Aim High for High School

“Interpretation of relevant law aim high's endowment consists of one board designated fund established for the long-term financial benefit of aim high and its educational goals and objectives by providing annual support to aim high and a newly created permanently restricted fund named alec lee fund for aspiring teachers. Distributions from this fund will support aspiring educators. As required by u.s. Gaap, net assets associated with endowment funds are classified and reported based on the existence or absence of donor-imposed restrictions. These funds include funds designated by the board of directors to function as endowments. The board of directors have interpreted california's enacted version of the uniform prudent management of institutional funds act ("upmifa") as requiring the preservation of the fair value of the original gift absent explicit donor stipulations to the contrary. As a result of this interpretation, aim high classifies as net assets with donor restrictions (a) the original value of gifts donated to the permanent endowment, (b) the original value of subsequent gifts to the permanent endowment, and (c) accumulations to the permanent endowment made in accordance with the direction of the applicable donor gift instrument at the time the accumulation is added to the endowment fund. The remaining portion of the donor-restricted endowment fund that is not classified as in net assets with donor restrictions is classified as expendable net assets with restrictions until those amounts are appropriated for expenditure by aim high in a manner consistent with the standard of prudence prescribed by upmifa. In accordance with upmifa, aim high considers the following factors in making a determination to appropriate or accumulate donor-restricted endowment funds: (1) the duration and preservation of the fund (2) the purposes of aim high and the donor-restricted endowment fund (3) general economic conditions (4) the possible effect of inflation and deflation (5) the expected total return from income and the appreciation of investments (6) other resources of aim high (7) the investment policies of aim high return objectives and risk parameters aim high has adopted investment and spending policies to obtain a long-term investment return at least equal to the endowment's spending rate plus the rate of inflation, thereby preserving the real market value of the endowment over time. Actual returns in any given year may vary from this amount. Investment will be made to target a mix of asset classes including equity, debt, and others with distinct risk characteristics to provide broad diversification and to not expose the endowment to unacceptable levels of risk. Strategies employed for achieving objectives endowment assets are to be invested in a diverse portfolio that includes common stocks, preferred stocks, debt obligations, commingled vehicles, and cash. Mutual funds and exchange-traded funds comprised of these investments are also permitted. No more than 5% of the endowment market value is to be invested in the securities of a single issuer with the exception of mutual funds and exchange traded funds. Spending policy and investment objectives subject to the board's discretion, the endowment policy provides that distributions to the general operating fund for the next year are equal to 70% of the current year distributions adjusted by the inflation rate plus 1.2% of the endowment's market value. For the year ended august 31, 2021, the board decided not to make a distribution.”

“Aim high is a qualified organization exempt from federal income taxes under section 501(c)(3) of the internal revenue code ("irc") and franchise taxes under section 23701d of the california revenue and taxation code, respectively. Accordingly, it is exempt from federal and california income taxes and is not liable for federal unemployment taxes. U.s. Gaap requires management to evaluate the tax positions taken and recognize a tax liability (or asset) if aim high has taken an uncertain position that is more-likely-than-not would not be sustained upon examination by taxing authorities. Management evaluated the aim high's tax positions and concluded that it maintained its tax-exempt status and had taken no uncertain tax positions that would require adjustment to the financial statements. Therefore, no provision or liability for income taxes has been included in the financial statements. Aim high's tax returns are subject to examination by federal and state taxing authorities; however, there are no examinations in progress nor are there any pending.”

“Ppp loan forgiven 446,090.”