-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Hkrs7mBoauoq5Hdboyn5umvJN4w4MsvlhX2T2o7cb5LeefZ121kBmdRUCiUsbISI VYAfJANrwKsTsS/cYvk8qQ== 0000853566-96-000002.txt : 19960717 0000853566-96-000002.hdr.sgml : 19960717 ACCESSION NUMBER: 0000853566-96-000002 CONFORMED SUBMISSION TYPE: 10-K405 PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960331 FILED AS OF DATE: 19960716 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: BOSTON CAPITAL TAX CREDIT FUND II LTD PARTNERSHIP CENTRAL INDEX KEY: 0000853566 STANDARD INDUSTRIAL CLASSIFICATION: OPERATORS OF APARTMENT BUILDINGS [6513] IRS NUMBER: 043066791 STATE OF INCORPORATION: DE FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 10-K405 SEC ACT: 1934 Act SEC FILE NUMBER: 000-19443 FILM NUMBER: 96595159 BUSINESS ADDRESS: STREET 1: 313 CONGRESS ST 6TH FL STREET 2: C/O BOSTON CAPITAL PARTNERS INC CITY: BOSTON STATE: MA ZIP: 02210 BUSINESS PHONE: 6176248900 MAIL ADDRESS: STREET 1: ONE BOSTON PLACE STREET 2: STE 2100 CITY: BOSTON STATE: MA ZIP: 02108-4406 10-K405 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K [X] Annual report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended March 31, 1996 or -------------- [ ] Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to ------------- ------------ Commission file number 0-19443 ------- Boston Capital Tax Credit Fund II Limited Partnership - ------------------------------------------------------------------------------ (Exact name of registrant as specified in its charter) Massachusetts 04-3066791 - -------------------------------- ------------------------------- (State of other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) One Boston Place, Suite 2100 Boston, MA 02108-4406 - ---------------------------------------------- ----------------------- (Address of Principal executive offices) (Zip Code) Partnership's telephone number, including area code: (617)624-8900 ------------- Securities registered pursuant to Section 12(b) of the Act: Name of each exchange Title of each class on which registered -------------------- ---------------------- None None Securities registered pursuant to Section 12(g) of the Act: Beneficial Assignee Certificates -------------------------------- (Title of Class) Indicate by check mark whether the Partnership (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the Partnership was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES X NO ----- ----- Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. __ |XX| DOCUMENTS INCORPORATED BY REFERENCE ----------------------------------- The following documents of the Partnership are incorporated by reference: Form 10-K Parts Document --------- -------- Parts I, III October 25, 1989 Prospectus, as supplemented Parts II, IV BOSTON CAPITAL TAX CREDIT FUND II LIMITED PARTNERSHIP Form 10-K ANNUAL REPORT FOR THE YEAR ENDED MARCH 31, 1996 TABLE OF CONTENTS PART I Item 1. Business Item 2. Properties Item 3. Legal Proceedings Item 4. Submission of Matters to a Vote of Security-Holders PART II Item 5. Market for the Registrant's Limited Partnership Interests and Related Partnership Matters Item 6. Selected Financial Data Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations Item 8. Financial Statements and Supplementary Data Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure PART III Item 10. Directors and Executive Officers of the Partnership Item 11. Executive Compensation Item 12. Security Ownership of Certain Beneficial Owners and Management Item 13. Certain Relationships and Related Transactions PART IV Item 14. Exhibits, Financial Statement Schedules, and Reports on Form 8-K Signatures PART I ------ Item 1. Business Organization - ------------ Boston Capital Tax Credit Fund II Limited Partnership (the "Partnership") is a limited partnership formed under the Delaware Revised Uniform Limited Partnership Act as of June 28, 1989. The General Partner of the Partnership is Boston Capital Associates II Limited Partnership, a Delaware limited partnership. Boston Capital Associates, a Massachusetts general partnership, whose only two partners are Herbert F. Collins and John P. Manning, the principals of Boston Capital Partners, Inc., is the sole general partner of the General Partner. The limited partner of the General Partner is Capital Investment Holdings, a general partnership whose partners are certain officers and employees of Boston Capital Partners, Inc., and its affiliates. The Assignor Limited Partner is BCTC II Assignor Corp., a Delaware corporation which is wholly-owned by Herbert F. Collins and John P. Manning. The Assignor Limited Partner was formed for the purpose of serving in that capacity for the Partnership and will not engage in any other business. Units of beneficial interest in the Limited Partnership Interest of the Assignor Limited Partner have been assigned by the Assignor Limited Partner by means of beneficial assignee certificates ("BACs") to investors and investors are entitled to all the rights and economic benefits of a Limited Partner of the Partnership including rights to a percentage of the income, gains, losses, deductions, credits and distributions of the Partnership. A Registration Statement on Form S-11 and the related prospectus, as supplemented (the "Prospectus") was filed with the Securities and Exchange Commission and became effective October 25, 1989 in connection with a public offering ("Offering") in series 7, 9 through 12, and 14. The Partnership raised $186,337,517 representing a total of 18,679,738 BACs. In 1991, BACs were offered and sold to certain residents of the Commonwealth of Pennsylvania. The provisions of Section 201 of the Pennsylvania Securities Act of 1972, relating to the registration of securities, may not have been complied with, in connection with, the offer or sale of some of the securities. Accordingly, the Partnership offered to repurchase these securities, at the investors option. Three investors holding 6,100 BACs representing $61,000 accepted the Partnerships offer to repurchase. In 1993 the Partnership repurchased the BAC's with an effective date of December 31, 1992. The Partnership completed sales of BACs in all Series on January 27, 1992. Description of Business - ----------------------- The Partnership's principal business is to invest as a limited partner in other limited partnerships (the "Operating Partnerships"), each of which owns or leases and operates an Apartment Complex exclusively or partially for low- and moderate-income tenants. Each Operating Partnership in which the Partnership invested owns Apartment Complexes which are completed, newly-constructed, under construction or rehabilitation, or to-be constructed or rehabilitated, and which are expected to receive Government Assistance. 1 Each Apartment Complex has qualified for the low-income housing tax credit under Section 42 of the Code (the "Federal Housing Tax Credit"), thereby providing tax benefits over a period of twelve years in the form of tax credits which investors may use to offset income, subject to certain strict limitations, from other sources. Certain of the Apartment Complexes also qualified for the historic rehabilitation tax credit under Section 48 of the Code (the "Rehabilitation Tax Credit"). The Federal Housing Tax Credit and the Government Assistance programs are described on pages 67 to 92 of the Prospectus, as supplemented, under the caption "Government Assistance Programs," which is incorporated herein by reference. Section 236 (f) (ii) of the National Housing Act, as amended, in Section 101 of the Housing and Urban Development Act of 1965, as amended, each provide for the making by HUD of rent supplement payments to low income tenants in properties which receive other forms of federal assistance such as Tax Credits. The payments for each tenant, which are made directly to the owner of their property, generally are in such amounts as to enable the tenant to pay rent equal to 30% of the adjusted family income. Some of the Apartment Complexes in which the Partnership has invested are receiving such rent supplements from HUD. HUD has been in the process of converting rent supplement assistance to assistance paid not to the owner of the Apartment Complex, but directly to the individuals. At this time, the Partnership is unable to predict whether Congress will continue rent supplement programs payable directly to owners of the Apartment Complex. As of March 31, 1996, the Partnership had invested in a total of 310 Operating Partnerships; 15 Operating Partnerships on behalf of Series 7, 55 Operating Partnerships on behalf of Series 9, 46 Operating Partnerships on behalf of Series 10, 40 Operating Partnerships on behalf of Series 11, 53 Operating Partnerships on behalf of Series 12, and 101 Operating Partnerships on behalf of Series 14. A description of these Operating Partnerships is set forth in Item 2 herein. The business objectives of the Partnership are to: (1) preserve and protect the Partnership's capital; (2) provide current tax benefits to Investors in the form of (a) Federal Housing Tax Credits and Rehabilitation Tax Credits, which an Investor may apply, subject to certain strict limitations, against his federal income tax liability from active, portfolio and passive income, and (b) passive losses which an Investor may apply to offset his passive income (if any); (3) provide capital appreciation (except with respect to the Partnership's investment in certain Non-Profit Operating Partnerships) through increases in value of the Partnership's investments and, to the extent applicable, equity buildup through periodic payments on the mortgage indebtedness with respect to the Apartment Complexes; (4) Provide cash distributions (except with respect to the Partnership's investment in certain Non-Profit Operating Partnerships) from a Capital Transaction as to the Partnership. The Operating Partnerships 2 intend to hold the Apartment Complexes for appreciation in value. The Operating Partnerships may sell the Apartment Complexes after a period of time if financial conditions in the future make such sales desirable and if such sales are permitted by government restrictions; and (5) provide, on a current basis and to the extent available, cash distributions from the operations of the Apartment Complexes (no significant amount of which is anticipated). The business objectives and investment policies of the Partnership are described more fully on pages 44 to 52 of the Prospectus, as supplemented, under the caption "Business Objectives and Investment Policies, " which is incorporated herein by reference. Item 2. Properties The Partnership has acquired a Limited Partnership Interest in each of the three hundred ten Operating Partnerships in six series identified in the table set forth below. In each instance the Apartment Complex owned by each of the Operating Partnerships is eligible for the Federal Housing Tax Credit. Occupancy of a unit in each Apartment Complex which initially complied with the Minimum Set-Aside Test (i.e., occupancy by tenants with incomes equal to no more than a certain percentage of area median income) and the Rent Restriction Test (i.e., gross rent charged tenants does not exceed 30% of the applicable income standards) is referred to hereinafter as "Qualified Occupancy." Each of the Operating Partnerships and each of the respective Apartment Complexes are described more fully in the Prospectus or applicable Report on Form 8-K filed during the past fiscal year. The General Partner believes that there is adequate casualty insurance on the properties. Please refer to Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations" for a more detailed discussion of operational difficulties experienced by certain of the Operating Partnerships. 