WILLIAM WILSON WILLIAM WILSON Chartered ACcounntS 25 SFKre kkJW¢Jod BT18 gHX +4410128 QS92 0240 www,wwa¢¢ovni4n¢y.¢om Educate The Orphans Report and Accounts 31 December 2022 Charity registration number: 102736 ETO Ministries
Educate The Orphans Report and accounts for the year ended 31 December 2022 Contents Page Trustees. Annual Report Statement of trustees, responsibilities Independent AcGountant's Report Funds Statements... Statement of Financial Activities Statement of Financial Activities - Prior Year statement Mov8m8nts in funds 12 13 14 Balance sheet Notes to the accounts 15 16
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 The Tnjstees present their Report and Accounts for the year ended 31 December 2022. Rèf8r8nce and administrative details Tho charity name The legal name of the charity is:_ Educate The Orphans The charity is also known as, ETO Ministries The charlty s areas of operatlon and UK charitable regisfration The charity is gIStered in Northem Ireland with the Charity Commission in Northem Ireland (CCNI) with charity number 102736 Legal structure of the charlty The charlty Is constituted as a an ur¢incorporated charity, established by Trust Deed. The goveming document of the charity is the Trust Deed establishlng the charity- There are no restrictions in the governing documents on the operation of the Charity or on its investment powers other than those Imposed by Charity Law. The trustees are all individuals. The principal operating address. telephone number, emall and web addresses of the harityaro:. 27 Neills Hill Park Belfast BT5 6FL Web address www.eto-ministries.org The Trustees In office on the date the report was approved were:. Mr J Lander Mr R Moffett Mr K sMh The following persons sorvod as Truslees durlng the year ended 310ecember 2022 :. The trustees who served as a trustee in the reporting period were as shown above, and th8re were no changes during the year, or in the period beeen the year end and the approval of the accounts. I the trustees are also members of the charity.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 Objects and actlvities of the charity The purposes of the charlty as set out in its governing document The purposes of the charity are to promote the Christian religion, relieve poverty, and advance education among poor, disadvantaged or orphaned childten in the area of benefit and in particular= lo establish. maintsin and equip an otphanage or orphanages in the area of benefit for such children.. to promote religion through practical demonstrations of Christian charity- The main activities undertaken in relation to those purposes during the year Educate the Orphans 15 a small Christian charity working in Kenya wilh orphaned and needy children. Our goals are primarily to feed. clothe and eduGale destitute children, with the emphasis mainly on education. We havg begn active in Tharaka. Kenya since 1990 and in that tim8 w8 hav8 built and run seven schfy)Is which currently educate and feed over 3.000 children. Educate the Orphans do not run an orphanage but Instead we assist wider family circles lo takg the orphanedlneedy children Into their homes to give them a family upbringing, whilst Educate th8 Orphans shoulder the financial burden. We operate 8 family orlentated charity with sponsorship being our main source of fundlng. where the children are "adopted. by our donors. We encourage Gomrnunication been our sponsors and the children. Most of the children educated by Educate the Orphans are now fully employed - some of them as teachers, pastors, dressmakers. shoemakers, etc. with some even working for Educate the Orphans. Others are in the govemmenl. police and army and some work for the office for the President of Kenya including Shadrack {Chief Financial Offi'cer for the county of Tharaka). Eluid {Deputy Governor of Tharak8) and John la bishop in EPACI.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 The maln actlvlties undertaken during the year to further the charitys purpose for the publ1¢ benefit We are happy to report that 2022 ha5 been another successful year. with many ol our children excelling in their studies at schoo15. colleges, and Univeities. We have put up on ETO website sorne of the photographs of fomier ETO children. showing some of the prominent positions in Business and Government that they have achieved! Many children still being tsughl on our 2 ETO farms= Horbculture and Agriculture! During the year we were able to use our new four141 acre fami to grow fruit and vegetables and also to teach and train many of our students about growing their own food, and thanks to a genBfous friend. we were also able to purchase a generator and enough piping to instal a drip feed water system. now in full operation enabling this new project to be self-sufficient! Thanks to the amazing generosity of ETO sponsors and donors we were able to meet the needs of many hundreds of people, obeying the command of Jesus "you feed Ihem.