–Separate
column for indirect expenses, if allocated
•Depreciation
•Interest
Expenses must be
reported at least as detailed as presented in the fund statements.
Indirect
expenses can be allocated to functional expenses in a separate column prior
to netting revenues against the expenses.
Indirect cost
allocations should mirror A-87 cost allocation.
Depreciation
expenses is a functional expense when the asset being depreciated can be
specifically identified with a function.
Depreciation for
shared assets should be allocated to the applicable functions.
Depreciation for
items that serve all functions, such as city hall, should be included as
either a separate line item or as part of general government.
Infrastructure
deprecation should not be allocated to functional expenditures.It should be reported in the function
normally associated with capital outlays for the respective infrastructure.
Interest
expensegenerally should be reported
as a separate line item and not allocated to the functions unless borrowing
is essential to the creation or continued existence of a program and it would
be misleading to exclude.