Re: November 2010 MKP Financial Reports

[Jeffrey Greenberg]

Dennis and other members of the Round Table:

My perusal of the financial reports reveals the same observations/concerns that I have raised before:

1) We seem to not be depreciating our assets (e.g. Sound System and Camera Equipment) for they have the same value on our current Balance Sheet as a year ago.

2) the primary variance in our financials are in Personnel fees which are roughly $8k for additional training, which has $10k of unbudgeted revenue to offset AND the now infamous nwta Marketing expenses of $7550.  Yes, I said infamous.  If this additional expense has additional revenue as a result then this expense would seem worthwhile, if revenues are as they were before, then this seems to have been a decision worth reviewing.  I believe that some information on the side of the incremental benefit of this expenditure would ease the issues we have with such deficit spending.

Sincerely, 

Jeff Greenberg

Communications Chair

On Dec 7, 2010, at 12:53 PM, Norma Mai wrote:

Dear Men:

 

Attached, please find the November, 2010 MKP financial reports.  These have been reviewed by Dennis Smith, MKP Treasurer.  If you have any questions, please contact Dennis at 303-799-9111 x 203.

 

Cordially,

 

 

Norma Mai

Office Manager

Phone:  303-799-9111 x 201

Fax:  303-799-9333

 

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<113010 MKP financials.pdf>

[Dennis Smith]

Thank you for your excellent points, Jeff

 

Depreciation is deducted as an expense of 2,131.60.  In the summary P&L, it is rolled up into the account “9800   Fixed Asset Purchases”; and in the detail P&L, it shows as depreciation expenses, for the same amount of 2,131.60.  We began depreciation after our August meeting, when you raised this concern. 

 

In your comparison of income and expenses to our 2009 budget, you mention two substantial items. 

1)       Revenue from the BSDT, Leadership II training, and other trainings of 10,380: --  These were excluded from the 2009 budget because the events were not planned in November, 2009 when the budget was adopted.  They were also estimated to “break even”, which they essentially did (additional expenses equaled the additional revenue)

2)      The Marketing Expenses were authorized by the Board of Directors, in response to our contacting other centers to see what they were doing to attract more men for the weekend.  The information we received indicated that the centers who were doing a better job than us had a paid marketing person.  Over the last five of years, we have been unsuccessful in attracting and keeping a man in the marketing position.  Michael stepped up and is specially talented in the area.  He accepted our offer to increase the enrollment to and beyond our “break even point”.  Since we have engaged him, the weekend enrollments have substantially increased, as you may recognize.  Therefore, the funding for this marketing costs has come from income additional revenue from NWTA.  Our “break even point” for the NWTA has increased due to this marketing cost.  We should have amended the 2009 Budget back in July, when this change occurred.  This item is included in the 2011 budget.   

 

Thank you for your excellent questions and suggestions over this last year

Sincerely

Dennis Smith, Treasurer      Inner Gold, Inc.

Accounting For Success, PC

Certified Public Accountants

116 Inverness Drive East, Suite 205

Englewood, Colorado 80112

Phone 303-799-9111 ex 203

Cell 303-944-6629