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CARD-MRI Development Institute, Inc.
(A Nonstock, Not-for-Profit Association)
Financial Statements
December 31, 2013 and 2012
and
Independent Auditors Report

COVER SHEET
CN 2 0 0 5 0 6 4 6 2
SEC Registration Number
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(Business Address: No. Street City/Town/Province)
Edzel A. Ramos
(049) 573-0031
(Contact Person)
(Company Telephone Number)
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(Form Type)
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(Annual Meeting)
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(Secondary License Type, If Applicable)
SEC
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Dept. Requiring this Doc.

Amended Articles Number/Section
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Not Applicable
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Total No. of Stockholders
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Foreign
To be accomplished by SEC Personnel concerned

File Number
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Remarks: Please use BLACK ink for scanning purposes.
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SyCip Gorres Velayo & Co.
Tel: (632) 891 0307
BOA/PRC Reg. No. 0001,

6760 Ayala Avenue
Fax: (632) 819 0872
December 28, 2012, valid until December 31, 2015
1226 Makati City
ey.com/ph
SEC Accreditation No. 0012-FR-3 (Group A),
Philippines
November 15, 2012, valid until November 16, 2015
INDEPENDENT AUDITORS REPORT
The Board of Trustees

Brgy. Tranca, Bay, Laguna
Report on the Financial Statements
We have audited the accompanying financial statements of CARD-MRI Development Institute, Inc. (A
Nonstock, Not-for-Profit Association), which comprise the statements of assets, liabilities and fund
balance as at December 31, 2013 and 2012, and the statements of revenues and expenses and changes
in fund balance and statements of cash flows for the years then ended, and a summary of significant
accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with Philippine Financial Reporting Standards for Small and Medium-sized Entities, and
for such internal controls as management determines is necessary to enable the preparation of financial
statements that are free from material misstatement, whether due to fraud or error.
Auditors Responsibility
Our responsibility is to express an opinion on these financial statements based on our audits. We
conducted our audits in accordance with Philippine Standards on Auditing. Those standards require
that we comply with ethical requirements and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditors judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entitys
preparation and fair presentation of the 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 entitys internal control. An audit also includes evaluating the appropriateness of the accounting
policies used and the reasonableness of accounting estimates made by management, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion.
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A member firm of Ernst & Young Global Limited
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Opinion
In our opinion, the financial statements present fairly, in all material respects, the financial position of
CARD-MRI Development Institute, Inc. (A Nonstock, Not-for-Profit Association), as at
December 31, 2013 and 2012, and its financial performance and its cash flows for the years then ended in
accordance with Philippine Financial Reporting Standards for Small and Medium-sized Entities.
Report on the Supplementary Information Required Under Revenue Regulations 15-2010
Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken
as a whole. The supplementary information required under Revenue Regulations 15-2010 in Note 15 to
the financial statements is presented for purposes of filing with the Bureau of Internal Revenue and is not
a required part of the basic financial statements. Such information is the responsibility of the management
of CARD-MRI Development Institute, Inc.
(A Nonstock, Not-for-Profit Association). The information has been subjected to the auditing procedures
applied in our audit of the basic financial statements. In our opinion, the information is fairly stated, in all
material respects, in relation to the basic financial statements taken as a whole.
SYCIP GORRES VELAYO & CO.
Christian G. Lauron
Partner
CPA Certificate No. 95977
SEC Accreditation No. 0790-AR-1 (Group A),
March 1, 2012, valid until March 1, 2015

Tax Identification No. 210-474-781
BIR Accreditation No. 08-001998-64-2012,

April 11, 2012, valid until April 10, 2015
PTR No. 4225179, January 2, 2014, Makati City
March 15, 2014

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Report on the Financial Statements
We have audited the accompanying financial statements of CARD-MRI Development Institute, Inc. (A
Nonstock, Not-for-Profit Association), which comprise the statements of assets, liabilities and fund
balance as at December 31, 2013 and 2012, statements of revenues and expenses and changes in fund
balance and statements of cash flows for the years then ended, and a summary of significant
accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with Philippine Financial Reporting Standards for Small and Medium-sized Entities, and
for such internal controls as management determines is necessary to enable the preparation of financial
statements that are free from material misstatement, whether due to fraud or error.
Auditors Responsibility
Our responsibility is to express an opinion on these financial statements based on our audits. We
conducted our audits in accordance with Philippine Standards on Auditing. Those standards require
that we comply with ethical requirements and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the financial statements. The procedures selected depend on the auditors judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entitys
preparation and fair presentation of the 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 entitys internal control. An audit also includes evaluating the appropriateness of the accounting
policies used and the reasonableness of accounting estimates made by management, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion.
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Opinion
In our opinion, the financial statements present fairly, in all material respects, the financial position of
CARD-MRI Development Institute, Inc. (A Nonstock, Not-for-Profit Association) as at
December 31, 2013 and 2012, and its financial performance and its cash flows for the years then ended
in accordance with Philippine Financial Reporting Standards for Small and Medium-sized Entities.
Report on the Supplementary Information Required Under Revenue Regulations 15-2010
Our audits were conducted for the purpose of forming an opinion on the basic financial statements
taken as a whole. The supplementary information required under Revenue Regulations 15-2010 in
Note 15 to the financial statements is presented for purposes of filing with the Bureau of Internal
Revenue and is not a required part of the basic financial statements. Such information is the
responsibility of the management of CARD-MRI Development Institute, Inc.
(A Nonstock, Not-for-Profit Association). The information has been subjected to the auditing
procedures applied in our audit of the basic financial statements. In our opinion, the information is
fairly stated, in all material respects, in relation to the basic financial statements taken as a whole.
Christian G. Lauron
Partner



March 15, 2014

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SyCip Gorres Velayo & Co.
Tel: (632) 891 0307
BOA/PRC Reg. No. 0001,
6760 Ayala Avenue

Fax: (632) 819 0872
December 28, 2012, valid until December 31, 2015
1226 Makati City
ey.com/ph
SEC Accreditation No. 0012-FR-3 (Group A),
Philippines
November 15, 2012, valid until November 16, 2015

TO ACCOMPANY INCOME TAX RETURN


Brgy. Tranca, Bay, Laguna
We have audited the financial statements of CARD-MRI Development Institute, Inc. (A Nonstock,
Not-for-Profit Association) (the Association) for the year ended December 31, 2013, on which we have
rendered the attached report dated March 15, 2014.
In compliance with Revenue Regulations V-20, we are stating that no partner of our Firm is related by
consanguinity or affinity to the president or manager of the Association.