- Having sent over £157,000 this year the ETO trustees are satisfied that 811 elements of Public 8enefit requirements are belng met and adhered to. Wg also completed a new Solar driven, clean water Projert for one of our primary schools at Kamalhakame. bringing much needed water from a large river to over 300 children and adults at yet another extrgmely dry area, w8re w8 are also teaching sustainable food production. Dlrect Benefits flowing from the purposes include.. The provision of Iree education, such as the teaching of basic literacy, numeracy and life skills which can enable the beneflciaries to find employm8nt in th8 future or, al a minimum, to b8 abl8 lo read and write. from nursery school up to and including secondary school, under the Kenyan Government curriculum. We also help support some students through technical college or university, where appropate. This education 21so includes a greater understanding of the Christian faith. The teaching of agricultural and horticultural skills. whlch ald self-SLrfficiency and food production that also leads to health benefits. . The direct provision of food and sustenance during periods of drought or famine. We have an ongoing policy Ihal we will provlde at least two121 meals every day, for every child who attends any of our schools. The meals consist of a grain cereal, Sorghum porridge al breakfast lime. 80iled maizelmillel. chickpeas and beans. which is the stable diet of the local people. which now includes our home grown fresh fruits.. watermelon, bananas, oranges, groundnuts, and mangoes (Sometimes a lithe meat is provided, when and where possible.) Other direct health benefits through projects such as the provision of fresh water through our water trealmenl plant. The benefits can be demonstrdted as tsngible through the practical building and eStence of 7 schcols. a 10 bed maternty unit. a water treatment plant (and the supply of clean water to many hundreds of people from it) and through reports, photographs and other resour$ available at eto-ministries.org as well as feedback from those who have visited the work in Kenya.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 We fail lo see how any harm could come to any of the children in any way by our work and we would not be invofved in it if there were any chance of harm to any child with the beneficiaries from our work are orphaned and needy children. and some oldlinfirm people of Tharaka, Kenya. There are positively no private benefits to any personlorganization involved in or connected to the Wotk of Educate the Orphans which are more than incidental- some Kenyan staffing is employed to look after the children in Kenya. helping to feed. teach and care for them. The payment of such stsff is incidental to the fulfilment of the purposes. Otherwtse, we are all volunteers and pay all of our own expenses. No fees are charged - we operate a completely free service to all our beneficiaries, who are all the neediest of children. and old people in the bush area of Thardka, Kenya. who would have absolutely no chance of any kind of life without the help of Educats the Orphans. The trustees have had regard to the Charity Commission's guidance on public bengfit in managing the activities of the tharity. The maln achlevements and performance of tho charlty durlng the year In 2022 ETO again h8d another successfully year. meeting our call to feed. clothe and educate the poor and needy orphans of Tharaka. Kenya. We would lik8 to express our gratitud8 to all who participated and donated time or money to help Educate the Orphans. During this year ETO has undertaken a number of additional projects, lisl8d below. The completion ot new classrooms and Power Lines at our Muguna Anna school. Updating the school bus. . The purchase of a new solar panel pump for the water programme at Kamalhakame . The purchase of a new generator for our new 4-acre shambalfam) al Ithuguri. . We also had to replace the roof at our mission house in Kaguma. Our chlldren contlnue to excel in their studies 8t schools. colleges and universities. The website continues to show photographs of former ETO children and some of the prominent positions they hold in business and govemmenL Many children are still being taught horticulture and agricultrjre skills on our ETO farm. Famine rellef One of our most important programs is our Famine relief programme where we have undertaken to feed many hundreds of destitute old people. Due to the conlinued famine and drought in Kenya the need for this Ptogramme only grows. Traditionally the Kenyan people lY on the rain they receive 2 rainy seasons. however over the last few years there has been liltle to no rain. The lack of rain has had a devastating effect on the Kenyan peoFAe resulbng in famine across much of Kenya. As we reported last year food Inflation continues lo be a major issue. A 1 kg bag of Maize which is the stable lood for n$t people in Kenya would have cost 14p in 2015. 