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<br />ARKANSAS RIVER COMPACT ADMINISTRATION <br />NOTES TO CASH BASIS STATEMENTS <br />OCTOBER 31, 1976 <br /> <br />Note 1 - Summary of significant accounting policies: <br /> <br />a. The Administration maintains tinandal records using the cash <br />basis of accounting. By using the cash basis or accounting <br />certain key accounts needed to present financial position and <br />results of operations are omitted; examples or these accoWlts <br />are accounts receivable and accounts payable. <br /> <br />-15- <br />