156 MODEL AVIATION
WE HAVE the new comparative audit
report for the year ended December 31,
2005. You will find the entire report
presented on the AMA Web site.
I am going to make comments on specific
sections on a monthly basis. If you wish to
discuss or have more information about
certain items, please call me.
The cash balance at the end of 2005 was
somewhat lower than at December 31, 2004.
The good news is that money was in process
and within a few days of the close of the
year, the balance was almost equal to the
balance at the end of 2004.
This is a common situation because of
various timing issues that affect the receipt of
money.
The comparison reflects an increase in
investments of approximately $313,000 from
2004. With the write off
of property, equipment,
and depreciation, the
net balance is slightly
lower and the assets are
roughly the same.
Current liabilities are
$386,000 lower than
they were a year ago.
Some people pay for
two-year memberships
and the Deferred
Membership Revenue
represents this money
for membership dues in
2007. Deferred
Royalties are from
credit card programs
that offer incentives that
are paid to AMA prior
to when they are
earned.
Operating expenses
exceeded income for
2005 and therefore,
there is a reduction in
net assets from
$9,698,259 at the end
of 2004 to $9,214,399
for the year 2005. This
is primarily caused by
the drop in
memberships.
AMA’s financial
position is quite strong
but we do need for
every member to recruit
new members. I hope
you will consider it a
privilege to share what
we have with other
people at every
opportunity.
Thought for the day:
When you think about
it, you might as well go
along with the
optimists. Even if they
are right, it is going to
be a tough road.
A-B-C: Always Be
Courteous.
Until later …
Doug Holland
3517 Fernwood Dr.
Raleigh NC 27612
Home: (919) 878-5163
Work: (919) 787-7454
Executive Vice President
Doug Holland; [email protected]
Edition: Model Aviation - 2006/07
Page Numbers: 156