70p in 2019. It now costs 96p in 2022. In November 2022. A team of 6 ETO volunteers travelled to Keyna and distributed much need tood aid lo those mosl vulnerable.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 Our Efo Shambas IFarn)sl at Ruungu and lthuguri We are also pleased to report that both ETO Famis are still producing well. with the results that we were able lo share crops of fresh fruit and vegetables with our own childrèn and sixteen other schools in our vicinity- Our Iwo cows are producing enough niilk each day to provide Muguna-anna nursery and primary school kids a cup of milk each day. Many of our older sixth former pupils are being tsught on ETO farms how to grow their own food. "Farming Gods Way." These farn help us to mitigate the rising ftx)d prices while still feeding our children. The purchase Df a pump generator at Ilhuguri also allowed us to better utilize the water source at the bollom of the shamba helping to increase our yield. Clean Water Project Before ETO the Tharaka p8ople got their water from seep holes and dity ponds that were frequently visiled by animals. Drinking this contaminated water can brings various dis8ases and death. ETO therefore deGided to build a water treatment plant to bring clean fresh water. In order to bring fresh water lo Tharaka the watsr would hav8 to trav8140 Kilometres from Mount Kenya. ETO bullt a water treatment plant approx. 26 Kllomelres from Mount Kenya. This treatment centre now provides access to clean water for approx. 60,000 people. We also build and provlde large storage tanks as well as containers to the people. ETO Pastor Tralnlng Programme In Nov 2022 we held a Pastor's Iralning seminar at our church in Kaguma with a number of our ETO Pastors in attendance. These Pastors are continuing to take the Gospel to remote areas as well as towns. Bulldlng Programmes ETO, in conjunction with some fomier students have built a number of new classrwms at our school in Muguna Anna. These classrc4)ms are being used for the new COMPETENCE BASED CURRICULUM, as instructed by the Kenyan Govemment. Pundralslng actlvltles durlng the year ETO relies on the voluntary donations that it re[yeS by way of standing orders and other sundry donations. In addition lo these we held one fundraising event, a coffee moming in Christian Fellowship Church Belfast raising £12.750. We would like to say a Big thank you to everyone who donated at or after the event. Thanks be to God for his continuing provision and blessing over ETO Kenya. Educate the Orphans would like to Ihank all our supporters who.. - -Have been praying continuously for the work of ETO -Donated to our various projects -volunteered with u5 by giving up thelr tlme.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 The dlfference the charitys performance durfng the year has made to the beneficiaries of the charlty and the wider society The detsils of the positive impact the charity has made in the liv&s of the poor. disadvantaged or orphaned children in Tharaka. Kenya and tr) the wider society in that area can be found in the other sections of this reporL namety.. - The main activities undertaken during the year to further the charity's purpose for the public benefit-, - The main achievetnents and perfomiance of the charity during the year. Structure, governance and management of the charity The methods used to recruit and appoint new charity trustees The charity recmits and appoints trustees with a range of skills. experience and knowledge in keeping wilh the pursuance of its objeGts. Financial review The charitys financialposition at tho end of the year ended 31 December 2022 The financial position of the charity at 31 December 2022 and comparatNes for the prior period, as more fully detailed in the accounts, can be summari9ed as follows=. 2022 2021 Net expendlture 148,0531 128,2751 Unrestricted Revenu& Funds avallable for the general purposas of the charity 64,758 112,811 Total Funds 64.758 112.811 Flnancial review of the position at the reporting date, 31 December 2022 The trustees consider the financial perforfflance of the charity during the year to be satisfactory.
