As with implementation of any standard, it is a recommended practice to take a moment and review any best practices that have evolved within the industry. One of the disclosures that not-for-profit entities (NFPs) continue to pay close attention to under FASB Accounting Standards Update (ASU) No. 2016-14, Presentation of Financial Statements of Not-for-Profit Entities, is that related to the liquidity and availability of financial assets.
The ASU requires NFPs to provide both qualitative and quantitative information about liquidity