Christian G. Lauron
Partner


March 15, 2014
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CARD-MRI DEVELOPMENT INSTITUTE, INC.
STATEMENTS OF ASSETS, LIABILITIES AND FUND BALANCE
December 31
2013
2012
ASSETS
Current Assets
Cash in banks (Notes 4 and 13)

P=36,060,496
=23,957,686P
Current portion of receivables (Note 5)
8,622,345
5,725,989
Other current assets (Note 6)
917,257
481,488
Total Current Assets
45,600,098
30,165,163
Noncurrent Assets
Noncurrent portion of receivables (Note 5)
46,904
Property and equipment (Note 7)
46,210,629
44,427,057
Equity investment at cost (Note 13)
4,373,900
4,373,900
Software license (Note 8)
180,933
Total Noncurrent Assets

50,765,462
48,847,861
P=96,365,560
=79,013,024P
LIABILITIES AND FUND BALANCE
Current Liability
Accounts payable and accrued expenses (Note 9)

P=10,257,689
=4,406,745P
Noncurrent Liability
Net retirement liability (Note 12)

1,601,488
2,403,296
11,859,177
6,810,041
Fund Balance
General fund
5,000,000
5,000,000
Accumulated excess of revenue over expenses
79,506,383
67,202,983
84,506,383
72,202,983
P=96,365,560
=79,013,024P
See accompanying Notes to Financial Statements.
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STATEMENTS OF REVENUES AND EXPENSES AND

CHANGES IN FUND BALANCE
Years Ended December 31
2013
2012
REVENUE
Seminars and trainings (Note 13)

P=73,768,307
=37,193,709P
Facilities fee (Note 13)
1,392,002
407,291
Donations and contributions (Note 13)
1,002,500
9,018,000
Interest income (Notes 4 and 13)
648,083
652,112
Other income
1,338,281
1,076,085
78,149,173
48,347,197
EXPENSES
Cost of seminars, trainings and other programs (Note 10)

52,430,090
22,756,273
Administrative:
Compensation and employee benefits (Notes 12 and 13)

3,778,400
1,568,162
Transportation and travel
1,695,299
939,031
Insurance
1,454,528
569,173
Management and professional fees
1,257,490
1,309,911
Representation
1,162,542
1,023,510
Program monitoring and meetings
989,854
858,705
Depreciation and amortization expense (Notes 7 and 8)
785,492
1,341,534
Provision for doubtful accounts (Note 5)
507,183
292,685
Taxes and licenses
475,419
204,858
Utilities
316,434
348,800
Janitorial, messengerial, and security
291,044
105,084
Miscellaneous
193,323
138,145
Communication and postage
180,671
141,635
Supplies and materials
167,433
199,978
Repairs and maintenance
127,799
183,079
Information technology
32,772
13,415,683
9,224,290
65,845,773
31,980,563
EXCESS OF REVENUE OVER EXPENSES
12,303,400
16,366,634
FUND BALANCE AT BEGINNING OF YEAR
72,202,983
55,836,349
FUND BALANCE AT END OF YEAR
P=84,506,383
=72,202,983P

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STATEMENTS OF CASH FLOWS
Years Ended December 31
2013
2012
CASH FLOWS FROM OPERATING ACTIVITIES
Excess of revenue over expenses

P=12,303,400
=16,366,634P
Adjustments for:
Depreciation and amortization expense (Notes 7 and 8)

6,933,802
5,144,894
Retirement expense (Note 12)
3,112,174
782,306
Interest income
(648,083)
(652,112)
Provision for doubtful accounts (Note 5)
507,183
292,685
Unrealized foreign exchange loss (gain) from cash in bank
82,509
(2,431)
Dividend income
(1,293,562)
Operating income before working capital changes

20,997,423
21,931,976
Changes in operating assets and liabilities:
Decrease (increase) in amount of:
Receivables (Note 5)
(3,351,927)
4,835,204
Other current assets (Note 6)
(435,769)
1,511,538
Increase (decrease) in amount of:
Accounts payable and accrued expenses (Note 9)
5,850,944
(5,115,086)
Net cash generated from operations
23,060,671
23,163,632
Contributions to retirement fund (Note 12)
(3,913,982)
(5,807,214)
Dividends received
1,293,562
Interest received
643,375
640,657
Net cash provided by operating activities
21,083,626
17,997,075
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of property and equipment (Note 7)

(8,714,307)
(16,297,136)
Acquisition of software license (Note 8)
(184,000)
Payment of subscriptions payable
on equity investments at cost (Note 13)
(2,373,900)
Net cash used in investing activities
(8,898,307)
(18,671,036)
NET INCREASE (DECREASE) IN CASH IN BANKS
12,185,319
(673,961)
EFFECTS OF EXCHANGE RATE CHANGES
ON CASH IN BANK
(82,509)
2,431
CASH IN BANKS AT BEGINNING OF YEAR
23,957,686
24,629,216
CASH IN BANKS AT END OF YEAR (Note 4)
P=36,060,496
P=23,957,686

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NOTES TO FINANCIAL STATEMENTS
General Information
CARD-MRI Development Institute, Inc., (the Association) is a nonstock, not-for-profit association

incorporated in the Philippines on April 21, 2005. The Association was organized to provide courses
of study in microfinance development (non-degree technical courses) or other similar courses subject
to the laws of the Philippines.
Being a nonstock and nonprofit educational institution, the Association falls under Section 30 (h) of
the Tax Reform Act of 1997 and as such, income from activities in pursuit of the purpose for which the
Association was organized is exempt from income tax. The Association renewed its Philippine
Council for NGO Certification (PCNC) accreditation on June 6, 2012 and had been granted a five-year
certification for donee institution status.
The Association is a member of Center for Agriculture and Rural Development (CARD) Mutually
Reinforcing Institutions (MRI).
The Associations principal office is located in Brgy. Tranca, Bay, Laguna.
Summary of Significant Accounting Policies
Basis of Preparation
The accompanying financial statements have been prepared on a historical cost basis and are presented
in Philippine peso, the Associations functional currency. All values are rounded to the nearest peso
unless otherwise indicated.
Statement of Compliance
The Associations financial statements have been prepared in accordance with the Philippine
Financial Reporting Standards for Small and Medium-sized Entities (PFRS for SMEs).
Significant Accounting Policies
Cash in Banks
Cash in banks represent demand, savings and time deposits in banks that earn interest at the respective
bank deposit rates.
Financial Instruments - Initial Recognition and Subsequent Measurement
Date of recognition
A financial asset or a financial liability is recognized only when the Association becomes a party to the
contractual provisions of the instrument.
Initial recognition of financial instruments
All financial assets and financial liabilities are initially measured at fair value, which is normally the
transaction price. Except for financial assets and liabilities at FVPL, the initial measurement of
financial instruments includes transaction costs. The Association classifies its financial assets in the
following categories: financial assets at FVPL, financial assets that are debt instruments at amortized
cost, financial assets that are equity instruments at cost less impairment, and loan commitments at cost
less impairment. Financial liabilities are classified into the following categories: financial liabilities at
FVPL and financial liabilities measured at amortized cost.
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Management determines the classification of its financial instruments at initial recognition and,
where allowed and appropriate, re-evaluates such designation at every reporting date.
As at December 31, 2013 and 2012, the Association has no loan commitments at cost less
impairment and financial liabilities at FVPL.
Financial assets that are debt instruments at amortized cost