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 Policies on reserves The charity aims to hold an amount in reserves that is equivalent to the running costs for a year. As at 31 December 2022 the charity held £64.758 in reserves and this would be sufficient to Tun the charity for approximately five months based on current levels of expenditure. However. as very littte of the running costs are fixed costs the reserves are deemed to be sufficient. Availability and adequacy of assets of each of the funds The board of trustees is satisfied that the charitls assets in each fund are available and adequate to fulfil its obligations in respect of each fund. Details of The Independent Examiner Wllliam Wilson Member of Chartered Accountants Ireland 25 Shore Road Holywood BT18 9HX
Educate The Orphans Trustees. Annual Report for the year ended 31 December 2022 Statement of Trustèes. Responsibilities The charitrfs trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities (Northem Ireland) Act 2008, as amended and The Charities (Accounts and Reports) Regulations {Northem Ireland} 2015 In particular. charity law requires the Trustees. if they prepare accounts on an accrua15 basis. to prepare financial statements for each financial year which give a true and fair view of the state of affaiis of the charity as at the end of the financial year and of the surplus or deficit of the charity- In preparing those financial statements the Trustees are required to :_ - to prepare the accounts in accordance with United Kingdom Generally Accepted Accounting Practice {United Kingdom Accounting Standards and applicable lawl. select suitable accounting policies and apply them consistendy: - make judgements and estimates that are reasonable and ptudenl" - prepare the financial statements on the going concem basis unless it is inappropriato to prgsume that the charty will continue in business., stale whether applicable accounting slandards and statements of recommended practice have been followed, subj8Ct 10 any material deparbjres disclosed and explained in the financial statements.. The law requires that the trustees must not approve the accounts unless they are satisfied that they give a twe and fair view of the state of affairs of th8 charity and of the surplus or defictt of the charity for the year. The Trustees are also respor)sible for maintsining adequate accounting records which disclose with reasonable accuracy at any lime the financial position of the charity and which are sufficient to show and explain the charitys transactions and enable them to ensure that the financial statements comply with regulations made under the Charities {Northern Ireland) Act 2008. as amended. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Trustees are also responsible for the contents of the Trustees, report, and the statutory responsibility of the Independent Examiner in relation lo the Trustees. report is limited to examining Ihe report and ensuring that . on the face of the report, there are no material inconsistencies wilh the figures disclosed in the financial statements. This report was approved by the board of trustees on 10 October 2023. Mr R Moffett Trustee
WILLIAM WILSON WILLIAPII WILSON Char Accountants 25 Sh? Road Holwd BT18 9HX +441012B 0240 *W/.VJwacKounlan¢y.com Educate The Orphans Report of the Independent Examiner to the Trustees of the charity on the accounts for the year ended 31 December 2022 I report on the financial statements of the charity on pages 12 to 21 for the year ended 31 December 2022 which have been prepared in accordance with the Charities (Northern Ireland) Act 2008, as amended (the Act) and with th8 Financial Reporting Standard 102, (effective 1st January 2016) adapted to meet the needs of unincorporated organisations, as modified by FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in February 20161, published by the Charity Commission in Northem Ireland {CCNI) , effective January 2015 (The SORPI. und8r tha historical cost convention and tha aUntIng policies set out on page 16. Respective responsibilities of the Trustees and the Independent Examiner As described on page 8, the charivs Trustees are responsible for the preparation of the accounts. The Trustees consider that the audit requirement of 65(2) of The Charities (Northern Ireland) Act 2008. as amended (The Act) does not apply, and that there is no requirement in the Governing Document for the conducting of an audit. As a consequence, theTrustees have elected that the financial statements be subject to independent examination. Having satisfied myself that the charity is not subject to audit under any legal provision. or otherwise, and is eligible for independent examination. it is my responsibility to:_ a) examine the accounts under Section 65{3) of the Act- b} follow the procedures in the Directions to Independent Examiners made by the Chartty Commission in Northern Ireland and- c) state whether particular matt8rs have come to my attention.
