Collection of ASB fees for auxiliary organizations should be booked to CSU fund 461 using the same depository object code as above. Investments held by the campus on behalf of an auxiliary organization should be recorded as depository accounts (rather than accounts payable) by the campus as the auxiliary organization would record the transaction as accounts receivable from campus. Due to timing issue, fourth quarter investment earnings might be recognized and recorded using GAAP adjusting entry. Below is an example of GAAP adjusting entry at June 30 to record accrual of fourth quarter investment earning. Class Fund (CSU Account Account Name (Net Position) Program Fund) Amount 891-Agency Funds: 711102 Short-term investments 90 461 $500 Depository Account 891-Agency 711102 Short-term investments 90 534 $200 Depository Account 891-Agency Funds: 712110 Depository accounts, current 90 461 ($500) Depository Account 891-Agency Funds: 712110 Depository accounts, current 90 534 ($200) Depository Account Journal To accrue 4th quarter investment earnings. Description Please refer to Chapter 10, of Legal Manual for additional Auxiliary Organizations, information. When a campus receives scholarship monies for which the scholarship recipients have been determined by another agency, the campus is acting as their agent. The transactions are to be recorded in CSU fund 436, Agency Fund-Miscellaneous As the money does not belong to the campus, there Financial Aid and Other Agency. should be no revenue or expenses recorded in conjunction with these types of transactions. Both receipts and disbursements would be recorded using liability object code 206700, Depository Accounts-Noncurrent, or 206701, Depository The legal-basis recording will derived to GAAP accounts correctly without GAAP manual adjusting entry at year-end. Please refer to Chapter 32, of Financial Assistance-Campus/Local/Nongovernmental, Legal Manual for additional information.
Collection of ASB fees for auxiliary organizations should be booked to CSU fund 461 using the same depository object code as above. Investments held by the campus on behalf of an auxiliary organization should be recorded as depository accounts (rather than accounts payable) by the campus as the auxiliary organization would record the transaction as accounts receivable from campus. Due to timing issue, fourth quarter investment earnings might be recognized and recorded using GAAP adjusting entry. Below is an example of GAAP adjusting entry at June 30 to record accrual of fourth quarter investment earning. Account Account Name Fund (Net Position) Program Class (CSU Fund) Amount 711102 Short-term investments 891-Agency Funds: Depository Account 90 461 $500 711102 Short-term investments 891-Agency Depository Account 90 534 $200 712110 Depository accounts, current 891-Agency Funds: Depository Account 90 461 ($500) 712110 Depository accounts, current 891-Agency Funds: Depository Account 90 534 ($200) Journal Description To accrue 4th quarter investment earnings. Please refer to Chapter 10, Auxiliary Organizations, of Legal Manual for additional information. When a campus receives scholarship monies for which the scholarship recipients have been determined by another agency, the campus is acting as their agent. The transactions are to be recorded in CSU fund 436, Agency Fund-Miscellaneous Financial Aid and Other Agency. As the money does not belong to the campus, there should be no revenue or expenses recorded in conjunction with these types of transactions. Both receipts and disbursements would be recorded using liability object code 206700, Depository Accounts-Noncurrent, or 206701, Depository The legal-basis recording will derived to GAAP accounts correctly without GAAP manual adjusting entry at year-end. Please refer to Chapter 32, Financial Assistance-Campus/Local/Nongovernmental, of Legal Manual for additional information.
CH_04.03.07_Depository_Accounts_FINAL.docx