Management Technologies International Inc.

“Form 990 is prepared by an independent CPA firm and reviewed in detail by the organization's top management. The reviewed Form 990 is then provided to the board of directors prior to filing with the IRS.”

“Board members and officers complete and sign an annual conflict of interest questionnaire. Questionnaires are reviewed by the audit committee. If a conflict of interest were to arise, the interested party discloses the conflict of interest and abstains from voting on the matter.”

“Questions 15a & 15b - Annually, the independent board evaluates salary surveys and comparability data from independent industry sources for officers when approving budgets and records in the minutes the evaluation and approval of compensation.”

“Disclosure of governing documents, conflict of interest policy, and financial statements are made to interested parties upon written request.”

“Net Sales of Inventory: The inventory sold consisted of a single book entitled "Faith of Our Fathers" which is a non-fictional book describing the history and role of faith in ancient Chinese leadership. The book is used to further the character-based educational purpose of the organization.”

“The organization receives an annual audit performed by independent auditors using auditing standards generally accepted in the United States of America (U.S. GAAS) and according to accounting standards generally accepted in the United States of America (U.S. GAAP). The U.S. GAAS and GAAP are used due to the material amount of activity conducted inside the United States, and compatible financial reporting practices used in other areas of operations, specifically in Asia. FAS 117 is followed by the organization in preparing the financial statements.”

“In accordance with the principles of FASB ASU 2016-14 (ASC 958), the organization has implemented required changes to its audited financial statements for the period ended 6/30/2019. To date, Form 990 and its associated schedules have not been updated to reflect changes made by this standard. Thus, we have reported the revised net asset categories from the audited financial statements as follows on Form 990, Part X, Lines 27-29: Line 27 - Net assets without donor restrictions $3,739,672 Line 29 - Net assets with donor restrictions 185,999 Total net assets $3,925,671”

“Foreign currency translation adjustment 375.”