WILLIAM WILSON WILLIAM WILSON Chart? Accountan 25 Shyg Rcod Holryd 8T18 9HX 44410128 9592 0240 www.w•¢¢ountan¢y.com Educate The Orphans Report of the Independent Examiner to the Trustees of the charity on the accounts for the year ended 31 December 2022 Basis of Independent Examinerfs Statement and scope of work undertaken l (x)nducted my examination in accordanGe with the Directions to Independent Examiners made by the Charity Commission in Northern Ireland, setting out the duties of an Independent Examiner in relation to the conducting of an Independent Examination. An Independenl Examination includes a review of the accounting records kept by the charity and of the accounting systems employed by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial slatements, and seeking explanations from you, asTrustees, conceming such matters. The purpose of the examination is to establish as far as possible that there have been no breaches of charity legislalion and that the financial statements comply with the SORP, on a lest basis, of evidence r818vant to the amounts and disclosures in the financial statements. The procedures undertaken do not provide all the evidence that would be requir8d in an audit , and infomiation supplied by theTrustees in the cours& of the examlnation is not subjected to audit tests or enquirles. and consequently I do not express an audit opinion on the view given by the financial statements, and in particular. l express no opinion as to whether the financial statements give a true and fair view of the affairs of the charity, and my report is limited to the matt8rs sèt out In the statement below. I planned and performed my examination so as to satisfy myself that the objectives of the Independent Examination are achieved and before finalising the report l obtained written assurances from the Trustees of all material matters. 10
WILLIAM WILSON WILLIAM WILSON cnart¢r•a Accountan 25 Shorg Road HolwcxKI T18 9HX +4410128 QS02 0240 www.wwaccounlancy.com Educate The Orphans Report of the Independent Examiner to the Trustees of the charity on the accounts for the year ended 31 December 2022 Independent Examiner's Statement, Report and Opinion Subject to the limitations upon the scope of my work as detailed above , in connection with my examination, l Can confirm that :. This is a report in respect of an examination carried out under 65{3) of the Act and in accordance with Directions to Independent Examiners made by the Charity Commission in Northern Ireland which may be applicable., and that no matter has come to my attention in connection with my examination which gives me reasonable cause to believe that in any material respect the requirements to keep accounting records in accordance with with Section 63 of The Charities (Northern Ireland) Act 2008, as amend8d' when praparing accounts on an accruals basis, to prepare financial statements which accord with the accounting records and comply with the accounting requirements of the Act and the Regulations setting out the form and content of charty accounts; have been prepared in accordance with The Charities (Northern Ireland) Act 2008. as amended. and with the methods and principles set out in the FRS102 Statement of Recommended Practice - Accounting and Reporting by Charities (effective January 2016) have not been met or to which. in my opinion. attention should be drawn in my report in orderto enable a proper understanding of the accounts to be reached. Signed:. William Wilson - Independent Examiner Chartered Accountants Ireland 25 Shore Road Holywood BT18 9HX This report was signed on 10 October 2023
Educate The Orphans Statement of Financial Activities for the year ended 31 December 2022 Stat8m8nt of Financial Activitias for the yéar ended 31 December 2022 SORP Ref Current year Unrestricted Funds Current year Restrlcted Funds Current year Total Funds Prlor Year Totsl Fund5 2022 2022 2022 2021 Income & Endowments from: Donations & Legacies A1 114.494 114.494 120,281 Expenditure on: Charitsble activities B2 162.547 162,547 148.556 Total expenditurg 162.547 162.547 148.556 Net incomel(expendlturg) for the year (48,053) 148,053 (28,275) Net Income after tran$fors A-B£ 148,053) {48.OS3) (28.275) Net movement In funds (48.053) {48,053) (28,275) Re¢onciliation of funds:. Total funds brought fonvard 112,811 112.811 141,086 Total fvnds Carried forward 64,758 64,758 112,811 The 'SORP Ref indicated above is the Classification of income set out in the fomial SORP documents. As required by paragraph 4.60 of the SORP, the brought forward and carried forward funds above have been agreed to the Balance Sheet. A separate Statement of Total Recognised Gains and Losses is not required as this statement includes all recognised gains and losses. I the prior year transactions were unrestricted items, and no further analysis is required All activities derive from continuing operations The notes attached on pages 16 to 21 form an integral part of these accounts. 12
