10.25.2023 OMA Board Book

OBESITY MEDICINE ASSOCIATION Notes To Consolidated Financial Statements (Continued)

The Foundation is exempt from federal income tax under Section 501(c)(3) of IRC. However, income from certain activities not directly related to the Foundation’s tax-exempt purpose is subject to taxation as unrelated business income. The Foundation did not incur taxes on unrelated taxable business activities in 2022. Advertising Expense The Organizations expense advertising costs as they are incurred. Advertising expenses consist primarily of marketing expenses for the educational seminars. Total advertising expense of $44,476 in 2022 is included in education and seminars expense. Functional Allocation Of Expenses The costs of supporting the various programs and other activities have been summarized on a functional basis in the accompanying consolidated financial statements. Certain other costs that benefit multiple functional areas have been allocated across programs and supporting services as determined by management on an equitable basis, based on estimates of time and effort spent on the related functional area. Subsequent Events Management evaluates subsequent events through the date the consolidated financial statements are available for issue, which is the date of the Independent Auditors’ Report.

2.

Cash And Investments Deposits

The Federal Deposit Insurance Corporation (FDIC) insurance is $250,000 per depositor. At various times during the year, the balance at the financial institution exceeded FDIC limits. Investments Other than investments in partnerships, investments are held by a brokerage firm, with investments insured by the Securities Investor Protection Corporation to a maximum of $500,000 per eligible account.

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