3 Boston Capital Tax Credit Fund II Limited Partnership - Series 7 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- The Bowditch School Lodging Jamaica Plain, House MA 50 $1,645,676 12/89 12/89 100% $ 606,390 Briarwood Cameron, Apartments MO 24 627,182 12/89 12/89 100% 157,254 Buckner Buckner, Properties MO 24 621,696 12/89 3/89 100% 146,287 Creekside Vandergrift, Apartments PA 30 1,095,805 6/89 9/89 100% 247,790 Deer Hill Huntersville, II Apartments NC 40 1,484,213 2/90 5/89 100% 333,370 Hillandale Lithonia, Commons GA 132 3,207,981 12/89 1/90 100% 1,138,907 Leo A. Meyer Senior Citizen King City, Housing CA 44 1,658,088 6/90 11/89 100% 893,708 Lebanon Properties Lebanon II MO 24 575,564 12/89 7/89 100% 136,440 New Holland Danville, Apartments IL 53 1,096,329 5/90 8/90 100% 800,434 Oak Grove Oak Grove, Estates MO 20 487,453 12/89 9/89 100% 113,188 Oakview Delta, Apartments OH 38 1,133,721 12/89 10/89 100% 258,264 Metropole Miami Beach, Apartments FL 42 2,250,137 12/89 12/89 100% 694,581 4 Boston Capital Tax Credit Fund II Limited Partnership - Series 7 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - -------------------------------------------------------------------------- Rosenberg Santa Rosa, Apartments CA 77 $8,492,153 2/90 1/92 100% $1,943,360 Westwood Square Moore Head City, Apartments NC 36 1,419,114 7/90 7/90 100% 117,286 Winfield Properties Winfield, II MO 24 612,114 12/89 5/89 100% 142,525 5 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - -------------------------------------------------------------------------- Azalea Village Crawford, Apartments GA 24 $ 642,782 5/90 5/90 100% $ 143,206 Beaver Brook Pelham, Commons NH 24 1,190,067 4/90 5/90 95% 290,403 Bent Creek Crest View, Apartments II FL 24 711,968 6/90 5/90 100% 164,534 Big Lake Big Lake, Seniors TX 20 563,791 4/94 6/95 100% 59,592 Blanco Blanco, Senior Apts. TX 20 522,329 12/93 9/94 100% 93,593 Breezewood Village Kissimmee, Phase I FL 86 2,816,036 4/90 4/90 100% 831,650 Breezewood Kissimmee, Village II FL 42 1,434,367 5/90 5/90 100% 416,268 Cambridge Madison, Manor FL 36 1,139,783 4/90 1/90 100% 268,523 Corinth Senior Corinth, Housing NY 40 1,498,021 4/90 2/90 100% 384,000 Cotton Mill Stuart, Apartments VA 40 1,491,425 10/92 7/93 100% 271,351 Country Cedar Rapids, Hill Apts. IA 166 3,554,088 4/90 6/90 100% 3,471,607 Country Blakely, Lane Apts. GA 32 950,891 5/90 5/90 100% 211,916 6 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - -------------------------------------------------------------------------- Fawn River Sturgis, Apartments MI 100 $3,714,629 10/90 10/90 95% $971,446 Garden Lake Immokalee, Apartments FL 65 2,202,100 5/90 5/90 100% 577,529 Glenwood Porterville, Hotel CA 36 758,337 6/90 6/90 100% 383,100 Grand Princess St. Croix, Manor USVI 24 1,498,280 6/90 8/90 100% 374,766 Grand Princess St. Croix, Villa USVI 24 1,497,280 6/90 8/90 100% 276,203 Greenwich Senior Greenwich, Housing NY 36 1,491,521 4/90 2/90 97% 340,000 Grifton Grifton, Manor Apts. NC 40 1,268,583 9/93 2/94 100% 261,645 Hacienda Villa Firebaugh, Apartments CA 120 3,980,713 4/90 1/90 100% 1,343,294 Haines City . Haines City, Apartments FL 46 1,446,142 4/90 2/90 100% 339,465 Hamlet Newfane, Square NY 24 1,010,004 10/92 9/92 100% 193,830 Hill St. South Paris, Commons ME 25 1,498,290 11/92 10/92 100% 301,064 Kristin Park Las Vegas, Apartments NM 44 1,397,423 3/90 6/90 100% 313,200 7 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Le Grand Le Grand, Apts. CA 34 $1,750,788 11/92 10/93 100% $ 419,011 Longmeadow Skowhegan, Apartments ME 28 1,487,505 8/90 8/90 100% 284,000 Magnolia Lane Bloomingdale, Apartments GA 48 1,487,564 5/90 3/90 100% 321,908 Maywood Corning, Apartments CA 40 1,508,200 3/90 7/90 100% 365,280 Meadowcrest Southfield, Apartments MI 83 2,914,423 9/90 10/90 100% 1,116,284 Mill Pond Brooklyn, Apartments MI 36 1,112,292 5/90 5/90 100% 250,175 New Holland Danville, Apartments IL 53 1,096,329 5/90 8/90 100% 565,622 Pinewoods Springfield, Apartments IL 168 3,895,815 6/90 6/91 100% 1,258,700 Pine Ridge Polkton, Place NC 16 662,348 1/94 12/93 100% 114,730 Pleasanton Pleasanton, Seniors Apts.TX 24 627,543 12/93 7/93 100% 144,839 Port Portage, Crossing IN 160 3,097,507 3/90 4/90 100% 2,733,580 Putney Putney, Meadows Apts VT 28 1,426,642 12/92 5/93 100% 374,495 Quail Hollow Homerville, Apartments GA 54 1,477,740 5/90 1/90 100% 363,353 8 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - -------------------------------------------------------------------------- Quail Hollow Warsaw, II NC 36 $ 1,411,795 7/90 9/90 100% $ 313,521 Rainbow Gardens Dunnellon, Apartments FL 37 1,224,708 12/92 6/93 100% 236,763 Raitt Santa Ana, Street Apts. CA 6 782,537 5/93 8/93 100% 416,200 School St. Marshall, Apts. II WI 24 832,590 6/93 6/93 100% 652,967 Scottsville Scottsville, Hollow NY 36 1,432,572 5/90 5/90 100% 304,060 Somerset Antioch, Apartments CA 156 5,537,313 3/90 3/90 100% 3,920,000 St. Paul's St. Paul, Apartments NC 32 1,270,914 5/90 9/90 100% 263,165 Surry Village Surry, II VA 24 779,972 5/90 1/90 100% 157,002 Tappahannock Tappahannock, Greens Apts. VA 40 1,514,482 3/94 5/94 100% 293,486 Telluride Telluride, Apartments CO 30 1,476,908 9/90 11/90 100% 300,033 The 438 Warren St. Lodging Boston, House MA 20 721,934 3/90 5/90 100% 460,900 Twin Oaks Raeford, Apartments NC 28 1,144,522 5/90 5/90 100% 275,894 9 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Ventura Hernando, Village FL 3 $ 1,492,075 6/90 7/90 100% $ 473,300 Vilage Live Oak, Oaks FL 24 736,735 6/90 2/90 100% 164,291 Apartments II Warrensburg Warrensburg, Estates MO 32 796,924 4/90 4/90 100% 181,849 Westside Providence, Apartments RI 40 1,863,906 6/90 12/90 100% 1,777,738 Westwood Square Moorehead City, Apartments NC 36 1,419,114 7/90 7/90 100% 195,391 Wilmington Wilmington, Housing NY 24 1,058,012 8/90 8/90 100% 237,279 10 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Athens Park Athens, Apartments AL 48 $1,342,337 8/90 6/90 100% $ 354,144 Autumn Lane Washington, Apartments GA 24 736,560 8/89 11/90 100% 168,234 Baytree Richlands, Apartments NC 24 961,494 11/88 7/90 100% 210,999 Benchmark China Grove, Apartments NC 24 955,427 11/88 7/90 100% 223,328 Berkshire Wichita, Apartments II KS 66 1,605,077 7/90 7/90 100% 1,183,452 Brentwood Eunice, Apartments LA 32 959,213 11/90 10/90 100% 205,470 Briarwood Middleburg, Apartments FL 52 1,489,634 8/90 8/90 100% 509,251 Butler Manor Morgantown, Apartments KY 16 506,121 12/90 2/91 100% 119,952 Campbell Creek Dallas, Apartments GA 80 1,779,831 12/91 10/90 100% 735,000 Candlewick Monroeville, Place AL 40 1,292,908 12/92 10/92 100% 241,600 Cedarstone Poplarville, Apts. MS 24 779,017 5/93 5/93 96% 180,800 Charlton Court Folkston, Apartments GA 40 1,208,496 12/92 1/93 100% 263,520 11 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Chuckatuck Suffolk Square VA 42 $1,454,329 11/90 2/90 100% $ 320,900 Cloverleaf Bishopville, Apartments SC 24 860,263 11/90 4/90 100% 153,900 Cloverleaf Apts., Bishopville, Phase II SC 24 879,595 11/90 4/90 100% 160,761 Connellsville Connellsville, Heritage Apts. PA 36 1,376,147 11/90 3/90 100% 325,460 Freedom Ford City, Apartments PA 28 1,055,152 11/90 9/90 96% 262,791 Hartway Munfordville, Apts. KY 32 918,046 7/90 6/90 100% 239,041 Hilltop Kingsland, Terrace GA 54 1,494,830 8/90 7/90 100% 455,851 Indian Run S. Kingston Village RI 114 2,633,006 4/93 7/93 96% 604,867 Ironton Ironton, Estates MO 24 629,371 5/93 1/93 100% 157,976 Lambert Square Lambert, Apts. MS 32 1,008,422 11/92 12/92 100% 192,347 Longview Maysville, Apartments NC 24 875,576 11/88 8/90 100% 195,837 Maidu Roseville, Village CA 81 2,222,801 3/91 12/91 100% 470,000 12 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Mann Indianapolis, Estates IN 132 $3,120,633 7/90 10/90 100% $ 1,980,000 Meadowbrook Lane Americus, Apartments GA 50 1,484,563 9/90 3/90 100% 336,264 Melrose Lane Great Falls, Apartments SC 24 878,516 11/90 10/90 100% 203,645 Mercer Mercer, Manor PA 26 913,182 11/90 8/90 100% 220,450 46 North Connecticut Atlantic City, Ave. NJ 13 1,024,762 1/93 12/92 100% 559,000 Pecan Village Ellaville, Apartments GA 30 790,677 7/90 2/90 100% 221,856 Piedmont Forsyth, Hills GA 50 1,464,338 7/90 9/90 100% 439,958 Pine View Perry, Apartments FL 29 966,192 9/90 12/90 100% 277,405 Pines by the Newnan, Creek Apts. GA 96 2,121,949 12/90 10/90 100% 890,000 Pine Grove Ackerman, Apts. MS 24 618,317 9/93 6/94 100% 169,926 Pinetree Manor Centreville, Apts. MS 32 985,629 11/92 1/93 100% 191,500 Rosewood Village Willacoochee, Apartments GA 24 651,752 7/90 7/90 100% 147,480 13 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 3/31/96 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Springwood Park Durham, Apartments NC 100 $ 2,688,473 3/91 5/91 100% $ 1,000,000 Stockton Stockton, Estates MO 20 518,684 2/93 1/93 100% 120,352 Stratford Square Brundidge, Apartments AL 24 755,381 10/92 2/93 100% 145,036 Summer Glen Immokalee, Apartments FL 46 1,493,610 11/92 3/93 100% 246,230 Summerwood West Des Moines, Apartments IA 86 2,417,885 7/90 7/90 100% 2,015,183 Sunmark Morgantown, Apartments KY 24 773,412 8/90 12/90 100% 176,669 Village Lawton, Commons MI 58 1,495,621 11/90 6/90 98% 323,665 Washington Heights Apartments, Bismarck, IV ND 24 473,150 11/90 7/90 100% 381,010 Woods Hollow Centreville, Apartments MI 24 590,287 11/90 2/90 100% 132,700 Woodside Lisbon, Apartments ME 28 1,488,244 12/90 11/90 100% 397,630 14 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ----------------------------------------------------------------------------- Academy Hill Ahoskie, Apartments NC 40 $1,383,890 2/91 2/91 100% $ 319,224 Aspen Square Tazewell, Apartments VA 60 1,842,702 11/90 11/90 100% 356,495 Bridgeview Emlenton, Apartments PA 36 1,372,163 12/90 12/89 100% 327,257 Buckeye Senior Buckeye, Apartments AZ 40 1,348,496 12/90 8/90 100% 311,480 Campbell Creek Dallas, Apartments GA 80 1,779,831 12/90 10/90 100% 142,000 Cambridge Manor Macon, Apartments MS 47 1,639,832 5/93 4/93 100% 356,356 Church Hill Church Point, Apartments LA 32 960,268 12/90 1/91 100% 205,750 Copper Creek Lebanon, Apartments VA 36 1,180,530 11/90 9/90 100% 237,647 Coronado Tuscon, Hotel AZ 42 566,835 3/91 3/91 100% 614,050 Crestwood St. Cloud, Apartments FL 216 4,444,214 1/91 6/91 100% 5,636,484 El Dorado El Dorado Springs, Springs Est. MO 24 584,383 11/90 9/90 100% 133,790 Eldon Est. Eldon, II MO 24 584,585 12/90 11/90 100% 131,340 15 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Eldon Eldon, Manor MO 24 $ 562,574 12/90 11/90 100% $ 241,980 Elmwood Manor Eutaw, Apartments AL 47 1,633,152 5/93 12/93 100% 333,440 Fairridge Lane Denmark, Apartments SC 24 822,193 11/90 6/90 100% 209,326 Fairridge Village Denmark, Apartments SC 24 774,121 11/90 6/90 100% 186,381 Farmerville Farmerville, Square Apts. LA 32 971,696 1/91 4/91 100% 212,280 Forest Glade Wauchula, Apartments FL 50 1,489,364 12/90 12/90 100% 420,565 Franklin Great Falls, School MT 40 2,992,552 10/90 12/91 100% 1,453,270 Hilltop Los Lunas, Apts. NM 40 1,430,600 1/93 11/92 100% 253,455 Holland Holland, Meadows NY 24 903,105 11/90 6/90 100% 213,880 Holley Holley, Grove NY 24 921,863 11/90 10/90 100% 207,360 Ivan Woods Delta Township, Senior Apts. MI 90 2,334,885 2/91 4/91 100% 1,184,275 Kaplan Manor Kaplan, Apartments LA 32 930,277 12/90 12/90 100% 198,460 16 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Lakewood Village Lake Providence, Apartments LA 32 $ 957,952 1/91 5/91 100% $ 223,827 Licking Licking, Apartments MO 16 407,704 11/91 3/92 100% 90,436 London Miami Beach, Arms FL 58 2,648,334 12/90 12/90 100% 937,961 Maidu Roseville, Village CA 81 2,222,801 3/91 12/91 100% 530,000 Nevada Nevada, Manor MO 24 651,450 11/90 10/90 100% 143,270 Oatka Warsaw, Meadows NY 24 923,483 11/90 6/90 100% 206,670 Osage Arkansas City, Place KS 38 1,238,084 12/90 12/90 100% 522,999 Pines by the Creek Newnan, Apartments GA 96 2,121,949 12/90 10/90 100% 245,000 Sandy Pines Punta Gorda, Manor FL 44 1,487,480 12/90 7/90 100% 399,977 Sierra Springs Tazewell, Apartments VA 36 1,181,148 11/90 11/90 100% 299,634 South Fork South Fork, Heights CO 48 1,435,798 2/91 2/91 100% 343,358 Twin Oaks Allendale, Apartments SC 24 785,745 12/90 9/90 100% 206,888 17 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Walnut Village Manning, Apartments SC 24 $ 844,449 11/90 11/90 100% $ 183,244 Washington Manor Washington, Apartments LA 32 962,249 1/91 3/91 100% 216,990 Wildridge Jesup, Apartments GA 48 1,502,627 1/91 4/91 100% 329,130 Windsor Metter, Apts. GA 53 1,481,681 12/92 5/93 100% 248,207 18 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Bowman Village Bowman, Apartments GA 24 $ 668,505 6/91 10/91 100% $ 139,879 Brandywood Oak Creek, Apartments WI 54 1,758,634 12/91 9/91 100% 1,532,506 Brentwood Manor Clarkson, Apartments KY 24 754,085 6/91 7/91 100% 173,969 Briarwick Nicholasville, Apartments KY 40 1,264,423 4/91 4/91 100% 323,941 Bridgerun Cannon Falls, Townhomes MN 18 580,840 6/91 7/91 100% 458,800 Bucksport Park Bucksport, Apartments ME 24 1,378,146 6/91 8/91 100% 334,600 Campbell Creek Dallas, Apartments GA 80 1,779,831 3/91 10/90 100% 593,000 Cananche Creek Norton, Apartments VA 36 1,241,287 5/91 6/91 100% 276,695 Carson Village Wrightsville, Apartments GA 24 655,934 10/91 6/92 100% 161,452 Clymer House Clymer, Apartments PA 26 1,087,541 6/91 10/91 100% 254,097 Corcoran Garden Corcoran, Apartments CA 38 1,531,749 2/91 11/90 100% 432,438 Cornish Cornish, Park ME 25 1,462,198 6/91 6/91 100% 333,000 19 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Crescent City Senior Crescent City, Apartments CA 38 $1,874,110 3/91 3/91 100% $ 474,536 Earlimart Senior Earlimart, Apartments CA 35 1,352,437 6/91 6/91 100% 364,515 Evanwood Hardinsburg, Apartments KY 24 763,531 6/91 5/91 100% 167,221 Fox Run Jesup, Apartments GA 24 643,518 12/91 7/92 100% 150,033 Franklin