calculating nonprofit food service status
Determine what period you are using for your calculation. As a monitor you will complete a calculation to determine the status of nonprofit food service. Let’s take a look at the calculation for determining the nonprofit food service status.
-
Determine the total food service revenue.
-
Determine the allowable net expenses.
-
Subtract allowable net expenses from total food service revenue (Step 1 – Step 2).
-
Identify if there is any excess revenue over expenses (Is the difference greater than $0?).
-
Verify that any excess funds (amount from Step 4) remaining is retained only for the nonprofit food service program. This means the amount retained (remaining funds) should be reflected in the institution or sponsored center’s ending balance. Now you know the steps to calculate the nonprofit food service status!