Educate The Orphans Statement of Financial Activities for the year ended 31 December 2022 SORP Prlor Yèar Prlor Y•ar Prlor Yèar Total Funds Unrn$tri¢ted Fund5 Restricted Fund5 2021 2021 2021 Income & Endowm•nts from: Donations & Legacies A1 120,281 120,281 Total Income 120,281 120,281 Expenditure on: Charitable a¢tivitie5 B2 148,556 148.556 Total expenditure 148,556 148,556 Ngt expenditure for the year (28,2751 (28,2751 Net income after transfers (28,275) (28,275) Other recognlsed gaIn(lO$S¢S) Net movement in funds (28,275) (28,2751 Reconclllatlon of funds:. Tolal funds brought fonyard 141.086 141,086 Total funds carried forward 112,811 112,811 All activities dorlve from continuing operations Educate The Orphans - Resources applled in the year ended 31 December 2022 towards fixed assets for Charlty use:. 2022 2021 Funds generated in the year as detailed in the SOFA Net resources avallable to fund charitable actlvftles {48,0531 (48,053) (28.2751 128,275) The notes attached on pages 16 to 21 forni an integral part of these accounts. 13
Educate The Orphans statement of Financial Activities for the year ended 31 December 2022 Movements in revenue and capital funds for the year ended 31 December 2022 Revenue accumulated funds Unre$tri¢tsd Funds 2022 R¢strl¢tèd Fund$ 2022 Total Funds 2022 Last >*ar Total Fund8 2021 Accumulaled funds brought forward 112.811 112,811 141,086 Recognised g8ins and losses befor8 transfers {48,0531 148,053) (28,275) 64,758 64,758 112,811 Closing revenue funds 64.758 64.758 112.811 Summary of funds Unrestricted and D•$lgnat¢d fund$ 2022 Restricted Funds Total Funds Last Year Total Fund$ 2022 2022 2021 Revenue accumulated funds 64,758 64,758 112.811 Total funds 64.758 64.758 112.811 The notes attached on pages 16 to 21 form an integral part of these accounts. 14
Educate The Orphans Balance Sheet as at 31 December 2021 SORP Note Ref 2022 2021 Current assets Cash at bank and in hand B4 66,558 114,611 Creditors: amounts falling due within one year 6 C1 {1.800) (1.800) Net current assets 64,758 112,811 The total net assets of the charity 64,758 112.811 The total nel assets of the charity are funded by tho funds of the charity. as follows:. Unrostricted Funds Unrestricted Revenue Funds 9 D3 64.758 112.811 T¢)tal charity funds 64,758 112,811 The 'SORP Ref indicated above is the classification of Balance Sheet items as set out in the fomial SORP documents. As required by paragraph 4.60 of the SORP, the brought forward and carried forward funds above have been agreed to the SOFA. The Trustees acknowledge their responsibilities for complying with the requirements of charity legislation with respect to accounting records and the preparation of accounts. The charity is subject to Independent Examination under charity legislation. and the report of the Independent Examiner is on page 11. The Trustees are satisfied that. atthough the charity is not registered under the Companies Acts, if tt were so registered. it would be eligible to prepare account5 in accordance wilh the provisions in Part 15 of the Companies Act 2006. applicable to companies subject to the small companies regime. rf ll-fPf) Mr R Moffett Trustee Approved by the board of trustees on 10 October 2023 The notes attached on pages 16 to 21 form an intggral part of thes8 accounts. 15