House Liberty, Apts. MO 21 313,289 5/93 1/88 100% 137,836 Hamilton Village Preston, Apartments GA 20 572,712 10/91 3/92 100% 140,948 Hunters Park Tarboro, Apartments NC 40 1,417,263 5/91 4/91 100% 320,175 Ivan Woods Senior Delta Township, Apartments MI 90 2,334,885 2/91 4/91 100% 778,688 Keenland Burkesville, Apartments KY 24 737,897 6/91 9/91 100% 164,246 Lakeridge Eufala, Apartments AL 30 921,234 3/91 4/91 100% 186,780 Laurel Village Wadley, Apartments GA 24 665,485 10/91 5/92 100% 149,058 Los Caballos Hatch, II Apts. NM 24 784,637 7/91 8/91 100% 164,740 20 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Marlboro Place Bennettsville, Apartments SC 24 $ 840,368 3/91 2/91 100% $ 192,779 Melville Plaza Melville, Apartments LA 32 897,991 7/91 10/91 100% 178,564 Nanty Glo House Nanty Glo, Apartments PA 36 1,482,642 6/91 7/91 100% 353,000 Newport Franklin, Village VA 48 1,494,324 4/91 11/90 100% 330,000 Oakleigh Abbeville, Apartments LA 32 918,998 8/91 3/92 100% 178,716 Oak Street Scott City, Apartments MO 24 601,273 6/91 11/91 100% 138,149 Oakwood Mamou, Apartments LA 32 922,001 8/91 1/92 100% 180,819 Pines by the Creek Newnan, Apartments GA 96 2,121,949 3/91 10/90 100% 645,000 Pinewoods Springfield, Apartments IL 168 3,895,815 7/91 6/91 100% 2,880,000 Portales Portales, Estates NM 44 1,447,007 7/91 7/91 100% 365,100 Prairie West West Fargo, Apts. III ND 24 480,479 3/91 3/91 100% 360,698 Ridgeway Court III Bemidji, Apartments MN 24 897,442 4/91 1/91 100% 180,186 21 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- River Crystal River, Beach Apts. FL 42 $1,372,674 5/91 5/91 100% $ 351,421 Rockmoor Banner Elk, Apartments NC 12 439,959 5/91 3/91 100% 95,818 Shawnee Ridge Norton, Apartments VA 20 670,612 5/91 5/91 100% 145,606 Springwood Park Durham, Apartments NC 100 2,538,481 3/91 5/91 100% 374,349 Spring Mountain Pahrump, Apartments NV 33 1,371,576 5/91 4/91 100% 290,406 Stonegate Perry, Manor FL 36 1,014,397 5/91 12/90 100% 274,321 Summit Ridge Palmdale, Apartments CA 304 8,874,224 10/92 12/93 100% 3,674,306 Turner Lane Ashburn, Apartments GA 24 724,296 5/91 7/91 100% 147,090 Union Baptist Plaza Springfield, Apartments IL 24 552,199 5/91 4/91 100% 432,648 Uptown Salyersville, Apartments KY 16 524,192 5/91 3/91 100% 121,700 Villas of Eufala, Lakeridge AL 18 534,683 3/91 3/91 100% 96,868 Waynesboro Village Waynesboro, Apartments TN 48 1,377,553 4/91 1/91 100% 310,510 22 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Windsor Windsor, Court II VA 24 $ 733,429 4/91 11/90 100% $ 169,347 Woodcrest Manor Woodville, Apartments MS 24 714,743 6/91 11/91 100% 138,579 Woodlawn Village Abbeville, Apartments GA 36 1,019,067 10/91 4/92 100% 229,601 Woodside Grove City, Apartments PA 32 1,161,361 4/91 3/91 100% 152,861 Yorkshire Townhome Fort Smith, Apts. AR 50 1,172,277 9/93 8/94 100% 874,069 23 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Ada Village Ada, Apts. OK 44 $1,059,349 1/93 11/93 100% $ 158,976 Amherst Amherst, Village VA 48 1,611,365 1/92 1/92 100% 322,796 Belmont Village Belmont, Court NY 24 932,897 1/92 12/91 100% 154,725 Bethel Park Bethel, Apartments ME 24 1,497,807 12/91 3/92 100% 324,100 Blanchard Senior Blanchard, Apts. II LA 24 601,126 10/91 9/91 100% 143,628 Blanchard Blanchard, Village Apts. OK 8 219,826 1/93 7/93 100% 32,954 Brantwood Lane Centreville, Apartments AL 36 1,148,425 7/91 9/91 100% 237,873 Breckenridge McColl, Apartments SC 24 873,052 1/92 3/92 100% 186,065 Briarwood Apartments Middleburg, Ph II FL 50 1,500,513 2/92 4/92 100% 293,694 The Bridge New York, Building NY 15 N/A 1/92 12/91 100% 1,037,770 Buchanan Warren, Court PA 18 728,917 7/91 11/90 100% 107,066 Burnt Ordinary Toano, Village VA 22 713,576 7/91 7/91 100% 159,400 24 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Carleton Court Providence, Apartments RI 46 $2,596,079 12/91 12/91 100% $1,496,922 Carriage Run Emporia, Apartments VA 40 1,339,024 10/91 4/92 100% 259,980 Cedar View Brinkley, Apartments AR 32 1,277,070 5/92 10/92 100% 254,016 Cedarwood Pembroke, Apartments NC 36 1,425,062 10/91 1/92 100% 326,310 Chapparral Kingman, Apartments AZ 20 698,971 8/91 7/91 100% 198,275 College Chili, Green NY 110 3,820,685 3/95 8/95 100% 622,759 Colorado City Seniors Colorado City, Apartments TX 24 544,735 10/91 10/91 100% 98,721 Cottonwood Cottonport, Apts. II LA 24 657,443 10/91 7/91 100% 152,664 Country Meadows Sioux Falls, Apartments SD 44 1,132,223 11/91 10/91 100% 922,350 Countryside Fulton, Manor MS 24 667,221 10/91 8/91 100% 151,868 Davis Village Davis, Apts. OK 44 1,186,146 1/93 9/93 100% 180,452 Devenwood Ridgeland, Apartments SC 24 878,101 7/92 1/93 100% 186,000 25 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Duncan Village Duncan, Apts. OK 48 $1,162,462 1/93 11/93 100% $ 172,005 Edison Village Edison, Apartments GA 42 1,206,259 7/91 2/92 100% 274,144 Ethel Bowman Tionesta, Proper HousePA 36 1,437,376 2/92 1/92 97% 334,160 Excelsior Springs Excelsior Springs, Properties MO 24 626,632 2/92 4/91 100% 150,651 Fairground Bedford, Place Apts. KY 19 697,977 3/95 8/95 100% 176,963 Four Oaks Village Four Oaks, Apartments NC 24 898,173 3/92 6/92 100% 179,900 Franklin Vista Anthony, III Apts. NM 28 934,030 1/92 4/92 100% 179,685 Friendship Bel Air, Village MD 31 1,445,321 1/92 6/91 100% 226,000 Glenhaven Merced, Park CA 12 412,907 1/94 6/90 100% 125,000 Glenhaven Merced, Park II CA 15 510,973 1/94 6/89 100% 365,925 Glenhaven Merced, Park III CA 15 504,865 1/94 12/89 100% 225,500 26 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Glenhaven Merced, Estates CA 15 $ 718,930 6/89 6/89 100% $ 134,000 Green Village Standardsville, Apts. II VA 16 589,081 4/92 11/91 100% 99,100 Greenleaf Bowdoinham, Apartments ME 21 1,134,180 11/91 8/92 100% 295,085 Harbor Springs Seniors Hughes Springs, Apartments TX 32 791,430 10/91 8/91 100% 183,674 Harrison City Penn Township, Apts. PA 38 1,487,996 7/92 9/92 94% 244,032 Hessmer Village Hessmer, Apartments LA 32 915,365 12/91 4/92 100% 186,503 Hillmont Village Micro, Apartments NC 24 889,713 9/91 1/92 100% 184,900 Hunters Run Douglas, Apartments GA 50 1,452,865 12/91 2/92 100% 322,368 Independence Mt. Pleasant, Apartments PA 28 1,091,459 8/91 6/91 100% 223,100 Indian Creek Kilmarnock, Apartments VA 20 766,881 7/91 4/91 100% 174,400 Jarratt Village Jarratt, Apartments VA 24 837,771 10/91 12/91 100% 159,140 Kingfisher Village Kingfisher, Apts. OK 8 173,368 1/93 12/93 100% 24,365 27 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- La Gema del Santa Ana, Barrio Apts. CA 6 $ 669,734 6/92 8/92 100% $ 458,000 Lafayettee Gardens Lafayette, Apartments LA 56 627,654 10/91 11/91 100% 437,688 Lake Isabella Senior Lake Isabella, Apartments CA 46 2,002,699 9/91 1/92 100% 442,457 Lakeview Battle Creek, Meadows MI 53 1,576,000 1/92 6/92 100% 1,018,808 Lakewood Terrace Lakeland, Apts. FL 132 3,989,887 11/93 8/89 100% 100,312 Lana Lu Lonaconing, Apartments MD 30 1,492,701 12/91 9/92 100% 303,261 Lexington Village Lexington, Apts. OK 8 213,176 1/93 1/93 100% 32,178 Maidu Roseville, Village CA 81 2,222,801 1/92 12/91 100% 1,096,199 Marion Manor Marion, Apartments LA 32 1,012,062 2/92 6/92 100% 199,708 Maysville Village Maysville, Apts. OK 8 221,394 1/93 10/93 100% 33,726 Montague Place Caro, Apartmetns MI 28 1,146,416 12/91 12/91 100% 432,320 Navapai Prescott Valley, Apartments AZ 26 887,313 6/91 4/91 100% 207,330 28 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Nevada City Senior Grass Valley, Apartments CA 60 $3,563,661 1/92 10/91 100% $ 839,300 Newellton Place Newellton, Apartments LA 32 953,956 2/92 4/92 100% 190,600 New River Overlook Radford, Apartments VA 40 1,492,851 8/91 2/92 100% 285,371 Northridge Arlington, Apartments TX 126 1,740,729 1/92 2/92 95% 741,300 Oak Ridge Crystal Springs, Apartments MS 40 1,310,057 1/92 1/92 100% 308,578 Oakland Village Littleton, Apts. NC 24 857,322 5/92 8/92 100% 161,939 Okemah Village Okemah, Apts. OK 30 702,330 1/93 5/93 100% 119,832 Pineridge McComb, Apartments MS 32 1,009,059 10/91 10/91 100% 238,995 Pineridge Walnut Cove, Elderly NC 24 998,758 10/91 3/92 100% 199,311 Pittsfield Park Pittsfield, Apartments ME 18 1,051,965 12/91 6/92 100% 237,300 Plantation Richmond Hill, Apartments GA 49 1,427,919 12/91 11/91 100% 320,858 Portville Square Portville, Apartments NY 24 934,142 3/92 3/92 100% 150,950 29 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Prague Village Prague, Apts. OK 8 $ 128,836 1/93 3/93 100% $ 21,373 Rainbow Commons Marshfield, Apartments WI 48 1,251,725 9/91 6/91 100% 1,126,901 Rainier Manor Mt. Rainier, Apartments MD 104 3,733,381 3/92 1/93 100% 1,190,350 Rosenberg Santa Rosa, Hotel CA 77 8,492,153 12/91 1/92 100% 1,850,000 Rosewood Manor Ellenton, Apartments FL 43 1,445,595 12/91 11/91 100% 302,250 San Jacinto Senior San Jacinto, Apartments CA 46 2,383,362 1/92 10/91 100% 588,965 Lakeside Manor Schroon Lake, Apartments NY 24 1,102,849 12/91 1/92 95% 249,349 Smithville Smithville, Properties MO 48 1,251,376 2/92 5/91 100% 285,384 Snow Hill Ridge Snow Hill, Apartments NC 32 1,222,611 10/91 12/91 100% 307,524 Somerset Antioch, Apartments CA 156 5,537,313 8/92 3/90 100% 1,026,542 Spring Creek Derby, Village KS 72 1,895,766 6/91 9/91 100% 1,634,760 30 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - ---------------------------------------------------------------------------- Spring Valley Lexington Park, Apartments MD 128 $4,872,223 11/91 12/92 100% $ 2,500,000 Springwood Park Durham, Apartments NC 100 2,538,481 10/91 5/91 100% 374,349 Summer Lane Santee, Apartments NC 24 865,598 7/91 11/91 100% 176,291 Summit Ridge Palmdale, Apartments CO 304 8,874,224 10/92 12/93 100% 1,236,600 Titusville Titusville, Apartments PA 30 1,247,680 12/91 1/92 100% 280,829 Townview St. Mary's, Apartments PA 36 1,386,281 9/91 10/91 100% 239,275 Tyrone House Tyrone, Apartments PA 36 1,492,485 12/91 1/92 100% 349,800 Valley Ridge Senior Central Valley, Apartments CA 38 1,835,571 1/92 12/91 100% 456,600 Victoria Victoria, Place VA 39 1,415,346 1/92 6/92 100% 287,736 Villa West Topeka, Apts. IV KS 60 1,576,334 8/91 1/91 100% 1,392,873 Village Jacksonville, Green NC 42 733,863 5/92 9/91 100% 581,446 Washington Abingdon, Court VA 39 1,200,303 7/91 8/91 100% 295,250 31 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 PROPERTY PROFILES AS OF March 31, 1996 Continued - --------- Mortgage Cap Con Balance Qualified paid Property As of Acq. Const Occupancy thru Name Location Units 12/31/95 Date Comp. 3/31/96 3/31/96 - --------------------------------------------------------------------------- Wesley Village Martinsburg, Apartments WV 36 $1,322,071 10/91 6/92 100% $ 266,253 Westside Louisville, Apartments MS 32 840,050 3/92 1/92 100% 191,014 Wildwood Terrace Wildwood, Apartments FL 40 1,270,202 10/91 10/91 100% 281,647 Woodside Belleview, Apartments FL 41 1,218,695 11/91 10/91 100% 268,500 Wynnewood Village Wynnewood, Apts. OK 16 427,247 1/93 11/93 100% 67,443 Yorkshire Delevan, Corners NY 24 928,551 8/91 9/91 100% 143,625 Zinmaster Minneapolis, Apartments MN 36 1,892,974 1/95 1/88 100% 150,000 32 Item 3. Legal Proceedings None. Item 4. Submission of Matters to a Vote of Security Holders None. 33 PART II ------- Item 5. Market for the Registrant's Partnership Interests and Related Partnership Matters (a) Market Information The Partnership is classified as a limited partnership and thus has no common stock. There is no established public trading market for the BACs and it is not anticipated that any public market will develop. (b) Approximate number of security holders As of March 31, 1996, the Partnership has 11,690 registered BAC holders for an aggregate of 18,679,738 BACs which were offered at a subscription price of $10 per BAC. The BACs were issued in series. Series 7 consists of 809 investors holding 1,036,100 BACs, Series 9 consists of 2,252 investors holding 4,178,029 BACs, Series 10 consists of 1,629 investors holding 2,428,925 BACs, Series 11 consists of 1,405 investors holding 2,489,599 BACs, Series 12 consists of 1,952 investors holding 2,972,795 BACs, and Series 14 consists of 3,643 investors holding 5,574,290 BACs at March 31, 1996. (c) Dividend history and restriction The Partnership has made no distributions of Net Cash Flow to its BAC Holders from its inception, June 28, 1989 through March 31, 1996. The Partnership Agreement provides that Profits, Losses and Credits will be allocated each month to the holder of record of a BAC as of the last day of such month. Allocation of Profits, Losses and Credits among BAC Holders will be made in proportion to the number of BACs held by each BAC Holder. Any distributions of Net Cash Flow or Liquidation, Sale or Refinancing Proceeds will be made within 180 days of the end of the annual period to which they relate. Distributions will be made to the holders of record of a BAC as of the last day of each month in the ratio which (i) the BACs held by such Person on the last day of the calendar month bears to (ii) the aggregate number of BACs outstanding on the last day of such month. Partnership allocations and distributions are described on pages 107 to 112 of the Prospectus, as supplemented, which are incorporated herein by reference. 