Independent Auditors' Report 



BOARD OF REGENTS 

 SMITHSONIAN INSTITUTION: 



We have audited the accompanying statement of financial condition 

 of the Smithsonian Institution as of September 30, 1994, and the re- 

 lated statements of financial activity and cash flows for the year then 

 ended. These financial statements are the responsibility of the Insti- 

 tution's management. Our responsibility is to express an opinion on 

 these financial statements based on our audit. 



We conducted our audit in accordance with generally accepted 

 auditing standards. Those standards require that we plan and per- 

 form the audit to obtain reasonable assurance about whether the fi- 

 nancial statements are free of material misstatement. An audit in- 

 cludes examining, on a test basis, evidence supporting the amounts 

 and disclosures in the financial statements. An audit also includes 

 assessing the accounting principles used and significant estimates 

 made by management, as well as evaluating the overall financial 



statement presentation. We believe that our audit provides a reason- 

 able basis for our opinion. 



In our opinion, the financial statements referred to above present 

 fairly, in all material respects, the financial position of the Smithson- 

 ian Institution as of September 30, 1994, and the results of its oper- 

 ations and its cash flows for the year then ended, in conformity with 

 generally accepted accounting principles. 



As discussed in note 12 to the financial statements, the Institu- 

 tion adopted the Financial Accounting Standards Board's Statement 

 of Financial Accounting for Postretirement Benefits Other Than 

 Pensions, during fiscal year 1994. 



December 9, 1994 



KPM^ V-&& b\AhM/'\d<~~. 



Smithsonian Institution Statement of Financial Condition 



(with comparative totals for the year ended September 30, 1993)(In thousands) 



Trust 

 funds 



Federal 

 funds 



Total 

 all funds 



Totals 

 1993 



Assets: 



Cash and balances with U.S. Treasury 



Investments (note 3) 



Receivables and advances (note 5) 



Inventory 



Prepaid, deferred expense and other 



Property and equipment, net (note 6) 



Collections (note 10) 



Total assets 



Liabilities: 



Accounts payable and accrued expenses 



Payable for investment securities purchased 



Deposits held for others (note 2) 



Accrued annual leave and voluntary separation costs (note 13) 



Deferred revenue 



Long-term debt (note 8) 



Total liabilities 



Commitments and contingencies (note 7) 



Fund balances: 



Trust: 



Current: 



Unrestricted general purpose 



Unrestricted special purpose 



Restricted 



Endowment and similar funds (note 4) 



Plant funds 



Federal: 



Operanng funds (note 9) 



Construction funds 



Capital funds 



Total fund balances 



Total liabilities and fund balances 



See accompanying notes to financial statements. 



334 



J 1,636 

 409,731 

 62,555 

 17,953 

 21,007 

 89,248 



171,244 



10,210 

 1,349 



345,365 



172,880 



409,731 



72,765 



19,302 



21,007 



434,613 



166,784 



399,111 



57,738 



18,638 



20,186 



415,006 



$602,130 



528,168 



1,130,298 



1,077,463 



39,794 



19,869 



59,663 



56,812 



9,544 



— 



9,544 



8,431 



5,867 



6,217 



12,084 



5,753 



4,219 



18,025 



22,244 



15,743 



43,625 



— 



43,625 



46,763 



3,103 



— 



3,103 



11,536 



106,152 



44,111 



150,263 



145,038 



11,019 



28,377 



24,576 



348,228 



83,778 



47,986 



89,357 



346,714 



11,019 



28,377 



24,576 



348,228 



83,778 



47,986 



89,357 



346,714 



10,193 



28,384 



22,162 



322,723 



74,457 



52,382 



90,098 



332,026 



495,978 



484,057 



980,035 



932,425 



$ 602,130 



528.168 



1,130,298 



1,077,463 



