Andrew F. Hall & Associates
391 Totten Pond Road
Waltham, Massachusetts 02451
Tel: (781) 890-2488
Fax: (781) 890-6581
Policy Council
System Dynamics Society, Inc.
Albany, New York
We have reviewed the accompanying statements of assets, liabilities, and net assets - cash basis of the System Dynamics Society, Inc., as of December 31, 1997 and 1996, and the related statements of revenues, expenses, and changes in net assets - cash basis for the years then ended, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All information included in the financial statements is the representation of the management of the System Dynamics Society, Inc.
A review consists principally of inquiries of Society personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.
The financial statements have been prepared on the cash basis of accounting which is a comprehensive basis of accounting other than generally accepted accounting principles.
Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with the cash basis of accounting.
Andrew F. Hall & Associates
October 6, 1998
| System Dynamics Society, Inc | ||
| Statements of Assets, Liabilities and Net Assets - Cash Basis | ||
| December 31, 1997 and 1996 | ||
| 1997 | 1996 | |
| ASSETS | ||
| Cash | $ 76,200.00 | $ 11,379.00 |
| Money Market Mutual Funds | $ 48,805.00 | $131,674.00 |
| U.S. Treasury Notes | $ 76,829.00 | $270,501.00 |
| Furniture and Equipment | $ 2,411.00 | $ - |
| Less: Acumulated Depreciation | $ (482.00) | $ - |
| Total Assets | $203,763.00 | $413,554.00 |
| LIABILITIES & NET ASSETS | ||
| Sales Tax Payable | $ - | $ 38.00 |
| Due to Creative Learning Exchange | $ 533.00 | $ - |
| Total Liabilities | $ 533.00 | $ 38.00 |
| Net Assets | ||
| Unrestricted - General Fund | $203,230.00 | $127,866.00 |
| Restricted - Gordon Brown Fund | $ - | $285,650.00 |
| Total Net Assets | $203,230.00 | $413,516.00 |
| Total Liabilities and Net Assets | $203,763.00 | $413,554.00 |
| System Dynamics Society, Inc. | ||
| Statements of Revenuew, Expenses, and | ||
| Changes in Net Assets - Cash Basis | ||
| December 31, 1997 and 1996 | ||
| 1997 | 1996 | |
| Changes in Unrestricted Net Assets | ||
| Revenues and Gains | ||
| Membership Dues & Subscriptions | $ 17,515.00 | $ 470.00 |
| Conference | $ 35,883.00 | $ - |
| Publications | $ 7,912.00 | $ 14,726.00 |
| Bibliographies & Teaching Games | $ 41,716.00 | $ 29,511.00 |
| Interest & Dividends | $ 8,467.00 | $ 6,902.00 |
| Donations | $ 568.00 | $ 5,858.00 |
| Miscellaneous | $ 468.00 | $ 13.00 |
| Total Unrestricted Revenues & Gains | $ 112,529.00 | $ 57,480.00 |
| Net Assets Released from Restrictions | $ - | $ 2,500.00 |
| Total Unrestricted Revenues, Gains & Other Support | $ 112,529.00 | $ 59,980.00 |
| Expenses & Losses | ||
| Administration | $ 4,274.00 | $ 30,787.00 |
| Bank Fees | $ 425.00 | $ 55.00 |
| Conference | $ 1,941.00 | $ - |
| Depreciation | $ 482.00 | $ - |
| Grant | $ 2,057.00 | $ 2,064.00 |
| Membership Mailings | $ 5,071.00 | $ 1,106.00 |
| Office Expenses | $ 870.00 | $ 1,923.00 |
| Professional Fees | $ 1,865.00 | $ 1,886.00 |
| Publications | $ 16,877.00 | $ 12,000.00 |
| Bibliographies & Games | $ - | $ 13,033.00 |
| State Fee | $ - | $ 65.00 |
| Travel | $ 3,412.00 | $ 732.00 |
| Gain on Redemption | $ (108.00) | $ 2,578.00 |
| Grant - Gordon Brown Fund | $ - | $ 2,500.00 |
| Total Expenses & Losses | $ 37,166.00 | $ 68,729.00 |
| Increase (Decrease) in Unrestricted Net Assets | $ 75,363.00 | $ (8,749.00) |
| Changes in Permanently Restricted Assets | ||
| Donations | $ - | $ 745.00 |
| Interest & Dividends | $ 21,482.00 | $ 18,164.00 |
| Loss on Redemption | $ (2,440.00) | $ - |
| Net Assets Released from Restrictions | $(304,690.00) | $ (2,500.00) |
| Decrease (Increase) in Permanently Restricted Assets | $(285,648.00) | $ 16,409.00 |
| Decrease in Net Assets | $(210,285.00) | $ 7,660.00 |
| Net Assets - Beginning of the Year | $ 413,516.00 | $405,855.00 |
| Net Assets - End of the Year | $ 203,231.00 | $413,515.00 |
The System Dynamics Society, Inc., incorporated on November 7, 1985, as an international non-profit corporation, was organized to encourage the development and use of system dynamics in solving problems in such areas as environmental change, economic development, social unrest, urban decay, psychology, and physiology.
In 1997, the Policy Council voted to transfer the assets of the Gordon Brown Fund to the Creative Learning Exchange (CLE). Historically, CLE had been distributing system dynamics materials written by System Dynamics Society members. Transferring the Gordon Brown Fund to CLE means more of the Fund will be used toward this end.