RVCC 2019 NECHE Self-Study

When capital assets are retired or otherwise disposed of, the asset and accumulated depreciation
accounts are adjusted and any resulting gain or loss is reflected in the statement of revenues,
expenses, and changes in net position.
Note Receivable
During the year ended June 30, 2015, GBCC sold its former Stratham, New Hampshire Campus
for $2,750,000. The buyer paid cash of $250,000 at closing and signed a note receivable to CCSNH
for $2,500,000. The note receivable is expected to be paid in monthly installments of
$13,865, including interest at 3%, through September 14, 2024. All outstanding principal and
interest is expected to be repaid on October 14, 2024, which is expected to amount to
approximately $1,500,000. The note receivable balance as of June 30, 2018 and 2017 was
$1,705,554 and $1,756,782, respectively. The balance at June 30, 2018 and 2017 is shown net of
an allowance for loan losses of approximately $521,000 and $520,000, respectively.
Unearned Revenue and Deposits
Unearned revenue and deposits consist primarily of deposits and advance payments received for
tuition and fees related to certain summer programs and tuition received for the following academic
year. Revenue from summer programs is recognized ratably over the applicable academic periods.
Compensated Absences
Employees earn the right to be compensated during certain absences. The accompanying
statements of net position reflect an accrual for the amounts earned, including related benefits
ultimately payable for such benefit. A portion of this liability is classified as current and represents
CCSNH’s estimate of vacation time that will be paid during the next fiscal year to employees.
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