THOMAS W. VAN HORN, JR.
CERTIFIED PUBLIC ACCOUNTANT
114 SOUTH VICKSBURG STREET
Marion, Illinois 62959
(618)997-5524
tom@tvhcpa.com

 

INDEPENDENT AUDITOR'S REPORT


Board of Directors
Marion Medical Mission
Marion, Illinois

I have audited the accompanying statements of financial position of Marion Medical Mission (a nonprofit organization) as of June 30, 2007, and the related statements of activities and cash flow for the year then ended. These financial statements are the responsibility of the Organization's management.  My responsibility is to express an opinion on these financial statements based on my audit.

I conducted my audit in accordance with  auditing standards generally accepted in the United States of America. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.  An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements.  An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation.  I believe that my audit provides a reasonable basis for my opinion.

In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Marion Medical Mission as of June 30, 2007, and the changes in its net assets and its cash flows for the year then ended in conformity with generally accepted accounting principles.

November 13, 2007

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MARION MEDICAL MISSION 
STATEMENT OF FINANCIAL POSITION - JUNE 30,  2007

ASSETS

Current Assets:

Cash in Bank, general Account

 $628,382

Escrow, designated scholarship fund

 2,881

Escrow, designated shallow wells

 258,662

Escrow, designated contributions
109,098

Accounts receivable

         27,438

Total current assets:
$1,026,461
Investments              644
                             Total assets $1,027,105

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LIABILITIES AND NET ASSETS

Current liabilities:

Accounts payable

 $407,966
          Accrued payroll taxes          523
                         Total current liabilities 408,489

Unrestricted net assets
618,616
$1,027,105

 

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MARION MEDICAL MISSION 
STATEMENT OF ACTIVITIES
YEARS ENDED JUNE 30, 2007

Support and Revenues: Unrestricted Temporarily
Restricted		 Total
Contributions:
General $173,508 $173,508
Shallow wells 354,596 354,596
Shallow wells truck fund 81,500 81,500
Capicity Building, Shallow well 75,000 75,000
Hearing aids 150 150
School buildings 1,170 1,170
Hospital 906 906
Schools 39,814 39,814
Scholarships 4,875 4,875
Motorcycles 14,945 14,945
Functionality survey 27,024 27,024
Air freight            20            20
Total  support and Revenues

$773,508

$773,508
Expenses:

Program services:
Mission expenses:
Shallow well supplies $212,577 $141,478 $354,055
Shallow well truck 83,915 83,915
Motorcycles 14,945 14,945
Capacity Building, Shallow Well 58,086 68,987 127,073
Hospital supplies and medicines 10,000 10,000
Miscellaneous supplies 822 822
Hearing aids 150 150
Chizimya Full Primary School 5,666 5,666
Embangweni School for Deaf Children 25,282 25,282
Karonga School for Deaf Children 4,182 4,182
Mziza Secondary School 10,673 10,673
Kamwabambo Full Primary School 8,036 8,036
Nsambo Full Primary School 1,682 1,682
Miscellaneous school needs 2,158 2,158
Scholarships 1,419 3,531 4,950
Food and grain bank 1,513 1,513
Air freight 1,401 1,401
Insurance 16,095              16,095
Functionality survey 17,238 17,238
Total Mission Expenses      $475,840    $213,996    $689,836
Mission travel:
Mission Travel $72,921 $72,921
Designated travel contributions (72,934) (72,934)
NetMission travel

(        13)

                      

(        13)
Total program services

$475,827

$213,996

$689,823
Supporting services:
Management and general
Newsletters $3,167 $3,167
Office supplies 1,543 1,543
Postage 1,355 1,355
Clerical 8,616 8,616
Miscellaneous 1,048 1,048
Designated contributions (      5,554) (      5,554)
Interest income (      20,432)                     (      20,432)
Net management and general

(     10,257)

                   

(     10,257)
Total expenses

$465,570

$213,996

 $ 679,566
Increase (decrease) in net assets $307,938   (  $213,996) $93,942
Net assets, beginning of year

$310,678

$213,996

  $524,674
Net assets, end of year

$618,616

$           0

  $618,616

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MARION MEDICAL MISSION 
STATEMENT OF CASH FLOW
YEAR ENDED JUNE 30, 2007

Cash flows from operating activities:
Increase in net assets $93,942
Adjustments to reconcile increase in net assets to
net cash provided by operating activities:
       Donation of marketable securities (    519)
       Increase in fair value of investments (    125)
(Increase) decrease in operating assets:

Accounts receivable

   (  11,410)
Increase (decrease) in operating liabilities:

Accounts Payable

 194,412
         Accrued payroll taxes         523
Net cash provided by operating activities 276,823
Cash and cash equivalents, beginning 722,200
Cash and cash equivalents, ending $999,023

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MARION MEDICAL MISSION 
NOTES TO FINANCIAL STATEMENTS
YEAR ENDED JUNE 30, 2007

1.  Nature of activities and summary of significant accounting policies

Nature of activities:

Marion Medical Mission, a nonprofit corporation, provides medical and other services to underdeveloped countries, primarily in Africa. The services are delivered by sending volunteer medical and non-medical personnel to assist with various projects in the affected countries. The major projects consist of the construction of shallow drinking-water wells and the construction of school buildings. The Organization receives donations from churches, businesses and individuals. No part of the funds raised, unless so designated, are used to pay either administrative or travel expenses outside of the underdeveloped countries served by Marion Medical Mission.

Functional expenses:

The Organization allocates it expenses on a functional basis among its various programs and support services. Expenses that can be identified with a specific program and support service are allocated directly according to their natural expenditure classification. Other expenses that are common to several functions are allocated by various statistical bases..

Financial statement presentation:

The Organization has adopted Statement of Financial Accounting Standards (SFAS) No. 117, Financial Statements of Not-for-Profit Organizations. Under SFAS No. 117, the Organization is required to report information regarding its financial position and activities to three classes of net assets: unrestricted net assets, temporarily restricted net assets, and permanently restricted net assets.

Investments:

Marion Medical Mission carries investments in marketable securities with readily determinable fair values and all investments in debt securities at their fair values in the Statement of Financial Position. Unrealized gains and losses are included in the change in net assets in the accompanying Statement of Activities.

Income taxes:

Marion Medical Mission is a not-for-profit organization that is exempt from income taxes under Section 501(c) (3) of the Internal Revenue Code.


Cash and cash equivalents:

For purposes of the statements of cash flows, the Organization considers all highly liquid investments available for current use with an initial maturity of three months or less to be cash equivalents.

Estimates:

Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the report amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenue and expenses. Actual results could vary from the estimates that were used.

2. Investments   

    Investments are are summarized as follows:

  Cost Fair Value Unrealized appreciation (depreciation)
Common Stock, public $519 $644 $125

The following schedule summarizes the investment return and its classification in the Statement of Activities.

  Unrestricted Temporarily restricted Total
Interest income $20,307 $20,307
Net realized and unrealized gains         125         125
 
Total Investment return $20,432 $20,432

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