Educate The Orphans Notes to the Accounts for the year ended 31 December 2022 1 Accounting policies Policias relatlng to the pmduction of the accounts. Basis of preparation and accountlng conventlon The accounts have been prepared on the accruals basis, under the historical cost convention. and in accordance with the Financial Reporting Standard 102. (effective 1st January 2016) and 'FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in February 2016), published by the Charity Commission in Northern Ireland (CCNI) . effective January 2016. and in accordance with all applicable law in the chariws jurisdiction of registration. Risks and future assumptions The charity is a publiG benefit entty- Policies relatlng to categories of income and Income recognition. Nature of Income Gross income represents the value, net of discounts. of goods provided to customers and work carried out in respect of services provided to customers. Categories of Income Income is categorised as income from exchange transactions (contract income) and income from non- exchange transactions (gifts), investment income and other income. Income from exchange transactions is received by the charity for goods or services supplied und8r contract or where entitlement is subject to fulfilling performance related conditions. The income the charity receives is approximately equal in value to the goods or services supplied by the charity to the purchaser. Income from a non•exchange transactlon is whère the charity receives value from the donor without providing equal value in exchange. and includes donations of money. goods and services freely given without giving equal value in exchange. Income recognition Income, whether from exchange or non exchange transactions. is recognised in the statement of financial activities (SOFA) on a receivable basis. when a transaction or olher event results in an increase in the charty's assets or a reduction in its liabilities and only when the charity has legal entidement. the income is probable and can be measured reliably. Income subject to terms and conditions which must be met before the charity is entitled to the resources is not recognised until the conditions have been met. All income is accounted for gross. before deducting any related fees or costs. 16
Educate The Orphans Notes to the Accounts for the year ended 31 December 2022 Policies relating to expendlture on goods and services provided to the charity. Recognition of liabilltles and expenditure A liability. and the related expenditure. is recognised when a legal or constructive obligation 8xists as a result of a past ev8nt. and when it is more likely than not that a transfer of economic benefits will be required in setuement, and when the amount of the obligation can be measured or reliably estimated. Liabilities arising from future funding commitments and constructive obligations. including performance related grants, where the timing or the amount of the futur8 8xp8nditure required to Settle th8 obligation are uncertain, give rise to a provision in the accounts, which is reviewed at the accounting year end. The provision is increased to reflect any increases in liabilities. and is decreased by the utilisation of any provision within the period, and reversed if any provision is no long8r r8quired. These movements are charged or credited to the respective funds and activities to which the provision relates. Volunteers In accordance with the SORP, and in recognition of the difficulties in placing a monetary value on the contribution from volunt88rs. the contribution of volunteers is not included within the income of the charity. However, the trustees value the significant contribution made to the activities of th& charity by unpaid volunt88rs and this is described more fully in Note 3. Policies relating to assets, Ilabllltles and provisions and other matters. Cash and bank balances Cash held by the charity is included at the amount actually held and counted at the year end. Bank balances, whether in credit or overdrawn. are shown at the amounts properly reconciled to the bank statements. Fund Accounting Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general ublgLllve5 uf L11urlly. 2 Winding up or dlssolution of the charity If upon winding up or dissolution of the charity ther8 r8main any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity. 3 The contrlbutlon of volunteers The charity depends on the support of its volunteers, which is much appreciated. The arrangements with volunteers are difficult to value precisely in monetary terms and have not been recognised in th8 statement of Financial Activities. The volunteers and the charity accept and agre@ that no contract of employment is created by these arrangements. 17
