identify relevant Programs available in the transactional data, and enable them for filtering and data interrogation throughout the analysis.
Additionally, when Programs are mapped successfully, a Statement of Functional Expenses becomes available as an Excel report, which breaks down all expenses in the ledger across their respective Programs.
Anything else on your mind? Chat with us or submit a request for further assistance.