This category includes receivables.
After initial measurement, these financial assets are subsequently measured at amortized cost
using the effective interest method, less allowance for credit losses. Amortized cost is calculated
by taking into account any discount or premium on acquisition and fees and costs that are an
integral part of the effective interest rate. The amortization on receivables is included in Interest
income in the statement of revenue and expenses and changes in fund balance. The losses arising
from impairment are recognized in Provision for doubtful accounts.
Financial assets that are equity instruments at cost less impairment
This category includes equity instruments that are not publicly traded and whose fair value cannot
otherwise be measured reliably.
After initial measurement, these financial assets are subsequently measured at cost less any
allowance for impairment losses.
Financial liabilities at amortized cost
This category includes accounts payable which are not designated at FVPL and where the
substance of the contractual arrangement results in the Association having an obligation either to
deliver cash or another financial asset to the holder.
After initial measurement, these financial liabilities are subsequently measured at amortized cost
using the effective interest method. Amortized cost is calculated by taking into account any
discount or premium on acquisition and fees and costs that are an integral part of the effective
interest rate.
Classification of Financial Instruments between Debt and Equity

A financial instrument is classified as debt if it provides for a contractual obligation to:
deliver cash or another financial asset to another entity;
exchange financial assets or financial liabilities with another entity under conditions that are
potentially unfavorable to the Association; or
satisfy the obligation other than by the exchange of a fixed amount of cash or another financial
asset for a fixed number of own equity shares.
If the Association does not have an unconditional right to avoid delivering cash or another
financial asset to settle its contractual obligation, the obligation meets the definition of a financial
liability.
Derecognition of Financial Assets and Liabilities
Financial assets
A financial asset is derecognized only when:
the contractual rights to the cash flows from the financial asset have expired or are settled; or
the Association transfers to another party substantially all of the risks and rewards of ownership of
the financial asset; or
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the Association, despite having retained some significant risks and rewards of ownership, has
transferred control of the asset to another party and the other party has the practical ability to sell
the asset in its entirety to an unrelated third party and is able to exercise that ability unilaterally
and without needing to impose additional restrictions on the transfer. In this case, the Association
derecognizes the asset, and recognizes separately any rights and obligations retained or created in
the transfer.
If a transfer does not result in derecognition because the Association has retained significant risks
and rewards of ownership of the transferred asset, the Association continues to recognize the
transferred asset in its entirety and recognizes a financial liability for the consideration received.
The asset and liability shall not be offset. In subsequent periods, the Association recognizes any
income on the transferred asset and any expense incurred on the financial liability.
Financial liabilities
A financial liability (or a part of a financial liability) is derecognized only when it is extinguished
(i.e., when the obligation specified in the contract is discharged, is cancelled or expires). When an
existing financial liability is replaced by another from the same lender on substantially different
terms, or the terms of an existing liability are substantially modified, such an exchange or
modification is treated as a derecognition of the original liability and the recognition of a new
liability, and the difference in the respective carrying amounts is recognized in the statement of
revenue and expenses and changes in fund balance.
Impairment of Financial Assets
The Association assesses at each reporting date whether there is objective evidence that a financial
asset or group of financial assets is impaired.
Evidence of impairment may include indications that the borrower or a group of borrowers is
experiencing significant financial difficulty, default or delinquency in interest or principal
payments, the probability that they will enter bankruptcy or other financial reorganization and
where observable data indicate that there is measurable decrease in the estimated future cash
flows.
For instruments measured at amortized cost, the impairment loss is the difference between the
assets carrying amount and the present value of estimated cash flows discounted at the assets
original effective interest rate. If such a financial instrument has a variable interest rate, the
discount rate for measuring any impairment loss is the current effective interest rate determined
under the contract.
For instruments measured at cost less impairment, the impairment loss is the difference between
the assets carrying amount and the best estimate (which will necessarily be an approximation) of
the amount (which might be zero) that the Association would receive for the asset if it were to be
sold at the reporting date.
If, in a subsequent period, the amount of an impairment loss decreases and the decrease can be
related objectively to an event occurring after the impairment was recognized (such as an
improvement in the debtors credit rating), the Association reverses the previously recognized
impairment loss either directly or by adjusting an allowance account. The reversal shall not result
in a carrying amount of the financial asset (net of any allowance account) that exceeds what the
carrying amount would have been had the impairment not previously been recognized. The
Association recognizes the amount of the reversal in the statement of revenue and expenses and
changes in fund balance immediately.
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Property and Equipment
Depreciable property and equipment, which includes land improvements, training facilities, office
furniture, fixtures and equipment, transportation equipment, and leasehold improvements, is
carried at cost less accumulated depreciation and any impairment in value.
The initial cost of property and equipment consists of its purchase price, including taxes and
directly attributable costs of bringing the assets to its working condition and location for its
intended use. Expenditures incurred after the property and equipment have been put into
operation, such as repairs and maintenance, are normally charged against current operations in the
year in which such costs are incurred. In situations where it can be clearly demonstrated that the
expenditures have resulted in an increase in the future economic benefits expected to be obtained
from the use of an item of property and equipment beyond its originally assessed standard of
performance, the expenditures are capitalized as additional costs of property and equipment. For
property and equipment being constructed by an external contractor, costs are capitalized based on
the percentage of completion of the project.
Depreciation is calculated on a straight-line basis over the useful life of the asset as follows:
Training facilities
3 to 10 years
Office furniture, fixtures and equipment and
transportation equipment
3 to 5 years
Land improvements
3 years
3 years or term of the lease

