The Royal Scottish Country Dance Society

Vancouver Branch

FINANCIAL STATEMENTS

(Unaudited - see Notice to Reader)

May 31, 2014

Index

Notice to Reader1

Statement of Financial Position 2

Statement of Operations3

Statement of Changes in Fund Balances 4

Notes to the Financial Statements 5-6

NOTICE TO READER

On the basis of information provided by the Treasurer, we have compiled the Statement of Financial Position of The Royal Scottish Country Dance Society – Vancouver Branch for the year ended May 31, 2014 and Statement of operations and Statement of Changes in Fund Balances for the year then ended.

We have not performed an audit or a review engagement in respect of these financial statements and, accordingly, we express no assurance thereon.

Readers are cautioned that these statements may not be appropriate for their purposes.

MacKenzie Burgess Kilpatrick

Certified General Accountants

Vancouver, BC

August 18, 2014

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The Royal Scottish Country Dance Society – Vancouver Branch

STATEMENT OF FINANCIAL POSITION

(Unaudited –see Notice to Reader)

May 31, 2014

(with comparative figures for 2013)

ASSETS

20142013

Current Assets

Cash2,37820,900

Term Deposits (See Note 3)37,00025,000

Investments (See Note 3)56,74858,174

GST recovery9271753

Prepaid expenses2376500

Accrued Investment Income541695

99,970107,022

LIABILITIES AND EQUITY

Current Liabilities

Accounts Payable and Accrued Liabilities7001,333

Deferred Revenue

Mary Wattum Betwixt & Between Fund (See Note 2)27,20228,138

Internally Restricted Funds

Pearl Holmberg Fund (See Note 2)33,18835,127

Mary Wattum Dance Fund (See Note 2)2,4205,524

35,60840,651

Fund for Demonstration Team attire802691

Deposit with Branch for Youth Weekend West500500

Unrestricted Member’s Equity35,15835,709

99,970107,022

Signed

J. Stewart Cunningham, TreasurerJennifer Shearman, Chair of the Board

The attached Notes form an Integral part of these Financial Statements

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The Royal Scottish Country Dance Society – Vancouver Branch

STATEMENT OF OPERATIONS

(Unaudited – see Notice to Reader)

for the year ended May 31, 2014

(with comparative figures for 2013)

20142013

Income

Membership Fees$ 11,010$ 11,144

Less dues remitted to RSCDS Edinburgh6,8415,386

4,1695,758

Dance Classes6,6276,592

Teacher Candidate Classes (See Note 5)03,040

Branch Events and Workshops32,47437,110

Demonstration Team3,2002,150

Other Events00

Book and CD Sales426597

Donations and Miscellaneous Income171545

Investment Income 2,1091,690

49,17657,482

Expenses

Newsletter preparation and distribution1,2861,711

Dance Class hall rental, teacher & other expenses6,3536,196

Teacher Candidate Class expenses (See Note 5)03,954

Branch Event and Workshop expenses33,01537,466

Demonstration Team expenses3,2903,448

Insurance1,6101,469

Publicity2,7501,067

Miscellaneous & Administrative expenses2,6335,562

CDs & Books1,123506

Net contribution to Dem. Team attire fund111691

HST/GST Paid9271,754

Donations Paid2,6082,174

55,706 65,998

Excess of Income over Expenses before allocation(6,530)(8,516)

Amount allocated to Funds (page 4) 5,979 3,910

Excess of Income over Expenses after allocation$ (551)$ (4,606)

The attached Notes form an Integralpart of these Financial Statements

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The Royal Scottish Country Dance Society - Vancouver Branch

STATEMENT OF CHANGES IN FUND BALANCES

for the year ended May 31, 2014

Mary WattumPearl HolmbergMary Wattum

Betwixt & BetweenFundDance

FundFund

Fund at beginning

of year$ 28,138$ 35,127$ 5,524

Investment Income

allocation57871999

Less excess of expenses

over income for the

Betwixt & Between Dance1,514------

Less excess of expenses

over income for 2013

Heather Ball------3,203

Less payment of

initial expensesfor 50th

Anniversary celebrations---750---

Less payment of expenses

for 50th Anniversary

Opening Event---1,140---

Less purchase of CDs and

books given to teachers in

appreciation of their

work and dedication---768---

Fund at end of year$ 27,202$ 33,188$ 2,420

The attached Notes form an Integralpart of these Financial Statements

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The Royal Scottish Country Dance Society - Vancouver Branch