Educate The Orphans Notes to the Accounts for the year ended 31 December 2022 4 Staff costs and emoluments There were no staff employed during the year ended 31 December 2021 {2020: nil) 5 Remuneratlon and payments to Trustees and persons connected with them No trustees or persons connected with them received any ramuneration from the charity, or any related entity. 6 Credltors: amounts falling due within one year 2022 2021 Accruals 1,800 1,800 1,800 1,800 7 Income and Expendtture account summary 2022 2021 At 1 January 2022 Loss after tax for the year 112,811 141,086 (48,053) (28,275) At 31 Docember 2022 64,758 112,811 8 Particulars of how partlcular funds are represented by assets and liabilities At 31 December 2022 Unrestricted Designated Restricted funds funds funds Total Funds Current Assets Current Liabilities 66,558 (1,800) 66,558 {1,800) 64,758 64.758 At 1 January 2022 Unrestrlcted Deslgnated Restricted funds funds funds Total Funds Current Assets Cuii ¥1il LldlJlllll¥s 114,611 I'l,u) 114,611 ii,uuu) 112,811 112,811 18
Educate The Orphans Notes to the Accounts for the year ended 31 December 2022 9 Change in total funds over the year as shown in Note 8 , analysed by individual funds Funds brought forward from 2021 Movement Transfers in funds in between 2022 funds in 2022 See Note 10 See Note O Funds carried forward to 2023 Unrestncted and designated funds.". Unrestricted Revenue Funds 112,811 {48,053) 64.758 Total unrestricted and designated fund5 112.811 (48,053) 64,758 Total charity funds 112.811 (48,053) 64,758 10 Anatysis of movements In funds over the year as shown in Nots 9 other Expenditure Gains & Movement Losses in funds 2022 2022 Income 2022 2022 Unrestricted and designated funds.'_ Unrestricted Revenue Funds 114,494 (162,547) (48,053) 114,494 {162,547) (48,053) 11 The purposes for whlch the funds as detailed In note 9 are held by the charlty are'.- Unresthcted and deslgnated funds.". Unrestricted Revenue Funds These funds are held for the meeting the objectives of the charity, and to provide reserves for future activities, and . subject to charity legislalion. are free from all restrictions on their use. 12 Ultimate controlling party The charty is under the control of its legal members. Every member of the charity has unlimited joint and several liabilty for the debts of the charty. 19
Educate The Orphans Detailed anatysis of income and expenditure for the year end8d 31 December 2022 as required by the SORP 2015 This analysis is classsified by ¢onventional nominal descriptions and not by activity. 13 Donations and Legacies Curr•nt year unstrICted Funds Current year Restricted Funds Current year Total Funds Prior Y•ar Totsl Fund$ 2022 2022 2022 2021 Donations and glfts from individuals Voluntary donations 114,494 114.494 120.281 Total donatlons and giFls frorn individuals 114,494 114.494 120.281 Total Donations and Legacles A1 114,494 114,494 120,281 14 Expenditure on charitable actlvftles - Direct spending Current year Unrestricted Funds Current year RestrScted Funds Current ar Totsl Funds Prlor Yèar Total Funds 2022 2022 2022 2021 Charitable activities 159.700 159,700 147,150 Total dlrect spending B2a 159.700 159,700 147,150 15 Support Costs for charitable activities Current year Unrèstrlctèd Funds Currènt yoar R•strlet Fund$ 2022 Curront y¢ar Total Funds Prlor Year Totsl Fund$ 2022 2022 2021 Admlnlstratiwe overheads Sundry expenses Travel 275 262 275 262 206 Financial costs Bank charges 1,110 1.110 Total support costs 1.647 1,647 206 The basis of allocation of costs between activities is descrlbed under accounting policies 20
Educate The Orphans Detalled analysls of Income and expenditure for the year ended 31 December 2022 as required by the SORP 2015 16 Other Expendlture - Governance costs Current year Unrèstrlcted Funds Currènt year Restricted Funds Current year Totsl Funds Prior Yr T¢>tal Funds 2022 2022 2022 2021 Independent Examiner's fees 1,200 1,200 1,200 Total Governance costs 1.200 1,200 1.200 17 Total Charltable expenditure Current year Unrestricted Funds Current year Restricted Fund5 Current year Total Fund$ Prior Year Totsl Funds 2022 2022 2022 2021 Total direct spending Total support costs Total Gov8rnan¢e Costs B2a B2d B2e 159,71)0 1,647 1.200 159,700 1.647 1,200 147,150 206 1,200 Total charitable expendlture B2 162,547 162,547 148,556 21