Leasehold improvements
whichever is shorter
The useful life and depreciation method are reviewed periodically to ensure that the period and
method of depreciation are consistent with the expected pattern of economic benefits from the
asset.
If there is an indication that there has been a significant change in depreciation rate, useful life, or
residual value of the asset, the depreciation of that asset is revised prospectively to reflect the new
expectations.
Software License
Software license includes costs incurred in obtaining licensing the software purchased and used by
the Association. The amortization of software license is on a straight-line basis over a period of
five years and is recorded under Depreciation and amortization expense account.
Impairment of Property and Equipment and Software License
An assessment is made at each reporting date to determine whether there is any indication of
impairment of any long-lived assets or whether there is any indication that an impairment loss
previously recognized for an asset in prior years may no longer exist or may have decreased.
If any such indication exists, the assets recoverable amount is estimated. An assets recoverable
amount is calculated as the higher of the assets value in use or its fair value less cost to sell.
An impairment loss is recognized only if the carrying amount of an asset exceeds its recoverable
amount. An impairment loss is charged against current operations in the year in which it arises.
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A previously recognized impairment loss is reversed only if there has been a change in the
estimates used to determine the recoverable amount of an asset, however, not to an amount higher
than the carrying amount that would have been determined (net of any accumulated depreciation)
had no impairment loss been recognized for the asset in prior years. A reversal of an impairment
loss is credited to current operations.
Accounts Payable and Accrued Expense
Accounts payable and accrued expenses are basic financial liabilities which are measured initially
at the transaction price and carried at amortized cost.
Fund Balance
Fund balance consists of the amounts contributed by the members of the Association and all
current and prior period results of operations.
Revenue Recognition
Revenue is recognized to the extent it is probable that the economic benefits will flow to the
Association and that the revenue can be measured reliably. The following specific recognition
criteria must be met before revenue is recognized:
Seminar and training fees
Seminar and training fees are recognized when seminars and trainings have been conducted and
completed. Tuition fees included in this amount are recognized over the service period.
Donations and contributions
Donations and contributions are recognized when there is actual transfer of assets from the donor
in case of unconditional grants, or when conditions are met in case of conditional grants.
Interest income
Interest income from cash in banks is recognized on a time proportion basis as it accrues using the
effective interest method.
Facilities fee
Facilities fee is recognized based on the terms of agreement.
Other income
Income from other sources is recognized when earned.
Cost and Expense Recognition
Costs and expenses are recognized in statement of revenues and expenses and changes in fund
balance when decrease in future economic benefit related to a decrease in an asset or an increase
in a liability has arisen that can be measured reliably.
Costs and expenses are recognized in statement of revenues and expenses and changes in fund
balance:
On the basis of a direct association between the costs incurred and the earning of specific items of
income;
On the basis of systematic and rational allocation procedures when economic benefits are
expected to arise over several accounting periods and the association can only be broadly or
indirectly determined; or
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Immediately when expenditure produces no future economic benefits or when, and to the extent
that, future economic benefits do not qualify or cease to qualify, for recognition in the statements
of financial position as an asset.
Foreign Currency Transactions
Foreign currency-denominated monetary assets and liabilities are translated into Philippine pesos
based on the Philippine Dealing System (PDS) closing rate prevailing at the end of the year and
foreign currency-denominated income and expenses at the PDS weighted average rate prevailing
on transaction date. Foreign exchange gains or losses from foreign currency translations and
revaluation of foreign currency-denominated monetary assets and liabilities are credited to or
charged against current operations.
Leases
The determination of whether an arrangement is, or contains a lease, is based on the substance of
the arrangement and requires an assessment of whether the fulfillment of the arrangement is
dependent on the use of a specific asset or assets and the arrangement conveys a right to use the
asset. A reassessment is made after inception of the lease only if one of the following applies:
There is change in contractual terms, other than a renewal or extension of the arrangement;
A renewal option is exercised or extension granted, unless that term of the renewal or extension
was initially included in the lease term;
There is a change in the determination of whether fulfillment is dependent on a specified asset; or
There is substantial change to the asset.
Where a reassessment is made, lease accounting shall commence or cease from the date when the
change in circumstances gave rise to the reassessment for scenarios (a), (c), or (d) above, and at
the date of renewal or extension period for scenario (b).
Operating Leases
Association as lessee
Leases where the lessor retains substantially all the risks and rewards of ownership of the asset are
classified as operating leases. Operating lease payments are recognized as an expense in the
statement of revenue and expenses and changes in fund balance on a straight-line basis over the
lease term.
Retirement Benefits
The Association is covered by a funded noncontributory defined benefit retirement plan.
The Associations retirement cost is determined using the projected unit credit method. Under this
method, the current service cost is the present value of retirement benefits payable in the future
with respect to services rendered in the current period.
The liability recognized in the statement of assets, liabilities and fund balance, in respect of defined
benefit pension plans, is the present value of the defined benefit obligation less the fair value of plan
assets at the reporting date. The defined benefit obligation is calculated annually by an independent
actuary using the projected unit credit method. The present value of the defined benefit obligation is
determined by discounting the estimated future cash outflows using interest rate on government bonds
that have terms to maturity approximating the terms of the related retirement liability. Actuarial gains
and losses are immediately charged against or credited to current operations.
*SGVFS006
404*
-7-
Provisions
Provisions are recognized when an obligation (legal or constructive) is incurred as a result of a past
event and where it is probable that an outflow of resources embodying economic benefits will be
required to settle the obligation and a reliable estimate can be made of the amount of the obligation.
Contingencies
Contingent liabilities are not recognized in the financial statements. They are disclosed unless the
possibility of an outflow of resources embodying economic benefits is remote. Contingent assets are
not recognized in the financial statements but are disclosed when an inflow of economic benefits is
probable.
Related Party Relationships and Transactions
Related party relationship exists when one party has the ability to control, directly, or indirectly
through one or more intermediaries, the other party or exercises significant influence over the other
party in making financial and operating decisions. Such relationship also exists between and/or among
entities which are under common control with the reporting enterprise, or between and/or among the
enterprise and its key management personnel, directors, or its shareholders. In considering each
possible related party relationship, attention is directed to the substance or the relationship, and not
merely the legal form.
Events after the Reporting Period
Post year-end events that provide additional information about the Associations financial position at
reporting date (adjusting events) are reflected in the financial statements. Post year-end events that are
not adjusting events are disclosed in the notes to the financial statements, when material.
Significant Accounting Judgments and Estimates
Judgment
Management makes judgments in the process of applying the Associations accounting policies.
Judgments that have a significant effect on the reported amounts in the financial statements are
discussed below.
Operating leases
The Association has entered into commercial property leases wherein it has determined that all the
significant risks and rewards of ownership of these properties are retained by the lessor. In determining
whether or not there is indication of operating lease treatment, the Association considers retention of
ownership title to the leased property, period of lease contract relative to the estimated useful
economic life of the leased property and bearer of executory costs, among others.
Foreign currency translation
The Association conducts transactions in foreign currency. The Association maintains two US Dollar
Bank accounts for international clients paying in US dollar. In accounting for dollar denominated
transactions, the Association does not recognize realized gain/loss from settlement of receivables. Net
income or loss is reflected through the translation of cash in bank - dollar account at year-end.
*SGVFS006
404*
-8-
Contingencies
The amount of probable costs for the resolution of possible claims has been developed in
consultation with CARD MRI in-house legal counsel handling the Associations defense and is
based upon the analysis of potential results. No provisions for contingencies were provided as at
December 31, 2013 and 2012.
Going concern
The Associations management has made an assessment of the Associations ability to continue as
a going concern and is satisfied that the Association has the resources to continue in business for
the foreseeable future. Furthermore, management is not aware of any material uncertainties that
may cast significant doubt upon the Associations ability to continue as a going concern.
Therefore, the financial statements continue to be prepared on the going concern basis.
Estimates
The key sources of estimation uncertainty at the reporting date that have significant risk of causing
material adjustment to the carrying amount of assets and liabilities within the next financial year
are discussed below:
Impairment of trade receivables
The Association assesses its receivables for impairment at each reporting date. In determining
whether a credit loss should be recorded in the statement of revenues and expenses and changes in
fund balance, the Association makes judgments as to whether there is any observable data
indicating that there is a measurable decrease in the estimated future cash flows from its
receivable. This evidence may include observable data indicating that there has been an adverse
change in the payment status of its debtors.
As at December 31, 2013 and 2012, the carrying amount of receivables amounted to
P=8.6 million and P=5.7 million, respectively. As at December 31, 2013 and 2012, allowance for
doubtful accounts amounted to P=0.8 million and P=1.0 million, respectively (Note 5).
Impairment of property and equipment
The Association assesses impairment on assets whenever events or changes in circumstances