34 Item 6. Selected Financial Data The information set forth below presents selected financial data of the Partnership for each of the five years in the period ended March 31, 1996. Additional detailed financial information is set forth in the audited financial statements listed in Item 14 hereof. March 31, March 31, March 31, March 31, March 31, 1996 1995 1994 1993 1992 -------- -------- -------- -------- -------- Operations - ---------- Interest & other Inc $ 65,468 $ 78,723 $ 385,315 $ 646,392 $ 1,605,878 Share of Loss of Operating Partnerships (12,992,069) (14,053,018) (15,080,553) (14,123,632) (12,547,972) Operating Exp (2,852,335) (2,876,048) (3,021,320) (3,135,298) (2,638,213) ----------- ----------- ----------- ----------- ----------- Net Loss $(15,778,936)$(16,850,343)$(17,716,558)$(16,612,538)$(13,580,307) =========== =========== =========== =========== =========== Net Loss per BAC $ (.84)$ (.89)$ (.94)$ (.88)$ (.83) =========== =========== =========== =========== =========== Balance Sheet - ------------- Total Assets $ 85,486,212 $ 99,601,389 $114,309,046 $137,676,534 $156,752,160 ========== =========== =========== =========== =========== Total Liab $ 11,054,129 $ 9,390,370 $ 7,247,684 $ 12,837,614 $ 15,300,702 Partners' ========== =========== =========== =========== =========== Equity $ 74,432,083 $ 90,211,019 $107,061,362 $124,838,920 $141,451,458 ========== =========== =========== =========== =========== Other Data - ---------- Credit per BAC for the Investors Tax Year, for the twelve months ended, December 31, 1995, 1994, 1993, 1992 and 1991* $ 1.39 $ 1.35 $ 1.16 $ 1.07 $ 0.73 =========== =========== =========== =========== =========== * Credit per BAC is a weighted average of all the Series. Since each Series has invested as a limited partner in different Operating Partnerships the Credit per BAC will vary slightly from series to series. For more detailed information refer to Item 7. Results of Operations. 35 Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations Liquidity - --------- The Partnership's primary source of funds was the proceeds of its Public Offering. Other sources of liquidity include (i) interest earned on capital contributions held pending investment or held for working capital reserves and (ii) cash distributions from operations of the Operating Partnerships in which the Partnership has invested. All of these sources of liquidity are available to meet the obligations of the Partnership. The Partnership is currently accruing the annual partnership management fee which enable each series to meet current and future third party obligations. During the fiscal year ended March 31, 1996 the Partnership accrued $2,509,458 in annual partnership management fees. As of March 31, 1996 the accrued partnership management fees totalled $9,061,934. Pursuant to the Partnership Agreement, such liabilities will be deferred until the Partnership receives sale of refinancing proceeds from Operating Partnership's which will be used to satisfy such liabilities. The Partnership anticipates that there will be sufficient cash to meet future third party obligations. The Partnership does not anticipate significant cash distributions in the long or short term from operations of the Operating Partnerships. Capital Resources - ----------------- The Partnership offered BACs in a public offering declared effective by the Securities and Exchange Commission on October 25, 1989. The Partnership received and accepted subscriptions for $186,337,517 representing 18,679,738 BACs from investors admitted as BAC Holders in Series 7, 9 through 12 and 14 of the Partnership. Offers and sales of BACs in Series 7, 9 through 12, and 14 of the Partnership were completed and the last of the BACs in Series 14 were issued by the Partnership on January 27, 1992. (Series 7). The Partnership commenced offering BACs in Series 7 on November 14, 1989. As of March 31, 1996, the Partnership had received and accepted subscriptions for $10,361,000, representing 1,036,100 BACs from investors admitted as BAC Holders in Series 7. Offers and sales of BACs in Series 7 were completed and the last of the BACs in Series 7 were issued by the Partnership on December 29, 1989. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 7 had been used to invest in a total of 15 Operating Partnerships in an aggregate amount of $7,774,651. The Partnership has completed payment of all installments of its capital contributions to all Operating Partnerships. Series 7 net offering proceeds in the amount of $4,874 remains in working capital. 36 (Series 9). The Partnership commenced offering BACs in Series 9 on February 1, 1990. As of March 31, 1996, the Partnership had received and accepted subscriptions for $41,574,518, representing 4,178,029 BACs from investors admitted as BAC Holders in Series 9. Offers and sales of BACs in Series 9 were completed and the last of the BACs in Series 9 were issued by the Partnership on April 30, 1990. During the fiscal year ended March 31, 1996, the Partnership used $124,017 of Series 9 net offering proceeds to pay installments of its capital contributions to two Operating Partnerships. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 9 had been used to invest in a total of 55 Operating Partnerships in an aggregate amount of $31,605,286, and the Partnership had completed payment of installments of its capital contributions to 53 of the 55 Operating Partnerships. Series 9 net offering proceeds in the amount of $658,264 remains to be used by the Partnership to pay additional installments of capital contributions to Operating Partnerships and in working capital. (Series 10). The Partnership commenced offering BACs in Series 10 on May 7, 1990. As of March 31, 1996, the Partnership had received and accepted subscriptions for $24,288,997 representing 2,428,925 BACs from investors admitted as BAC Holders in Series 10. Offers and sales of BACs in Series 10 were completed and the last of the BACs in Series 10 were issued by the Partnership on August 24, 1990. 37 During the fiscal year ended March 31, 1996, the Partnership used $10,014 of Series 10 net offering proceeds to pay installments of its capital contributions to one Operating Partnership. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 10 had been used to invest in a total of 46 Operating Partnerships in an aggregate amount of $18,555,455. The Partnership has completed payment of all installments of its capital contributions to all of the Operating Partnerships. Series 10 net offering proceeds in the amount of $152,625 remains in working capital. (Series 11). The Partnership commenced offering BACs in Series 11 on September 17, 1990. As of March 31, 1996, the Partnership had received and accepted subscriptions for $24,735,002, representing 2,489,599 BACs in Series 11. Offers and sales of BACs in Series 11 were completed and the last of the BACs in Series 11 were issued by the Partnership on December 31, 1990. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 11 had been used to invest in a total of 40 Operating Partnerships in an aggregate amount of $18,894,372, and the Partnership had completed payment of all installments of its capital contributions to 37 of the 40 Operating Partnerships. Series 11 net offering proceeds in the amount of $233,619 remains to be used by the Partnership to pay additional installments of capital contributions to Operating Partnerships and in working capital. (Series 12). The Partnership commenced offering BACs in Series 12 on February 1, 1991. As of March 31, 1996, the Partnership had received and accepted subscriptions for $29,649,003, representing 2,972,795 BACs in Series 12. Offers and sales of BACs in Series 12 were completed and the last of the BACs in Series 12 were issued by the Partnership on April 30, 1991. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 12 had been used to invest in a total of 53 Operating Partnerships in an aggregate amount of $22,356,179, and the Partnership had completed payment of all installments of its capital contributions to 51 of the 53 Operating Partnerships. Series 12 net offering proceeds in the amount of $167,568 remains to be used by the Partnership to pay additional installments of capital contributions to Operating Partnerships and in Working Capital. 38 (Series 14). The Partnership commenced offering BACs in Series 14 on May 20, 1991. As of March 31, 1996, the Partnership had received and accepted subscriptions for $55,728,997, representing 5,574,290 BACs in Series 14. Offers and sales of BACs in Series 14 were completed and the last of the BACs in Series 14 were issued by the Partnership on January 27, 1992. During the fiscal year ended March 31, 1996, the Partnership used $634,903 of Series 14 net offering proceeds to pay additional installments of its capital contributions to three Operating Partnerships. As of March 31, 1996 the net proceeds from the offer and sale of BACs in Series 14 had been used to invest in a total of 101 Operating Partnerships in an aggregate amount of $42,034,328, and the Partnership had completed payment of all installments of its capital contributions to 78 of the 101 Operating Partnerships. Series 14 net offering proceeds in the amount of $645,336 remains to be used by the Partnership to pay additional installments of capital contributions to Operating Partnerships and in working capital. Results of Operations - --------------------- The Partnership incurs an annual partnership management fee payable to the General Partner and/or its affiliates in an amount equal to 0.5% of the aggregate cost of the Apartment Complexes owned by the Operating Partnerships, less the amount of certain partnership management and reporting fees paid by the Operating Partnerships. The annual partnership management fee incurred for the fiscal years ended March 31, 1996 and 1995 was $2,356,546, and $2,296,889, respectively. The amount is anticipated to decrease in subsequent fiscal years as the Operating Partnerships begin to pay annual partnership management fees and reporting fees to the Partnership. In all series, the tax credits provided to the investors from the tax years ended December 31, 1994 to December 31, 1995 either increased or were consistent with the prior year. The increase is due to properties completing construction during the fiscal year March 31, 1996 and others reaching stabilized operations. The Partnership expects the stream of tax credits to level off within the next year as the properties in all series reach stabilized operations and generate credits as projected. The Partnership's investment objectives do not include receipt of significant cash distributions from the Operating Partnerships in which it has invested. The Partnership's investments in Operating Partnerships have been made principally with a view towards realization of Federal Housing Tax Credits for allocation to its partners and BAC holders. (Series 7). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 100%. For the tax years ended December 31, 1995 and 1994, the series, in total, generated $838,164 and $938,005, respectively, in passive income tax losses that were passed through to the investors, and also provided $1.20 per year for 1995 and 1994 in tax credits per BAC to the investors. 39 For the years ended December 31, 1995 and 1994 Series 7 reflects a net loss from Operating Partnerships of $292,522 and $228,278, respectively, adjusted for depreciation which is a non cash item. (Series 9). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 99.8% and 99.7%, respectively. The series had a total of 55 properties as of March 31, 1996, of which 52 were at 100% qualified occupancy. For the tax years ended December 31, 1995 and 1994, the series, in total, generated $4,666,369 and $3,531,554, respectively, in passive income tax losses that were passed through to the investors, and also provided $1.37 and $1.33, respectively, in tax credits per BAC to the investors. For the years ended December 31, 1995 and 1994 Series 9 reflects net income from Operating Partnerships of $620,121 and $357,358, respectively, adjusted for depreciation which is a non cash item. (Series 10). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 99.7% and 100%, respectively. The series had a total of 46 properties at March 31, 1996, of which 42 were at 100% qualified occupancy. For the tax years ended December 31, 1995 and 1994, the series, in total, generated $1,744,865 and $1,876,654, respectively, in passive income tax losses that were passed through to the investors, and also provided $1.46 and $1.45, respectively, in tax credits per BAC to the investors. For the years ended December 31, 1995 and 1994 Series 10 reflects net income from Operating Partnerships of $1,034,996 and $939,447, respectively, adjusted for depreciation which is a non cash item. (Series 11). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 100%. The series had a total of 40 properties at March 31, 1996, all of which were at 100% qualified occupancy. For the tax years ended December 31, 1995 and 1994, the series, in total, generated $1,666,030 and $1,958,527, respectively, in passive income tax losses that were passed through to the investors, and also provided $1.32 per year for 1995 and 1994 in tax credits per BAC to the investors. For the years ended December 31, 1995 and 1994 Series 11 reflects net income from Operating Partnerships of $962,926 and $856,731, respectively, adjusted for depreciation which is a non cash item. (Series 12). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 100% and 99.9%, respectively. The series had a total of 53 properties at March 31, 1996, all of which were at 100% qualified occupancy. 40 For the tax years ended December 31, 1995 and 1994, the series, in total, generated $2,468,406 and $2,314,438, respectively, in passive income tax losses that were passed through to the investors, and also provided $1.46 and $1.41, respectively, in tax credit per BAC to the investors. For the years ended December 31, 1995 and 1994 Series 12 reflects net income from Operating Partnerships of $495,173 and $487,674, respectively, adjusted for depreciation which is a non cash item. (Series 14). As of March 31, 1996 and 1995, the average Qualified Occupancy for the series was 99.8% and 99.7%, respectively. The series had a total of 101 properties at March 31, 1996. Out of the total, 97 were at 100% qualified occupancy. For the tax years ended December 31, 1995 and 1994, the series, in total, generated $4,330,709 and $4,742,131 respectively, in passive income tax losses that were passed through to the investors, and also provided $1.42 and $1.38, respectively, in tax credits per BAC to the investors. For the years ended December 31, 1995 and 1994 Series 14 reflects net income from Operating Partnerships of $729,866 and $611,812, respectively, adjusted for depreciation which is a non cash item. Recent Accounting Statements Not Yet Adopted -------------------------------------------- In March 1995, the Financial Accounting Standards Board (FASB) issued SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to be Disposed Of." SFAS No. 121 is effective for financial statements issued for fiscal years beginning after December 15, 1995, with earlier application permitted. SFAS No. 121 addresses the accounting for long-lived assets and certain identifiable intangibles to be held and used by an entity to be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The partnership will adopt SFAS No. 121 on April 1, 1996, as required. Adopting SFAS No. 121 is not expected to have a significant effect on the partnership's financial statements. Item 8. Financial Statements and Supplementary Data The information required by this item is contained in Part IV, Item 14 of this Annual Report on Form 10-K. Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure None. 41 PART III -------- Item 10. Directors and Executive Officers of the Registrant (a), (b), (c), (d) and (e) The Partnership has no directors or executives officers of its own. The following biographical information is presented for the partners of the General Partners and affiliates of those partners (including Boston Capital Partners, Inc. ("Boston Capital")) with principal responsibility for the Partnership's affairs. Herbert F. Collins, age 65, is co-founder and Chairman of the Board of Boston Capital Partners, Inc. During 1990 and 1991 he served as Chairman of the Board of Directors for the Federal Home Loan Bank of Boston, a 314-member, $12-billion central bank in New England which is part of the Federal Home Loan Bank System. Mr. Collins is co-founder and serves as Chairman-Emeritus of the Council for Rural Housing and Development, a 300-member organization including 14 state associations formed to encourage the development of rural housing nationwide. He serves as Chairman of the Massachusetts Housing Policy Commission, created by the Governor of the Commonwealth of Massachusetts and the Secretary of the Executive Office of Communities & Development, to assess the current status and recommend future housing policy for the Commonwealth. Additionally, he serves as a Member of the Board of Directors, of the Metropolitan Boston Housing Partnership, an organization dedicated to the renewal of housing through rehabilitation and community involvement. He served on the Mitchell-Danforth Task Force, which helped structure the 1990 tax credit legislation. In addition, Mr. Collins is a past director of the National Leased Housing Association, past chairman of the Rural Development Committee, and is a member of the National Rural Housing Council. Currently, Mr. Collins is a Board member of the National Housing Conference. Prior to co-founding Boston Capital, Mr. Collins served as Vice President and Director of Marketing at ECS Corporation and the Advanced Research Corporation, and was the Product Marketing Manager at Raytheon Corporation. Mr. Collins graduated from Harvard College and attended the Advanced Management Program, Harbridge House, Boston. John P. Manning, age 47, is co-founder, President and Chief Executive Officer of Boston Capital Partners, Inc., and serves as member of the Investment Committee. Mr. Manning is Chairman of the Affordable Housing Tax Credit Coalition and is member of the Board of Directors of the National Leased Housing Association, two Washington, D.C.-based organizations. He also serves on the Board of Advisors for the Housing Development Reporter. He served as a Member of the Massachusetts Housing Policy Commission, Executive Office of Communities & Development, appointed by the Governor of the Commonwealth of Massachusetts. He was named by U.S. Senate Majority Leader George Mitchell to the Mitchell-Danforth Task Force, which helped structure the 1990 tax credit legislation. In similar capacities, Mr. Manning has been asked by the U.S. House Ways and Means Committee and by the U.S. Senate Finance Committee to represent the affordable housing industry as an expert on the efficacy of the low income housing tax credit and its effect on capital markets and the economy. Prior to co-founding Boston Capital in 1974, Mr. Manning was the 42 Eastern Regional Vice President of Western Diversified Equities, a Beverly Hills-based real estate development firm, and was an Investment Manager at the Industrial National Bank in Providence. In 1995, President Clinton appointed Mr. Manning a Member of the Advisory Committee on the Arts (John F. Kennedy Center for the Performing Arts). Mr. Manning graduated from Boston College. Richard J. DeAgazio, age 51, is Executive Vice President of Boston Capital Partners, Inc., and is President of Boston Capital Services, Inc., Boston Capital's NASD registered broker/dealer. Mr. DeAgazio formally served on the national Board of Governors of the National Association of Securities Dealers (NASD), was the Vice Chairman of the NASD's District 11 Committee, and serves as Chairman of the NASD's Statutory Disqualification Subcommittee of the National Business Conduct Committee. He also serves on the NASD State Liaison Committee and the Direct Participation Program Committee. He is a founder and past President of the National Real Estate Investment Association, past President of the Real Estate Securities and Syndication Institute (Massachusetts Chapter) and the Real Estate Investment Association. Prior to joining Boston Capital in 1981, Mr. DeAgazio was the Senior Vice President and Director of the Brokerage Division of Dresdner Securities (USA), Inc., an international investment banking firm owned by four major European banks, and was a Vice President of Burgess & Leith/Advest. He has been a member of the Boston Stock Exchange since 1967. He graduated from Northeastern University. Christopher W. Collins, age 41, is an Executive Vice President and a principal of Boston Capital Partners, Inc., and is responsible for, among other areas, overseeing the investment portfolio of funds sponsored by Boston Capital and the acquisition of real estate investments on behalf of such funds. Mr. Collins has had extensive experience in real estate development activities, having founded and directed the American Development Group, a comprehensive real estate development firm, and has also had extensive experience in the area of acquiring real estate investments. He is on the Board of Directors of the National Multi-Housing Council and a member of the Massachusetts Housing Finance Agency Multi-Family Advisory Committee. He graduated from the University of New Hampshire. Anthony A. Nickas, age 35, is Senior Vice President and Chief Financial Officer of Boston Capital Partners, Inc. and has over twelve years experience in the accounting and finance fields. Mr. Nickas has supervised the financial aspects of both the Project Development and Property Management Affiliates. Prior to joining Boston Capital in 1987, he was Assistant Director of Accounting and Financial Reporting for the Yankee Companies, Inc., and was an Audit Supervisor for Wolf & Company of Massachusetts, P.C., a regional certified public accounting firm based in Boston. He graduated with honors from Norwich University. (f) Involvement in certain legal proceedings. None. (g) Promoters and control persons. None. 43 Item 11. Executive Compensation (a), (b), (c), (d) and (e) The Partnership has no officers or directors. However, under the terms of the Amended and Restated Agreement and Certificate of Limited Partnership of the Partnership, the Partnership has paid or accrued obligations to the General Partner and its affiliates for the following fees during the 1996 fiscal year: 1. An annual partnership management fee based on .5 percent of the aggregate cost of all Apartment Complexes acquired by the Operating Partnerships, less the amount of certain partnership management and reporting fees paid or payable by the Operating Partnerships, has been paid or accrued as payable to Boston Capital Communications Limited Partnership. The annual partnership management fee accrued during the year ended March 31, 1996 was $2,509,458. Accrued fees are payable without interest as sufficient funds become available. 2. The Partnership has reimbursed an affiliate of the General Partner a total of $84,931 for amounts charged to operations during the year ended March 31, 1996. The reimbursement includes, but may not be limited to postage, printing, travel, and overhead allocations. Item 12. Security Ownership of Certain Beneficial Owners and Management (a) Security ownership of certain beneficial owners. As of March 31, 1996, 18,679,738 BACs had been issued. No person is known to own beneficially in excess of 5% of the outstanding BACs in any of the Series. (b) Security ownership of management. The General Partner has a 1% interest in all Profits, Losses, Credits and distributions of the Partnership. The Partnership's response to Item 12(a) is incorporated herein by reference. (c) Changes in control. There exists no arrangement known to the Partnership the operation of which may at a subsequent date result in a change in control of the Partnership. There is a provision in the Limited Partnership Agreement which allows, under certain circumstances, the ability to change control. Item 13. Certain Relationships and Related Transactions (a) Transactions with management and others. 43 The Partnership has no officers or directors. However, under the terms of the public offering, various kinds of compensation and fees are payable to the General Partner and its Affiliates during the organization and operation of the Partnership. Additionally, the General Partner will receive distributions from the Partnership if there is cash available for distribution or residual proceeds as defined in the Partnership Agreement. The amounts and kinds of compensation and fees are described on pages 32 to 33 of the Prospectus under the caption "Compensation and Fees", which is incorporated herein by reference. See Note B of Notes to Financial Statements in Item 14 of this Annual Report on Form 10-K for amounts accrued or paid to the General Partner and its affiliates during the period from April 1, 1993 through March 31, 1996. (b) Certain business relationships. The Partnership response to Item 13(a) is incorporated herein by reference. (c) Indebtedness of management. None. (d) Transactions with promoters. Not applicable. 