Cash and cash equivalents are cash and all other highly liquid investments purchased with an initial

maturity of three months or less. Investments are recorded at Fair Value. The net realized and unrealized gains (losses) are reflected in investment income in the statement of activities and changes in net assets. Other investments are certificates of deposit with original maturities greater than three months and are carried at amortized cost. Receivables consist primarily of fully collectible government grants receivable. Accounts receivables are carried at amount of reimbursable costs incurred, less the estimate made for doubtful receivables. Prepaid expenses consist of deposits, prepaid rent, prepaid insurance and other similar amounts that relate to future periods. Supplies of literature and other program-related materials are stated at the lower of cost or market, with cost being determined using the average cost method. Property and equipment are recorded at fair value at date of receipt, expenditures are stated at cost. -Depreciation is provided on a straight-line basis over the estimated useful lives of the assets ranging from three to seven years.

Accounting for leases are determined as operating, capital or financing leases based on the terms of the lease agreement. Madd have a non cancelable operating lease agreement for office space that expires through June 30, 2016. Advertising costs are expensed as incurred Revenue Recognition: Revenue is recognized on conditional promises to give when the conditions are substantially met. Grant revenue is recognized as contract terms are fulfilled. Revenue from victim impact panels is recognized as the panels occur. Licenses, promotions and other revenue are recognized when earned. Deferred revenue primarily consists of advance payments from granting agencies. Special events consists of fundraising events such as golf tournaments and bike rallies. registration fees in events are included in Special events revenue, while contribution raised in events are included in contribution revenue. Joint costs are not identifiable with a particular component of the activity and are allocated between fundraising and program services. Income Taxes: MADD is exempt from federal income tax under section 501(c)(3) of the United States Internal Revenue Code. Madd does not have unrelated business income for year ended June 30, 2011 and 2010. Thus, no income tax provisions has been provided in this financial statements. Comparative Financial Information and Reclassifications -Certain accounts in the prior-year financial statements have been reclassified for comparative purposes to conform with the presentation in the current-year financial statements.