A nonprofit's statement of activities is issued instead of the income statement which is issued by a for-profit business.
The statement of activities focuses on the total organization (as opposed to focusing on funds within the organization) and reports the following:
- Revenues such as contributions, program fees, membership dues, grants, investment income, and amounts released from restrictions.
- Expenses reported in categories such as major programs, fundraising, and management and general.
- The change in net assets resulting from items 1 and 2.
The statement of activities will have multiple columns in order to report the amounts for each of the following classes of net assets: unrestricted, temporarily restricted, permanently restricted, and total.