Emeriti Association, University of Nebraska-Lincoln


Date of this Version

December 2006


Book value is the historical cost basis of the endowment (or investment) whereas market value is what the endowment is worth right now. Basically, book value is what went into the endowment and market value is what you would get if you sold it now. Because this is a permanent endowment, only the income can be spent. The income is the spendable account. The estimated annual income is the amount the fund can expect to earn over the next year if no new contributions are made to the account. It is the endowment thatis earning income and the earnings are placed in the spendable account. Fund 30086910 (Emeriti Fund) is not an interest bearing account. It is considered an expendable fund and our expendable funds do not earn income. It's treated like a free checking account. Income from the Wisherd Fund may provide support for the programs and activities of the Association's Membership, Membership Relations, Program and Website committees.