Many non-profit entities set aside specific amounts of money received from third parties exclusively aimed at achieving a certain objective. The initial fund capital is generally kept intact and utilised to generate additional income for the fund and not distributed to any beneficiaries. Such a fund is referred to as a special purpose fund, distinguishing it from the general or equity fund of the non-profit entity. In accounting for the fund the argument exists that non-profit entities need not apply Statements of Generally Accepted Accounting Practice (GAAP) but merely their own generally accepted accounting practice. In terms of Circular 5/2003 issued by SAICA, as well as the legal opinion obtained by SAICA per Circular 8/1999, in order to meet the requirements of the Companies Act GAAP must be applied. Even if GAAP is not legally enforceable, the Framework for Preparation and Presentation of Financial Statements should be considered.
Van der Schyf, D.B.(School of Accounting Sciences, University of Pretoria, 2008)
There is increasing academic pressure on Departments of Accounting in South Africa
whose academic programmes are accredited with the South African Institute of
Chartered Accountants (SAICA). The reason for this that the ...
Venter, Elmar Retief(South African Institute of Chartered Accountants, 2007-01)
The purpose of loyalty programs is to develop a long-standing customer relationship between the supplier and the consumer and to increase sales. There are the following two opposing views on how loyalty programs should be ...
This paper investigates the factors influencing the future of the IASB, using as the
point of departure, a review of its historical progression towards becoming the global
accounting standard-setting authority. It concludes ...