indicate that the carrying amount of an asset may not be recoverable. The factors that the
Association considers important which could trigger an impairment review include the following:
significant underperformance relative to expected historical or projected future operating results;
significant changes in the manner of use of the acquired assets or the strategy for overall business;
and
significant negative industry or economic trends.
The Association recognizes an impairment loss whenever the carrying amount of an asset exceeds
its recoverable amount. The recoverable amount is the higher of an assets value in use or its fair
value less costs to sell. Recoverable amounts are estimated for individual assets.
In determining the present value of estimated future cash flows expected to be generated from the
continued use of the assets, the Association is required to make estimates and assumptions that can
materially affect the financial statements. No impairment loss was recognized in 2013 and 2012.
As at December 31, 2013 and 2012, the carrying value of property and equipment amounted to
=46P.2 million and =44P.4 million, respectively (Note 7).
*SGVFS006404*
-9-
Impairment of equity investment at cost
The Association treats equity investments as impaired when there has been a significant or prolonged
decline in the fair value below its cost or where other objective evidence of impairment exists. The
determination of what is significant or prolonged requires judgment. Impairment may be
appropriate when there is evidence of deterioration in the financial health of the investee, industry and
sector performance, changes in technology, and operational and financing cash flows.
The Association has an equity investment at cost amounting to P=4.4 million as at December 31, 2013
and 2012. There is no allowance for impairment losses on equity investments as at December 31, 2013
and 2012.
Estimated useful lives of property and equipment
The Association estimates the useful lives of its property and equipment. This estimate is reviewed
periodically to ensure that the period of depreciation and amortization are consistent with the expected
pattern of economic benefits from the items of property and equipment. The estimated useful lives of
property and equipment are disclosed in Note 2 to the financial statements.
Present value of retirement obligation
The cost of defined benefit pension plan and other post-employment benefits is determined using
actuarial valuations. The actuarial valuation involves making assumptions about discount rates,
expected rates of return on plan assets, future salary increases, mortality rates and future pension
increases. Due to the long term nature of these plans, such estimates are subject to significant
uncertainty.
The expected rate of return on plan assets was based on the market prices prevailing on that date
applicable to the period over which obligation is to be settled. The assumed discount rates were
determined using the market yields on Philippine government bonds with terms consistent with the
expected employee benefit payout as at the reporting dates.
The present value of the defined benefit obligation amounted to P=16.5 million and P=12.3 million as
at December 31, 2013 and 2012, respectively (Note 12).
Cash in Banks
This account consists of:
2013
2012
Time deposits
P=22,645,720
=17,347,087P
Demand deposits
6,107,405
4,546,338
Savings deposits
7,307,371
2,064,261
P=36,060,496
=23,957,686P
Demand and savings deposits earn interest at the respective bank deposit rates.
Time deposits have maturities of less than three months with annual interest rates ranging between
2.5% to 4.0% and 3.5% to 4.5% in 2013 and 2012, respectively.
Interest income earned on the Associations cash in banks amounted to =0P.6 million and =0P.7
million in 2013 and 2012, respectively.
*SGVFS006404*
- 10 -
5. Receivables
2013
2012
Receivable from related parties (Note 13)

P=7,537,321
P=5,649,387
Receivable from contractor

1,247,200
Receivable from trainees and participants

570,451
971,705
Interest receivable
58,553
53,845
Notes receivable
46,904
136,162
9,460,429
6,811,099
Less allowance for doubtful accounts

838,084
1,038,206
Total receivables
8,622,345
5,772,893
Less noncurrent portion
46,904
Current portion
P=8,622,345
=5,725,989P
During the year, the Association has three outstanding construction contracts with contractor Ark
LMFB, Inc. for the construction of building and land improvements. Two of the three contracts for
which the contractor has billings of P=2.2 million exceeded the contract costs incurred of
P=0.9 million representing the portion completed. The excess is recorded under the Receivable from
contractor account.
Changes in the allowance for doubtful accounts are as follows:
2013
2012
Balance at beginning of year
P=1,038,206
P=814,921
Provision during the year
507,183
292,685
Written off accounts
(707,305)
(69,400)
Balance at end of year
P=838,084
P=1,038,206
Impairment of trade and other receivables is assessed collectively.
Other Current Assets
2013
2012
Prepaid expenses
P=833,850
=401,424P
Supplies inventory
83,407
80,064
P=917,257
=481,488P
Prepaid expenses include prepayments for insurance, supplies and other expenses. Supplies
inventory includes souvenir items distributed to trainees.
*SGVFS006
404*
- 11 -
Property and Equipment
The composition of and movements in this account follow:
2013
Office
Furniture,
Land
Training
Fixtures and
Transportation
Leasehold
Construction
Land
Improvement
Facilities
Equipment
Equipment
Improvement
in Progress
Total
Cost

P=6,958,588
P=520,708
P=41,364,754
P=7,256,470
P=4,267,722
P=896,828
P=911,481
P=62,176,551
Additions/transfers
5,877,722
1,696,790
2,051,276
9,625,788
Disposals/transfers
30,942
(30,942)
(911,481)
(911,481)
6,958,588
520,708
47,273,418
8,922,318
4,267,722
896,828
2,051,276
70,890,858
Accumulated depreciation
379,044
9,074,742
5,166,336
2,481,663
647,709
17,749,494
Depreciation
54,801
4,593,724
1,280,721
752,370
249,119
6,930,735
Disposal
433,845
13,668,466
6,447,057
3,234,033
896,828
24,680,229
Net book value
P=6,958,588
P=86,863
P=33,604,952
P=2,475,261
P=1,033,689
P=
P=2,051,276
P=46,210,629
2012
Office
Furniture,
Land
Training
Fixtures and
Transportation
Leasehold
Construction
Land
Improvement
Facilities
Equipment
Equipment
Improvement
in Progress
Total
Cost

