Financial Information of American National Red Cross (ANRC) and Mama’s Kitchen

Please prepare a response to the following post:
discuss whether you saw the same differences in your report (attached) Were there any other differences your classmates did not mention that you felt were relevant or significant?
The audit opinion of Mama’s Kitchen differs from that of a for-profit in a few ways. First, it defines the financial statements as being comprised of statements of financial position, the statements of activities, functional expenses, and cash flows whereas audit opinion of the for-profit company refers to the consolidated statements of operation, comprehensive income, cash flows and shareholders'’ investment (Ling & Bouman, 2022). The next difference is the auditor of the non-profit states that the financial statements fairly present the financial position of the non-profit and the changes in its net assets and cash flows (Ling & Bouman, 2022). Alternatively, the audit opinion of a for-profit company states that the financial statements fairly present the financial position of the company and the results of its operations. The last difference between Mama’s Kitchen’s audit opinion and a for-profit audit opinion is that the for-profit opinion states that the company’s internal controls have been audited in accordance with the standards of the Public Company Accounting Oversight Board, while the non-profit audit opinion makes no mention of internal controls (Ling & Bouman, 2022).
One difference between the financial statements of Mama’s kitchen and a for-profit company is that there are no income statements. Instead, they have prepared a Statement of Activities that illustrates their various revenues, gains, and other support, along with functional expenses and losses (Mama’s Kitchen, 2022). The net of these two sections results in a change in net assets, rather than net income. Another difference is the net assets of Mama’s kitchen are categorized into assets with donor restrictions and assets without donor restitutions (Mama’s Kitchen, 2022). Additionally, there is no stockholders’ equity for Mama’s Kitchen because nonprofits do not issue stock or have shareholders (Mama’s Kitchen, 2022).