44 PART IV ------- Item 14. Exhibits, Financial Statement Schedules, and Reports on Form 8-K (a) 1 and 2. Financial Statements and Financial Statement Schedules Independent Auditors' Report Balance Sheets, March 31, 1996 and 1995 Statement of Operations, Years ended March 31, 1996, 1995, and 1994. Statements of Changes in Partners' Capital, Years ended March 31, 1996, 1995 and 1994. Statements of Cash Flows, Years ended March 31, 1996, 1995 and 1994. Notes to Financial Statements, March 31, 1996, 1995 and 1994. Schedule III - Real Estate and Accumulated Depreciation Notes to Schedule III Schedules not listed are omitted because of the absence of the conditions under which they are required or because the information is included in the financial statements or the notes hereto. (a) 3. Exhibits (listed according to the number assigned in the table in Item 601 of Regulation S-K) Exhibit No. 3 - Organization Documents. a. Certificate of Limited Partnership of Boston Capital Tax Credit Fund II Limited Partnership. (Incorporated by reference from Exhibit 3 to the Partnership's Registration Statement No. 33-30145 on Form S-11 as filed with the Securities and Exchange Commission on October 25, 1989.) 45 Exhibit No. 4 - Instruments defining the rights of security holders, including indentures. a. Agreement of Limited Partnership of Boston Capital Tax Credit Fund II Limited Partnership. (Incorporated by reference from Exhibit 4 to the Partnership's Registration Statement No. 33-30145 on Form S-11 as filed with the Securities and Exchange Commission on October 25, 1989.) Exhibit No. 10 - Material contracts. a. Beneficial Assignee Certificate. (Incorporated by reference from Exhibit 10A to the Partnership's Registration Statement No. 33-30145 on Form S-11 as filed with the Securities and Exchange Commission on October 25, 1989.) Exhibit No. 28 - Additional exhibits (b) Reports on Form 8-K ------------------- (c) Exhibits -------- The list of exhibits required by Item 601 of Regulation S-K is included in Item (a)(3). (d) Financial Statement Schedules ----------------------------- See Item (a) 1 and 2 above. (e) Independent Auditors' Reports for Operating Limited Partnerships. --------------------------------------------------- 46 SIGNATURES ---------- Pursuant to the requirements of Section 13 of the Securities Exchange Act of 1934, the Partnership has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized. Boston Capital Tax Credit Fund II Limited Partnership By: Boston Capital Associates II Limited Partnership, General Partner By: Boston Capital Associates Date: July 15, 1996 By: /s/ John P. Manning ------------------- John P. Manning By: /s/ Herbert F. Collins ---------------------- Herbert F. Collins Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Partnership and in the capacities and on the dates indicated: DATE: July 15, 1996 SIGNATURE: TITLE: General Partner and /s/ John P. Manning Principal Executive ------------------- Officer, Principal John P. Manning Financial Officer and Principal Accounting Officer of Boston Capital Associates General Partner and /s/ Herbert F. Collins Principal Executive --------------------- Officer, Principal Herbert F. Collins Financial Officer and Principal Accounting Officer of Boston Capital Associates 47 FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS' REPORT BOSTON CAPITAL TAX CREDIT FUND II LIMITED PARTNERSHIP - SERIES 7, 9 THROUGH 12, AND 14 MARCH 31, 1996 AND 1995 Boston Capital Tax Credit Fund II Limited Partnership Series 7,9 through 12, and 14 TABLE OF CONTENTS PAGE INDEPENDENT AUDITORS' REPORT F-3 FINANCIAL STATEMENTS BALANCE SHEETS F-5 STATEMENTS OF OPERATIONS F-12 STATEMENTS OF CHANGES IN PARTNERS' CAPITAL F-19 STATEMENTS OF CASH FLOWS F-23 NOTES TO FINANCIAL STATEMENTS F-37 SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION F-67 NOTES TO SCHEDULE III Schedules not listed are omitted because of the absence of the conditions under which they are required or because the information is included in the financial statements or the notes thereto. Reznick Fedder & Silverman Certified Public Accountants * Business Consultants A Professional Corporation 4520 East-West Highway * Suite 300 * Bethesda, MD 20814-3319 (301) 652-9100 * Fax (301) 652-1848 INDEPENDENT AUDITORS' REPORT To the Partners Boston Capital Tax Credit Fund II Limited Partnership We have audited the accompanying balance sheets of Boston Capital Tax Credit Fund II Limited Partnership, including Boston Capital Tax Credit Fund II Limited Partnership - Series 7, Series 9 through 12, and Series 14, in total and for each series as of March 31, 1996 and 1995 and the related statements of operations, changes in partners' capital and cash flows, for the total partnership and for each of the series, for each of the three years in the period ended March 31, 1996. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We did not audit the financial statements of certain operating partnerships in which Boston Capital Tax Credit Fund II Limited Partnership owns a limited partnership interest. Investments in such partnerships comprise the following percentages of the assets as of March 31, 1996 and 1995 for Series 7, Series 9 through 12 and Series 14, and the limited partnership loss for each of the three years in the period ended March 31, 1996 for Series 7, Series 9 through 12, and Series 14: Total, 30% and 28% of the assets and 21%, 33% and 35% of the partnership loss; Series 7, 24% and 30% of the assets and 17%, 24% and 26% of the partnership loss; Series 9, 37% and 27% of the assets and 21%, 32% and 38% of the partnership loss; Series 10, 27% and 26% of the assets and 5%, 40% and 38% of the partnership loss; Series 11, 29% and 35% of the assets and 31%, 35% and 35% of the partnership loss; Series 12, 32% and 22% of the assets and 28%, 28% and 36% of the partnership loss; and Series 14, 28% and 30% of the assets and 20%, 34% and 36% of the partnership loss. The financial statements of these partnerships were audited by other auditors, whose reports have been furnished to us, and our opinion, insofar as it relates to information relating to these partnerships, is based solely on the reports of the other auditors. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements of each series. 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 audits and the reports of the other auditors provide a reasonable basis for our opinion. In our opinion, based on our audits and the reports of the other auditors, the financial statements referred to above present fairly, in all material respects, the financial position of Boston Capital Tax Credit Fund II Limited Partnership, including Boston Capital Tax Credit Fund II Limited Partnership - Series 7, Series 9 through 12, and Series 14, in total and for each series as of March 31, 1996 and 1995 and the results of its operations and its cash flows for the total partnership and for each of the series for each of the three years in the period ended March 31, 1996, in conformity with generally accepted accounting principles. F-3 We and other auditors have also audited the information included in the related financial statement schedule listed in Form 10-K, Item 14(a) of Boston Capital Tax Credit Fund II Limited Partnership Series 7, Series 9 through 12, and Series 14 as of March 31, 1996. In our opinion, the schedule presents fairly, the information required to be set forth therein, in conformity with generally accepted accounting principles. Bethesda, Maryland June 28, 1996 F-4 HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 2, 1996 INDEPENDENT AUDFTOR'S REPORT Partners BRIARWOOD APARTMENTS, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners equity, and cash flows for the years then ended. These financial statements are the responsibility of the Company'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes examining, on a test basis, evidence supporting the amount 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting Principles Howe and Associates HOWE AND ASSOCIATES, PC CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 3, 1996 INDEPENDENT AUDITOR'S REPORT Partners BUCKNER PROPERTIES, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes examining, on a test basis, evidence supporting the amount 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates, PC MCGLADREY&PULLEN, LLP Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Partners Deer Hill II Limited Partnership Greensboro, North Carolina We have audited the accompanying balance sheets of Deer Hill II Limited Partnership as of December 3 1, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Deer Hill II Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 23, 1996 on our consideration of Deer Hill II Limited Partnership's internal control structure and a report dated January 23, 1996 on its compliance with laws and regulations. McGladrey & Pyllen, LLP Greensboro, North Carolina January 23, 1996 HARN & ROWE Certified Public Accountants 2255 Morello Avenue Suite 209 Pleasant Hill, CA 94523 (510) 686-5550 - Fax (510) 686-581 INDEPENDENT AUDITORS' REPORT To the Partners King City Elderly Housing Associates (a California Limited Partnership) Salinas, California We have audited the accompanying balance sheet of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1995 and the related statements of income, partners' equity, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1995, and the results of its operations and its cash flows for the year then ended, in conformity with generally accepted accounting principles. March 21, 1996 HOWE AND ASSOCIATES CERTIFIED PUBUC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 23, 1996 INDEPENDENT AUDITORS REPORT Partners LEBANON PROPERTIES II, LP Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates HOWE AND ASSOCIATES CERTIFIED PUBUC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 15, 1996 INDEPENDENT AUDITOR'S REPORT Partners OAK GROVE ESTATES, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates DULIN, WARD & DEWALD, Inc. Certified Public Accountants Offices Located in Fort Wayne and Marion, Indiana Michael R. DeWald Robert F. Meyer James R. Doty J. Nelson Coats Michael J. O'Brien Jeff A. Taner Mark S. Westerhausen James E. Hindle, Jr.(1949 - 1994) INDEPENDENT AUDITOR'S REPORT To the Partners of Oakview Limited (A Limited Partnership) Corunna, Indiana We have audited the accompanying balance sheets of Oakview Limited (A Limited Partnership) as of December 31, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States, and the US. Department of Agriculture, Farmers Home Administration "Audit Program." Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Oakview Limited (A Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Audit Standards, we have also issued a report dated January 19, 1996 on our consideration of Oakview Limited's internal control structure and a report dated January 19, 1996 on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying expense analysis is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Wayne, Indiana January 19, 1996 page 2 DULIN, WARD & DEWALD, Inc. Certified Public Accountants Our mission is to assist businesses, organizations and individuals in measuring, controlling and managing their financial success. 1610 Spy Run Avenue, Fort Wayne, Indiana 46805 219-423-2414 / 800-232-8913 219-423-2419(Fax) DUBLIN, WARD & DEWALD, INC. Certified Public Accountants Offices Located in Fort Wayne and Marion, Indiana Michael R. DeWald Robert F Meyer James R. Doty J. Nelson Coats Michael J. O'Brien Jeff A. Taner Mark S. Westerhausen James E. Hindle, Jr. (1949-1994) INDEPENDENT AUDITOR'S REPORT To the Partners of Oakview Limited (A Limited Partnership) Coruma, Indiana We have audited the accompanying balance sheets of Oakview Limited (A Limited Partnership) as of December 31, 1993 and 1992, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Oakview Limited (A Limited Partnership) as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 9 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Wayne, Indiana January 20, 1994 Our mission is to assist businesses, organizations and individuals in measuring, controlling and managing their financial success. 