P=6,501,607
P=356,368
=23,500,892P
=6,664,670P
=2,229,000P
=896,828P
=7,135,584P
=47,284,949P
Additions/transfers
456,981
164,340
1,457,322
1,997,334
2,038,722
10,182,437
16,297,136
Disposals/transfers
16,406,540
(1,405,534)
(16,406,540)
(1,405,534)
6,958,588
520,708
41,364,754
7,256,470
4,267,722
896,828
911,481
62,176,551
Accumulated depreciation
341,179
6,195,000
5,481,937
1,643,251
348,767
14,010,134
Depreciation
37,865
2,879,742
1,089,933
838,412
298,942
5,144,894
Disposal
(1,405,534)
(1,405,534)
379,044
9,074,742
5,166,336
2,481,663
647,709
17,749,494
Net book value
=6,958,588P
P=141,664
=32,290,012P
=2,090,134P
=1,786,059P
=249,119P
=911,481P
=44,427,057P
The breakdown of depreciation expense on property and equipment in 2013 and 2012 follows:
2013
2012
Cost of seminars, trainings, and other programs
(Note 10)
P=6,146,010
=3,803,360P
Administrative
784,725
1,341,534
P=6,930,735
=5,144,894P
Construction in progress represents costs recognized by the Association for three ongoing construction
projects for land and building improvements (Note 5).
As at December 31, 2013 and 2012, the total cost of fully-depreciated assets still in use amounted to
=8P.0 million and =6P.9 million, respectively.
8. Software License
The composition of and movements in the account follow:
Cost

P=
Additions/transfers
184,000

184,000
Accumulated Amortization
Amortization
3,067

3,067
Net Book Value
P=180,933
*SGVFS006
404*
- 12 -
The breakdown of amortization expense on software license in 2013 follows:
Cost of seminars, trainings, and other
programs (Note 10)

P=2,300
Administrative
767
P=3,067
Accounts Payable and Accrued Expenses
2013
2012
Accrued expenses
P=3,819,523
P=2,144,743
Funds held in trust (Note 13)
3,762,764
8,000
Unearned tuition fee
1,436,156
812,000
Accounts payable
1,239,246
1,442,002
P=10,257,689
P=4,406,745
Accrued expenses include accrual for vacation leave credits, cash gifts, 13 th and 14th month pay, and
other expenses.
Funds held in trust includes donations received by the Association on behalf of CARD, Inc. during the
launching of Zero Dropout Education Scheme (ZeDrES) last April 2, 2013. Total donations for
ZeDrES received in 2013 by the Association amounted to =3P.5 million. The funds also includes =0P.2
million donations received by the Association for the University of the Philippines (UP) Educational
Loan Fund. As per memorandum of understanding, the Association shall use funds to provide
educational assistance to students enrolled in any degree offered by UP. As at December 31, 2013, no
disbursement has yet been made from the funds.
Cost of Seminars, Trainings and Other Programs
2013
2012
Meals of trainees
P=16,696,044
=4,989,833P
Compensation and employee benefits
(Notes 12 and 13)

8,664,048
6,296,749
Room accommodation and function hall
6,301,294
409,543
Depreciation (Note 7)
6,146,010
3,803,360
Transportation and travel
4,395,777
1,839,426
Supplies and materials
3,088,238
639,165
Janitorial, messengerial and security
1,963,410
1,057,411
Utilities
1,410,238
1,358,398
Management and professional fees
1,320,969
168,858
Repairs and maintenance
896,547
659,547
(Forward)
*SGVFS006
404*
- 13 -
2013
2012
Representation expense
P=610,441
P=314,203
Office rental
180,000
180,000
Information technology
97,887
356,496
Miscellaneous
659,187
683,284
P=52,430,090
P=22,756,273
Miscellaneous includes laundry and ironing, communication and postage, periodicals and magazines,
library expenses and other program-related costs.
Lease Contracts - Lessee
As at December 31, 2013, the Association has two outstanding lease contracts for the lease of two
commercial buildings from CARD Inc., both with lease term of three years until
November 16, 2016 and are renewable upon mutual agreement between the Association and the lessor.
Future aggregate minimum lease payments under non-cancellable operating leases are as follow:
2013
2012
Not later than one year
P=180,000
=180,000P
Later than one year and not later than five years
345,000
P=525,000
=180,000P
Lease payments recognized under office rental amount to =0P.2 million in 2013 and 2012.
Retirement Benefits
The Association, CARD SME Bank, Inc. (CSMEB), CARD Mutual Benefit Association (MBA), Inc.,
CARD Bank, Inc., CARD MRI Insurance Agency (CAMIA), Inc., CARD Business Development
Service Foundation (BDSF), Inc., CARD MRI Information Technology, Inc. (CMIT), BotiCARD, Inc.,
and CARD, Inc. maintain a funded and formal noncontributory defined benefit retirement plan - the
CARD MRI Multi-Employer Retirement Plan (MERP) - covering all of their regular employees. The
MERP has a projected unit cost format and is financed solely by the Association and its related parties.
MERP complies with the requirement of Republic Act No. 7641 (The Philippine Retirement Law). The
MERP provided lump sum benefits equivalent to at least one half (1/2) month salary for every year of
service, a fraction of at least six months being considered as one whole year upon retirement, death,
total and permanent disability, or early retirement after completion of at least ten (10) years of service
with the participating companies. However, starting 2011, the MERP provides lump sum benefits
equivalent to 120.0% of final salary for every year of credited service, a fraction of at least six (6)
months being considered as one whole year upon retirement, death, total and permanent disability, or
early retirement after completion of at least one year of service with the participating companies.
*SGVFS006
404*
- 14 -
The cost of defined benefit retirement plan as well as the present value of the defined benefit
obligation is determined using actuarial valuations. The actuarial valuation involves making
various assumptions. The principal assumptions used in determining pension for the defined
benefit plans are the following:
2013
2012
Discount rates
6.38%
6.20%
Future salary increases
12.00
12.00
The amounts recognized in the statement of assets, liabilities and fund balance follow:
2013
2012
Present value of pension obligation
P=16,491,326
=12,257,900P
Fair value of plan assets
(14,889,838)
(9,854,604)
Net retirement liability
P=1,601,488
=2,403,296P
The amounts included in Compensation and employee benefits account in the statements of
revenue and expenses, and changes in fund balance follow:
2013
2012
Current service cost

P=1,581,300
P=1,618,552
Net actuarial loss (gain) recognized during the year

1,523,041
(1,445,983)
Interest cost
759,990
822,462
Actual return on plan assets

(752,157)
(212,725)
P=3,112,174
P=782,306
The movements in the net retirement liability follow:
2013
2012

P=2,403,296
P=7,428,204
Contributions paid
(3,913,982)
(5,807,214)
Retirement expense
3,112,174
782,306

P=1,601,488
P=2,403,296
The movements in the present value of pension obligation follow:
2013
2012
P=12,257,900
P=11,682,700
Current service cost
1,581,300
1,618,552
Actuarial loss (gain)
1,252,191
(1,865,814)
Interest cost
759,990
822,462
Transfers to the plan
740,094

Benefits paid
(100,149)

P=16,491,326
P=12,257,900
*SGVFS006
404*
- 15 -
The movements in the fair value of plan assets follow:
2013
2012

P=9,854,604
P=4,254,496
Contributions paid by employer

3,913,982
5,807,214
Interest income
752,157
501,067
Transfers to the plan

740,094
Return on plan assets (excluding interest)

