Unrealized gains and losses are included in the change in net assets. Depreciation is provided on the straight-line basis over the assets' estimated useful lives. Normal repairs and maintenance are recorded as unrestricted expenses. The College incurs expenses associated with the operation and maintenance of land, buildings and equipment, such as depreciation, interest, utilities, maintenance and insurance. These expenses are allocated to each function based on the square footage of space utilized to provide the function.
Management evaluates the expense allocation methodology periodically.
Accodingly, no provision for federal and state income taxes has been made in these financial statements. MBE includes financial information from the College and other institutions it owns when filing its informational returns. Significant estimates include the valuation of investments. These estimates and assumptions may change in the future and future results could differ. Certain prior year amounts have been reclassified to confirm to the current year presentation.