2005-3491780_Family Health International_19-18_v1

The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. [...] In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. [...] 2005-3491780 1 A member firm of Ernst & Young Global Limited Opinion In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of FHI 360 as of September 30, 2019 and 2018, and the changes in its net assets and its cash flows for the years then ended in conformity with U. [...] The difference in the estimation of expenditures for requesting funds and the actual expenditures for reporting purposes results in a receivable balance or deferred revenue balance at the end of each accounting period. [...] ASU 2014-09 was issued in May 2014 and the core principle of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration (that is, payment) to which the company expects to be entitled in exchange for those goods or services.