(270,850)
(708,173)
Benefits paid
(100,149)

P=14,889,838
P=9,854,604
The Association plans to contribute =3P.6 million to the defined benefit retirement plan in
2014.
The fair value of plan assets by each class as at the end of the reporting period are as follow:
2013
2012
Cash and cash equivalents
P=8,071,781
P=5,940,215
Debt Instruments - Government Bonds
5,425,857
2,866,139
Loans
920,192
101,442
Mutual Funds
205,480
Equity Instruments
93,806
600,694
Debt Instruments - Other Bonds
346,114
Other (Market Gains / Losses, Accrued
Receivables, etc.)
172,722
P=14,889,838
=9,854,604P
Included in the fund assets are transactions with the Association such as time deposits,
investment in subordinated debts and investment in shares of stock.
The plan assets have diverse investments and do not have any concentration risk.
The management performed an Asset-Liability Matching Study (ALM) annually. The overall
investment policy and strategy of the Associations defined benefit plans is guided by the
objective of achieving an investment return which, together with contributions, ensures that
there will be sufficient assets to pay pension benefits as they fall due while also mitigating the
various risk of the plans.
The average duration of the defined benefit obligation at the end of the reporting period is 24.3
years.
Shown below is the maturity analysis of the undiscounted benefit payments:
2013
2012
Less than 1 year
P=
P=57,115
More than 1 year to 5 years
383,498
More than 5 years to 10 years
1,306,513
2,097,502
4,808,918
1,468,765
46,946,331
12,567,074
17,609,889
43,929,021
More than 25 years
466,826,755
183,411,610
*SGVFS00
6404*
- 16 -
Related Party Transactions
In the ordinary course of business, the Association transacts with related parties. Related parties
include trustees, members, officers, employees and entities (affiliates) where trustees, members and
officers hold key management positions. Transactions with these related parties include normal
banking transactions, interest and non-interest bearing advances or loans, accounts receivable and
accounts payable. These transactions are made substantially on the same terms as other individuals and
business of comparable risks.
Transactions with retirement plans
Under PFRS for SMEs, certain post-employment benefit plans are considered as related parties.
CARD MRIs Multi-Employer Retirement Plan (MERP) is managed by the CARD Employee
Multipurpose Cooperative (EMPC). Part of the plan assets are invested in time deposits and special
savings accounts with the affiliated banks (Note 12).
Remunerations of Trustees and other Key Management Personnel
Key management personnel are those persons having authority and responsibility for planning,
directing and controlling the activities of the Association, directly or indirectly. The Association
considers the members of the board of trustees and senior management to constitute key management
personnel for purposes of Section 33 of PFRS for SMEs.
The compensation of key management personnel included under Compensation and employee benefits in
the statement of revenues and expenses and changes in fund balance are as follows:
2013
2012
Post-employment benefits
P=1,978,545
=141,537P
Short-term employee benefits

863,678
812,809
P=2,842,223
=954,346P
Other related party transactions
Transactions between the Association and its key management personnel meet the definition of related
party transactions. Transactions between the Association and its affiliates within the CARD MRI, also
qualify as related party transactions.
Cash, accounts payable and accounts receivable
Cash, accounts payable and accounts receivable held by the Association for key management
personnel and affiliates as at December 31, 2013 and 2012 follow:
December 31, 2013
Outstanding
Category
Amount/Volume
Balance
Nature, Terms and Conditions
CARD Bank
Cash in banks:
P=16,134,231 These are checking, savings and time deposit accounts

Deposits
P=60,303,388
with annual interest rate ranging from 1.5% to 4.5%

Withdrawals
(54,649,439)
Accounts payable:
Share of expenses
Billings
99,431
Payments
(99,431)
Accounts receivable:
1,583,032
Training fees, seminars and meetings,
Billings
29,163,951
and share of expenses

Collections
(29,254,002)
(Forward)
*SGVFS006
404*
- 17 -
December 31, 2013
Outstanding
Category
Amount/Volume
Balance
CARD, Inc.
Accounts payable:
P=38,505
Share of expenses
Billings
P=587,545
Payments
(566,692)
5,109,522
Billings
49,324,648

Collections
(47,431,587)
BDSFI
Accounts payable:
59,077
Share of expenses
Billings
64,064
Payments
(4,987)
14,934
Billings
381,901
Collections
(392,089)
CARD MBA
Accounts payable:
Share of expenses
Billings
144,993
Payments
(144,993)
278,873
Billings
5,507,706

Payments
(5,866,340)
CARD SME
Cash in banks:
9,742,401 These are checking, savings and time deposit accounts

Deposits
6,589,812

Withdrawals
(5,732,097)
Accounts payable:
Share of expenses
Billings
3,250
Payments
(3,250)
443,090
Billings
6,859,125
Collections
(6,417,310)
CARD EMPC
Accounts payable:
Share of expenses
Billings
1,000
Payments
(1,000)
29,896
Billings
438,510

Collections
(408,990)
CAMIA
Accounts payable:
361
Share of expenses
Billings
361
Payments
(363,112)
18,198
Billings
1,148,192

Collections
(1,130,407)
CMIT
Accounts payable:
Share of expenses
Billings
7,600
Payments
(7,600)
14,918
Billings
1,076,225

Collections
(1,061,307)
BotiCARD
Accounts payable:
6,000
Billings
6,000
Share of expenses
Payments
10,794
Billings
160,962

Collections
(161,678)
Rizal Rural Bank
Cash in banks:
6,055,341
These are checking, savings and time deposit
Deposits
6,055,341
accounts with annual interest rate ranging from

Withdrawals
1.5% to 4.5%
36,597
Billings
151,394

Payments
(114,797)
*SGVFS006
404*
- 18 -
December 31, 2013
Outstanding
Category
Amount/Volume
Balance
CLFC
P=1,603
Billings
P=394,935

Collections
(393,332)
December 31, 2012
Outstanding
Category
Amount / Volume
Balance
CARD Bank
Cash in banks:
P=10,480,282
These are checking, savings and time deposit accounts
Deposits
=142,439,816P

Withdrawals
(143,261,326)
Accounts payable:
Share of expenses
Billings
40,135
Payments
(44,338)
1,673,083
Billings
16,234,366

Collections
(15,096,369)
CARD Inc.
Accounts payable:
17,652
Share of expenses
Billings
1,207,265
Payments
(1,286,098)
3,216,461
Billings
21,453,355

Collections
(18,911,517)
BDSFI
Accounts payable:
Share of expenses
Billings
97,686
Payments
(148,719)
25,122
Billings
501,619

Collections
(489,347)
CARD MBA
Accounts payable:
Share of expenses
Billings
3,915,287
Payments
(7,830,324)
637,507
Billings
8,685,685

Collections
(11,663,345)
CARD SME
Cash in banks:
8,884,686
These are checking, savings and time deposit accounts
Deposits
13,556,000