Notes to the Financial Statements

for the year ended May 31, 2014

  1. Operations:

The Royal Scottish Country Dance Society – Vancouver Branch (the “Branch”) is a not-for-profit society incorporated under the Society Act of British Columbia and registered as a Charity under the Federal Income Tax Act. The Branch’s main activities are the preservation and practice of traditional Scottish Country Dances in accordance with the principles and standards laid down by the Royal Scottish Country Dance Society headquartered in Edinburgh, Scotland.

  1. Significant Accounting Policies:

Financial results of all the Branch’s activities are recorded in the accounts. From time to time, the Branch has received significant donations from members and these are then recorded in separate funds. If the use of these monies was left to the discretion of the Board, the Funds are disclosed as a restricted part of the Members’ Equity. If the amounts donated were covered by a specific mandate governing their use, the Fund is shown as a long term liability.

Separate assets are not held for each of these funds but an equitable allocation of the investment income from all assets is made at each year-end.

Where dates are necessary to calculate the amounts of income or expenses to be allocated to a fund, an appropriate date or dates has been established for a total of some or all of these income and expense amounts to be allocated

The following separate funds are held by the Branch:

a.The Mary Wattum Betwixt and Between Fund was established by a donation from Mary Wattum, a former member of the Branch, and its use is not within the control of the Board. The fund is to be used solely for the purpose of paying the amount (if any)by which the expenses exceed the income at the annual Betwixt and Between Dance.

b.The Pearl Holmberg Fund was established by a legacy left to the Branch by a former member, Pearl Holmberg. The Fund perpetuates the memory of Pearl Holmberg and the Board establishes criteria from time to time for distributing money from this Fund.

c.The Mary Wattum Dance Fund was established with money given to the Branch by a former member, Mary Wattum. The Board has decided thatthis fund is to be used to help to defray the costs of dance events organized by the Branch.

These Notes form an integralpart of the Financial Statements

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Revenue recognition:

  1. The Branch follows the deferral method of accounting for contributions and other restricted revenue. These amounts are recognized as revenue in the year the related expenses are incurred. Unrestricted contributions are recognized as revenue in the year they are received. Membership fees are fully recognized as revenue in the year they are received.
  2. Capital Assets: The Branch writes off capital assets against operations in the year of purchase.
  3. Donated services: The value of services donated by Branch members is not recorded in these financial statements due to the impracticality of determining fair values.
  4. Statement of cash flow: A statement of cash flows has not been prepared as it is not considered to provide additional meaningful information.
  1. Investments:

The investments held at 31st May 2014 with their current values on that date are as follows:

  1. Home Trust Guaranteed Investment Certificate guaranteed by the Canada Deposit Insurance Corporation bearing interest at 1.96% p.a. and due on September30, 2014. Current Value $25,000.00
  2. Phillips, Hager and North Total Return Bond Fund. Current Value $30,404.83
  3. Phillips, Hager and North Monthly Income Fund. Current Value $25,558.04
  4. VanCity Redeemable Term Deposit bearing interest at1.30% p.a.and due on March 28,2015. Current Value $7,000.00

The investments are shown in the financial statements at cost plus dividend allotments to the investments as they occur.

  1. Children’s Committee:

The Children’s Committee of the Branch operates a separate account that is not included in these financial statements, but is reported on separately. The accountant for the Children’s Committee states that the committee has a bank balance of $2,195.02 at May 31, 2013. This has been verified by an independent person with financial training but has not been otherwise inspected or verified for the purposes of this report.

  1. Teacher Candidate Classes

Teacher Candidate Classes are usually held every two years so no class was held in 2014.

These Notes form an integralpart of the Financial Statements

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