Withdrawals
(8,994,866)
Accounts payable:
Share of expenses
Billings
3,250
Payments
(3,250)
1,275
Billings
3,075,402

Collections
(3,246,219)
CARD EMPC
Accounts payable:
Share of expenses
Billings
9,000
Payments
(9,000)
376
Billings
26,174

Collections
(25,798)
CAMIA
Accounts payable:
363,112
Share of expenses
Billings
363,112
Payments
413
Training fees, seminars and meetings, and share of
Billings
166,352
expenses
Collections
(168,375)
*SGVFS006
404*
- 19 -
December 31, 2012
Outstanding
Category
Amount / Volume
Balance
CMIT
Accounts payable:
=P
Share of expenses
Billings
=1,100P
Payments
(1,100)

Billings
3,765,708

Collections
(6,873,108)
BotiCARD
Accounts payable:
Share of expenses
Billings
1,373
Payments
(3,258)
11,510
Billings
245,668
Collections
(234,158)
Others
Other related party transactions of the Association are as follows:
2013
2012
Statement of Assets, Liabilities
and Fund Balance
CARD Inc.
Funds held in trust

P=3,531,264
=8,000P
Funds received by the Association in behalf of CARD,
Inc. for ZeDrES program (Note 9)

CMIT
Equity investment at cost

4,373,900
4,373,900
Associations investment in equity shares
with 4.08% ownership

Statement of Revenue and
Expenses and Changes in
Fund Balance
CARD Bank
Seminars and trainings
21,072,611
9,461,005
Income derived from providing seminars and trainings
to CARD MRI group and the related affiliates

Facilities fee
434,800
46,715
Income derived from the use of facilities to CARD MRI
group and external parties for various events

Interest income
334,614
279,463
These are interest earned by savings and time deposit
accounts of the Association

CARD, Inc.
Donations and contributions
5,000,000
Grants from CARD Inc. for the Associations
construction of administration building and training
center in Tagum, Davao.

39,405,400
15,673,011

Facilities fee
293,236
121,223

Rent expense
180,000
180,000
The Organization leases premises occupied by its
branches. Rent expense is recorded

under Office rental (Note 10)
CARD MBA

3,359,990
3,712,076

Facilities fee
105,325
21,170

CARD SME

5,064,391
2,025,837

Facilities fee
160,854
8,820

Interest income
229,504
300,744
These are interest earned by savings and time deposit
accounts of the Association

BDSFI

119,083
247,707

Facilities fee
30,976
1,020
*SGVFS006
404*
- 20 -
2013
2012
CAMIA

P=1,007,012
=104,472P

Facilities fee
55,150
8,250

CMIT

442,605
1,523,189

Facilities fee
5,417
5,645

Dividends
1,293,562
Income derived from the Associations investment
in equity shares of CMIT

BotiCARD

152,605
181,835
Facilities fee
360
480

CARD EMPC

98,488
12,955
The Association has equity investment at cost in CMIT common stocks amounting to
P=4.4 million. The percentage of stockholdings of the Association has decreased from 4.37% in 2012
to 4.08% in 2013 due to issuance of additional stocks by CMIT.
Approval for the Release of Financial Statements
The accompanying financial statements of the Association were authorized for issue by the BOT on
March 15, 2014.
Supplementary Information under RR 15-2010
On November 25, 2010, the BIR issued RR 15-2010 to amend certain provisions of RR No. 21-2002
which provides that starting 2010, the notes to financial statements shall include information on taxes,
duties and licenses paid or accrued during the taxable year.
The Association reported and/or paid the following types of taxes in 2013:
Taxes and Licenses
Taxes and licenses in 2013 recorded as Taxes and licenses presented under administrative and other
expenses in the statement of revenues and expenses and changes in fund balance consist of:
Real property tax

P=355,420
Business permits and licenses
95,004
Building permit
18,921
Community tax certificate
4,719
Documentary stamp tax
855
Annual registration
500
=475,419P
*SGVFS006
404*
- 21 -
Withholding Taxes
The following withholding taxes are categorized into:
Paid during
Accrued
the year
at year-end
Withholding tax on compensation

=372,038P
=159,930P
Expanded withholding tax

368,876
199,816
=740,914P
=359,746P
Tax Contingencies
The Association did not receive any final tax assessment in 2013 nor did it have tax cases under
preliminary investigation, litigation and/or prosecution in courts or bodies outside the administration
of the Bureau of Internal Revenue.
*SGVFS006404*

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CARD-MRI Development Institute, Inc.

(A Nonstock, Not-for-Profit Association)

December 31, 2013 and 2012

Independent Auditors Report

SEC Registration Number

(Company Telephone Number)

Dept. Requiring this Doc.

Total Amount of Borrowings

To be accomplished by SEC Personnel concerned

Remarks: Please use BLACK ink for scanning purposes.

Tel: (632) 891 0307

BOA/PRC Reg. No. 0001,

November 15, 2012, valid until November 16, 2015

INDEPENDENT AUDITORS REPORT

The Board of Trustees

CARD-MRI Development Institute, Inc.

Brgy. Tranca, Bay, Laguna

Report on the Financial Statements

Managements Responsibility for the Financial Statements

Report on the Supplementary Information Required Under Revenue Regulations 15-2010

SYCIP GORRES VELAYO & CO.

March 1, 2012, valid until March 1, 2015

BIR Accreditation No. 08-001998-64-2012,

PTR No. 4225179, January 2, 2014, Makati City

March 15, 2014

The Board of Trustees

(A Nonstock, Not-for-Profit Association)

Report on the Financial Statements

Managements Responsibility for the Financial Statements

Report on the Supplementary Information Required Under Revenue Regulations 15-2010

SYCIP GORRES VELAYO & CO.

CPA Certificate No. 95977

Tax Identification No. 210-474-781

April 11, 2012, valid until April 10, 2015

March 15, 2014

Tel: (632) 891 0307

BOA/PRC Reg. No. 0001,

6760 Ayala Avenue

November 15, 2012, valid until November 16, 2015

INDEPENDENT AUDITORS REPORT

The Board of Trustees

(A Nonstock, Not-for-Profit Association)

SYCIP GORRES VELAYO & CO.

SEC Accreditation No. 0790-AR-1 (Group A),

Tax Identification No. 210-474-781

PTR No. 4225179, January 2, 2014, Makati City

March 15, 2014

(A Nonstock, Not-for-Profit Association)

STATEMENTS OF ASSETS, LIABILITIES AND FUND BALANCE

Cash in banks (Notes 4 and 13)

Noncurrent portion of receivables (Note 5)

Total Noncurrent Assets

Accounts payable and accrued expenses (Note 9)

Net retirement liability (Note 12)

See accompanying Notes to Financial Statements.

(A Nonstock, Not-for-Profit Association)

STATEMENTS OF REVENUES AND EXPENSES AND

Years Ended December 31