1610 Spy Run Avenue, Fort Wayne, Indiana 46805 219-423-2414/800-232-8913 219-423-2419(fax) McGLADREY&PULLEN, LLP Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Partners Westwood Square Limited Partnership Greensboro, North Carolina We have audited the accompanying balance sheets of Westwood Square Limited Partnership as of December 31, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are financial of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Westwood Square Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 23, 1996 on our consideration of Westwood Square Limited Partnership's internal control structure and a report dated January 23, 1996 on its compliance with laws and regulations. Greensboro, North Carolina January 23, 1996 HOWE AND ASSOCIATES, PC CERTIFIED PUBUC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 14, 1996 INDEPENDENT AUDITOR'S REPORT Partners WINFIELD PROPERTIES 11, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates, PC KEVIN P. MARTIN & ASSOCIATES, P.C. Certified Public Accountants KEVIN P. MARTIN, CPA SOUTHSHORE EXECUTIVE PARK J. THOMAS HURLEY, CPA, MST TEN FORBES WEST KEVIN P. MARTIN JR. CPA. MST BRAINTREE, MA 02184-2696 KENNETH J. DAVIN, CPA TELEPHONE (617) 380-3520 GARRETT H. DALTON III. CPA, MBA FACSIMILE (617) 380-7836 To the Partners of: Metropole Apartments Associates, Ltd. Boston, Massachusetts 02210 Independent Auditors' Report We have audited the accompanying balance sheets of Metropole Apartments Associates, Ltd. (A Florida Limited Partnership), as of December 31, 1994 and 1993, and the related statements of operations, partners I equity (deficit) and cash f lows f or the years then ended. These financial statements are the responsibility of the Metropole Apartments Associates,, Ltd. Is management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Metropole Apartments Associates, Ltd. as of December 31, 1994 and 1993, and the results of its operations, the changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information in Exhibit 'IF" is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Braintree, Massachusetts February 23, 1995 HARN & ROWE Certified Public Accountants 2255 Morello Avenue Suite 209 Pleasant Hill, CA 94523 INDEPENDENT AUDITORS' REPORT To the Partners King City Elderly Housing Associates (a California Limited Partnership) Salinas, California We have audited the accompanying balance sheet of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1994 and the related statements of income, partners; equity, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1994, and the results of its operations and its cash flows for the year then ended, in conformity with generally accepted accounting principles. HARN & ROWE April 20, 1995 HARN & ROWE Certified Public Accountants 2255 Morello Avenue Suite 209 Pleasant Hill, CA 94523 INDEPENDENT AUDITORS; REPORT To the Partners King City Elderly Housing Associates (a California Limited Partnership) Salinas, California We have audited the accompanying balance sheet of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1993 and the related statements of income, partners; equity, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the King City Elderly Housing Associates (a California Limited Partnership) as of December 31, 1993, and the results of its operations and its cash flows for the year then ended, in conformity with generally accepted accounting principles. HARN & ROWE March 28, 1994 Ziner & Company Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners of 438 Warren Street Limited Partnership We have audited the accompanying balance sheets of 438 Warren Street Limited Partnership (a Massachusetts limited partnership) as of December 31, 1994 and 1993, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the general partner. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 the general partner, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of 438 Warren Street Limited Partnership as of December 31, 1994 and 1993, and the results of its operations, its changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. January 12, 1995 7 WINTHROP SQUARE BOSTON, MASSACHUSETTS 02110-1256 Phone (617) 542-8880 Fax (617) 542-8715 JOHN G. BURK AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS A PROFESSIONAL CORPORATION 56 COURT STREET P.O. BOX 705 KEENE, NEW HAMPSHIRE 03431 (603) 357-4882 To the Partners of Beaver Brook Housing Associates Limited Partnership Independent Auditors' Report We have audited the accompanying balance sheets of Beaver Brook Housing Associates (a Limited Partnership) (Case No. 34-06-020424443) as of December 31, 1995 and 1994, and the related statements of income and expense, partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis evidence supporting the amounts and disclosures in the financial statements. An au@it 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Beaver Brook Housing Associates Limited Partnership at December 31, 1995 and 1994, and the results of its operations, partners' equity (deficit) and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 18, 1996 on our consideration of Beaver Brook Housing Associates' internal control structure and a report dated January 18, 1996 on its compliance with laws and regulations. January 18, 1996 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX 1 SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET SAVANNAH, GEORGIA 31401 TELEPHONE (912) 234-199 FAX (912) 234-0139 INDEPENDENT AUDITORS' REPORT To The Partners Blakely Properties Limited Partnership We have audited the accompanying balance sheets of BLAKELY PROPERTIES LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the elated statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis of our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of BLAKELY PROPERTIES LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements of BLAKELY PROPERTIES LIMITED PARTNERSHIP taken as a whole. The accompanying financial information listed as supplementary data in the table of contents is presented for purposes of additional analysis as required by Farmers Home Administration. The information in these schedules has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements of' BLAKELY PROPERTIES LIMITED PARTNERSHIP, taken as a whole. Savannah, Georgia February 24, 1995 WILLIAM JEFFERSON COLE, C.P.A. COLE,EVANS & PETERSON A. WILLIAM PETERSON,C.P.A. CERTIFIED PUBLIC ACCOUNTANTS CAROL T. BARNES, C.P A. C. WILLIAM GERARDY, JR.,C.P.A. Fifth floor Travis Place BARRY S. SHIPP, C.P.A. Post Office Drawer 1768 STEVEN W. HEDGEPETH, C.P.A . Shreveport, Louisiana 7166-1768 STEVEN R. BAYER.C.P.A. GWENDOLYN H. HARJU, C.P.A. TIMOTHY R. OURR, C.P.A. R. January 22, 1996 STEPHEN TILLEY, C.P.A. BAILEY B. BAYNHAM. C.P.A. JOHN A. CA5KEY, C.P.A. ROBERT A. BUSBY, C.P.A. DEBORAH N. SHIVERS, C.P.A. JUDY E. MONCRI EF, C.P.A. ANNE-MARIE COLE CAIN,C.P.A. TIMOTHY W. BORST, C. P.A. RAYNELLE H.THOMPSON,C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC 0. SMITH, C.P.A. PETER R. MOORE, C. P. A. Telephone (318) 222-8367 TELECOPIER(318) 425-4101 INDEPENDENT AUDITORS' REPORT To the Partners Blanco Seniors Apartments, Ltd. Mansfield, Louisiana We have audited the accompanying balance sheets of Blanco Seniors Apartments. Ltd. at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Blanco Seniors Apartments, Ltd. at December 31, 1995 and December 31, 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Cole, Evans & Peterson WILLIAM JEFFERSON COLE,C.P.A. COLE, EVANS & PETERSON A.WILLIAM PETERSON,C.P.A. Certified Public Accountants CAROL T. BARNES, C.P.A. C.WILLIAM GERARDY,JR.,C.P.A. Fifth Floor Travis Place BARRY S. SHIPP, C.P.A. Post Office Drawer 1768 STEVEN W. GEPETH, C.P.A. Shreveport, Louisiana 71166-1768 STEVEN R. BAYER, C. P. A. GWENDOLYN H. HARJU, C.P.A. March 11, 1994 TIMOTHY R. DURR,C.P.A. R.STEPHEN TILLEY,C.P.A. SAILEY S. BAYNHAM, C.P.A. JOHN A.CASKEY.C.P.A. ROBERT A.BUSBY,C.P.A. JUDY F. MONCRIEF, C.P.A. ANNE-MARIE COLE CAIN,C.P.A. TIMOTHY W. BORST,C.P.A. RAYNELLE H. THOMPSON, C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC 0. SMITH,C.P.A. PETER R. MOORE, C.P.A. DAVID W. BULLOCK, C.P.A. INDEPENDENT AUDITORS' REPORT To the Partners Blanco Seniors Apartments, Ltd. Mansfield, Louisiana We have audited the accompanying balance sheet of Blanco Seniors Apartments, Ltd. at December 31, 1993. This financial statement is the responsibility of the Partnership's management. Our responsibility is to express an opinion on this financial statement based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the balance sheet is free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the balance sheet. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall balance sheet presentation. We believe that our audit of the balance sheet provides a reasonable basis for our opinion. In our opinion, the balance sheet referred to above presents fairly, in all material respects, the financial position of Blanco Seniors Apartments, Ltd. at December 31, 1993 in conformity with generally accepted accounting principles. Cole, Evans & Peterson DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX 1 SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET TELEPHONE (912) 234-1999 SAVANNAH, GEORGIA 31401 FAX (912) 234-0139 MEMBER OF AMERICAN INSTITUTE OF CPAs GEORGIA SOCIETY OF CPAs INDEPENDENT AUDITORS' REPORT To The Partners Bloomingdale Properties Limited Partnership We have audited the accompanying balance sheets of BLOOMINGDALE PROPERTIES LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of BLOOMINGDALE PROPERTIES LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements of BLOOMINGDALE PROPERTIES LIMITED PARTNERSHIP taken as a whole. The accompanying financial information listed as supplementary data in the table of contents is presented for purposes of additional analysis as required by Farmers Home Administration. The information in these schedules has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements of BLOOMINGDALE PROPERTIES LIMITED PARTNERSHIP, taken as a whole. Savannah, Georgia February 24, 1995 DUBLIN, WARD & DEWALD, INC. Certified Public Accountants Offices Located in Fort Wayne and Marion, Indiana Michael R. DeWald Robert F. Meyer James R. Doty J. Nelson Coats Michael J. O'Brien Jeff A.Taner Mark S. Westerhausen James E. Hindle, Jr. (1949-1994) INDEPENDENT AUDITOR'S REPORT To the Partners of Brooklyn Limited (An Indiana Limited Partnership) Corunna, Indiana We have audited the accompanying balance sheets of Brooklyn Limited (An Indiana Limited Partnership) as of December 31, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Audit Standards, issued by the Comptroller General of the United States, and the U.S. Department t of Agriculture, Farmers Home Administration "Audit Program" Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Brooklyn Limited (An Indiana Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 19, 1996 on our consideration of Brooklyn Limited's internal control structure and a report dated January 19, 1996 on its compliance with laws and regulations. DUBLIN, WARD & DEWALD, INC. Certified Public Accountants page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 9 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Wayne, Indiana January 19, 1996 Our mission is to assist businesses, organizations and individuals in measuring, controlling and managing their financial success. DUBLIN, WARD & DEWALD, INC. Certified Public Accountants Michael R. DeWald Robert F. Meyer James R. Doty J. Nelson Coats Michael J. O'Brien Jeff A. Taner Mark S. Westerhausen James E. Hindle, Jr. (1949-1994) INDEPENDENT AUDITOR'S REPORT To the Partners of Brooklyn Limited (An Indiana Limited Partnership) Corunna, Indiana We have audited the accompanying balance sheets of Brooklyn Limited (An Indiana Limited Partnership) as of December 31, 1993 and 1992, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Brooklyn Limited (An Indiana Limited Partnership) as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. 'Me supplemental information on page 9 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Wayne, Indiana January 20, 1994 MARY K. FLEGAL Certified Public Accountant INDEPENDENT AUDITOR'S REPORT To the Partners Fawn River Apartments I have audited the accompanying balance sheets of Fawn River Apartments (a partnership) Project #26-078-382856293 as of December 31, 1995 and 1994, and the related statements of operations, partners' deficit and cash flows for the years ended December 31, 1995 and 1994. These financial statements are the responsibility of the Project's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards and standards for financial and compliance audits contained in the Standards for Audit of Governmental Organizations, Programs, Activities and Functions, issued by the U.S. General Accounting Office. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether financial statements are free of material misstatement. An audit includes 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. I believe that my audit provides a reasonable basis for my opinion. The financial statements include only the assets, liabilities and operations of Fawn River Apartments Project #26-078-382856293 and do not include any other assets, liabilities or operations of the Partnership. In my opinion, the financial statements referred to above present fairly, in all material respects, the assets, liabilities and partners' deficit of Fawn River Apartments Project #26-078-382856293 as of December 31, 1995 and 1994, and its operations, partners' deficit and cash flows for the years ended December 31, 1995 and 1994. Mary K. Flegal January 24, 1996 SMITH, MILES & COMPANY, LC. CERTIFIED PUBLIC ACCOUNTANTS 1230 AIRPORT ROAD P.O. BOX 1177 PANAMA CITY, FLORIDA 32402 (904) 785-0261 INDEPENDENT AUDITORS' REPORT To the Partners Fountain Green Apartments, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Fountain Green Apartments, Ltd., FMHA Project No: 09-46-592948719, as of December 31, 1994 and 1993, and the related statements of operations, partners% equity and cash flows for the years then ended. These financial statements are the responsibility of the partnerships management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Fountain Green Apartments, Ltd., as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida January 25, 1995 JAMES KNUTZEN & ASSOCIATES, C.P.A.'s, PA SUITE 230 3100 UNIVERSITY BOULEVARD SOUTH JACKSONVILLE, FLORIDA 32216 (904) 725-5832 FAX (904) 727-6835 James Knutzen. C.P.A., M.B.A. Christina E. Gibson. C.P.A. Raja lyer, C.P.A. Gregory Korn, C.P.A. Todd Middlemas, C.P.A. Wilson Trammell, C.P.A. MEMBER OF AMERICAN AND FLORIDA INSTITUTES OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT To the Partners of Garden Lake of Immokalee, Ltd. We have audited the accompanying balance sheets of Garden Lake of Immokalee, Ltd. (a Florida Limited Partnership), FMHA Project No.:09-11-592909207 as of December 31, 1995 and 1994, and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Garden Lake of Immokalee, Ltd. (a Florida Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations, partners' equity, and cash flows for the years then ended in conformity with generally accepted accounting principles. JAMES KNUTZEN &ASSOCIATES C.P.A.'s, PA To the Partners of Garden Lake of Immokalee, Ltd. Page Two In accordance with Government Auditing Standards, we have also issued a report dated February 15, 1996 on our consideration of Garden Lake of Immokalee, Ltd.'s internal control structure and a report dated February 15, 1996 on its compliance with laws and regulations. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information on pages 14 - - 18 is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. James Knutzen & Associates, C.P.A.'s, P.A. Jacksonville, Florida February 15, 1996 BOWMAN & COMPANY, LLP Certified Public Accountants TELEPHONE: 209/473-1040 LODI: 209/333-0540 FAX: 209/473-9771 2431 WEST MARCH LANE SUITE 100 STOCKTON, CALIFORNIA 95207-6598 TAYLOR M. WELZ HERBERT H. BOWMAN BRUCE C. BENTZ TAYLOR M. WELTZ KATHLEEN D. O'BRIEN GARY R. DANNIEL DANNIEL E. PHELPS MEMBER OF AICPA DIVISION OF FIRMS Private companies Practice section To the Partners Glennwood Hotel Investors (A California Limited Partnership) Sacramento, California We have audited the accompanying balance sheets of Glennwood Hotel Investors (A California Limited Partnership) as of December 31, 1995 and 1994, and the related statements of income, partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Glennwood Hotel Investors (A California Limited Partnership) as of December 31, 1995 and 1 994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Stockton, California January 23, 1 996 OSCAR N. HARRIS & ASSOCIATES, P.A. CERTIFIED PUBLIC ACCOUNTANTS OSCAR N. HARRIS, C.P.A SHERRY S. JOHNSON, C.P.A. KENNETH E. MILTON, C.P.A. MARLA L. TART, C.P.A. DARLENE LANGSTON, C.P.A. CONNIE P. STANCIL, C.P.A. Members: American Institute of Certified Public Accountants North Carolina Association Of Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners of Grifton Housing Associates, A NC Limited Partnership Charlotte, North Carolina We have audited the balance sheets of Grifton Housing Associates, A NC Limited Partnership as of December 31, 1995 and 1994, and the related statements of partners, capital, income, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards (1988 Revision) issued by the Comptroller General of the United States, and the audit programs provided by the U.S. Department of Agriculture-Farmers Home Administration (December 1989 Revision) issued by the office of Inspector General. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the Financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Grifton Housing Associates, A NC Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. Schedule 11111 on page 15 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Certified Public Accountants February 15, 1996 LOUIS YOUNG C.P.A. INC. LOUIS YOUNG, CPA JASON LIAO, CPA 2630 E. ASHLAN, FRESNO, CALIFORNIA 93726 (209) 224-5141 INDEPENDENT AUDITOR'S REPORT The Partners Hacienda Villa Associates Firebaugh, California We have audited the accompanying balance sheet of Hacienda Villa Associates (A Limited Partnership) as of December 31, 1995, and the related statements of operations, partners' capital and cash flows f or the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hacienda Villa Associates (a Limited Partnership) as of December 31, 1995, and the results of its operations and its cash flows for the year then ended, in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 14 and 15 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Louis Young CPA Inc. Fresno, California February 15, 1996 GTNunez & associates Certified Public Accountants INDEPENDENT AUDITOR'S REPORT To the Partners Rural Economic & Community Development Haines City Apartments, Ltd. 1137 Old 441, Suite 2 Haines City, Florida Mt. Dora, Florida We have audited the accompanying statement of financial position of Haines City Apartments, Ltd., A Limited Partnership, FmHA project No. 09-053- 592863437, as of December 31, 1995, and the related statement of operations, partners' equity, and cash flows for the year then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. The financial statements of Haines City Apartments, Ltd. as of December 31, 1994, were audited by other auditors whose report dated January 14, 1995, expressed as unqualified opinion of those statements. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Haines City Apartments, Ltd., A Limited Partnership, at December 31, 1995 and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 26, 1996 on our consideration of Haines City Apartments, Ltd., internal control structure and a report dated January 26, 1996 on its compliance with laws and regulations. January 26, 1996 713 Jones Avenue, Haines City, FL 33844 TEL: (941) 422-4861 FAX: (941) 421-9839 McGEE & Associates, P.C. Certified Public Accountants Independent Auditors' Report To the Partners Kristin Park Apartments, Ltd. and Rural Economic Community Development We have audited the accompanying balance sheets of Kristin Park Apartments, Ltd. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Kristin Park Apartments, Ltd. as of December 31, 1995 and 1994, and the results of its operations and the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 18, 1996, on our consideration of the Partnership's internal control structure and a report dated January 18, 1996, on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information included in the report is presented for purposes of additional analysis and is not a required part of the financial statements of Kristin Park Apartments, Ltd. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. January 18, 1996 Farmington, New Mexico BERRY, DUNN, McNEIL & PARKER CERTIFIED PUBLIC ACCOUNTANTS MANAGEMENT CONSULTANTS 100 Middle Street / P.O. Box I 100, Portland, Maine 04104-1100 / (207) 775- 2387 FAX (207) 774-2375 INDEPENDENT AUDITORS' REPORT The Partners Longmeadow Housing Associates We have audited the accompanying balance sheets of Longmeadow Housing Associates, a limited partnership, RECD Case No. 23-013-010439880, as of December 31, 1995 and 1994, and the related statements of operations and partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards (1994 Revision) issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Longmeadow Housing Associates, a limited partnership, as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplementary information on pages 15 and 16 is presented solely for the use of Rural Economic and Community Development and is not a required part of the basic financial statements. This supplementary information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Offices in: Bangor, Maine Portland, Maine Lebanon, New Hampshire Manchester, New Hampshire The Partners Longmeadow Housing Associates page 2 In accordance with Government Auditing Standards, we have issued reports dated January 19, 1996, on our considerations of Longmeadow Housing Associates' internal control structure and its compliance with laws and regulations. Portland, Maine January 19, 1996 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Meadow Run Limited Partnership We have audited the accompanying balance sheets of Meadow Run Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Meadow Run Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in inion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 11, 1996 Savannah, Georgia TOSKI, SCHAEFER & CO., P.C. CERTIFIED PUBLIC ACCOUNTANTS 555 INTERNATIONAL DRIVE WILLIAMSVILLE, NEW YORK 14221 TELEPHONE (716) 634-0700 FAX 1716) 634-0764 INDEPENDENT AUDITOR'S REPORT The Partners Newfane Senior Limited Partnership: We have audited the accompanying balance sheets of Newfane senior Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Newfane Senior Limited Partnership as of December 31, 1995 and 1994 and the results of its operations, changes in partners, equity and cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Williamsville, New York January 13, 1996 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA. Alton R. Gower, Jr., CPA The Partners Old Stage Road Associates Limited Partnership Fayetteville, NC Gentlemen: We have audited the accompanying balance sheets of Old Stage Road Associates Limited Partnership, Fayetteville, North Carolina (a North Carolina limited partnership), FMHA Project No.: 38-078-561645244, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Old Stage Road Associates Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Old Stage Road Associates Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 26, 1996 WILLIAM JEFFERSON COLE,C.P.A. COLE, EVANS & PETERSON A,WILLIAM PETERSON,C.PA. CERTIFIED PUBLIC ACCOUNTANTS CAROL T. BARNES, C.P.A. Fifth floor Travis Place C, WILLIAM GERARDY, JR.,C.P. A. Post office Drawer 1768 BARRY S. SHIPP, C.P.A. Shreveport, Louisiana 71166-1768 STEVEN W. HEDGEPETH, C.P.A. STEVEN R. BAYER, C.P A. January 23, 1996 GWENDOLYN H. HARJU, C.P.A. TIMOTHY R. OURR, C.P.A. R. STEPHEN TILLEY, C.P.A. BAILEY S. SAYNHAM, C.P.A. JOHN A. CASKEY, C.P.A. ROBERT A. BUSBY, C. P, A. DEBORAH N. SHIVERS, C.P.A. JUDY E. MONCRIEF, C.P.A. ANNE-MARIE COLE CAIN,C.P.A. TIMOTHY W. BORST, C. P.A. RAYNELLE H. THOMPSON, C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC D. SMITH, C.P.A. PETER R. MOORE, C. P A. TELEPHONE (318) 222-8367 TELECOPIER (318) 425-4101 INDEPENDENT AUDITORS' REPORT To the Partners Pleasanton, Ltd. Mansfield, Louisiana We have audited the accompanying balance sheets of Pleasanton, Ltd. at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Pleasanton, Ltd. at December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Cole, Evans & Peterson OTIS, ATWELL & TIMBERLAKE Professional Association Certified Public Accountants James C. Otis, CPA., CFP 980 Forest Avenue Stephen W AtwelL CPA. Portland, Maine 04103 Fred I. Tunberlake, C.PA. (207) 797-0990 Bruce E. Fritzson, CPA. FAX (207) 797-8618 Thomas J. Gioia, CPA. INDEPENDENT AUDITOR'S REPORT To the Partners Putney First Limited Partnership We have audited the accompanying balance sheets of Putney First Limited Partnership, RECD Case No. 53-013-010451705, as of December 31, 1995 and 1994, and the related statements of income, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Putney First Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 30, 1996 on our consideration of Putney First Limited Partnership's internal control structure and a report dated January 30, 1996 on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying additional information on page 13 is presented solely for the use of Rural Economic and Community Development and is not a required part of the basic financial statements. The additional information presented on page 13 has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Certified Public Accountants January 30, 1996 Portland, Maine THOERNER & TOMA CERTIFIED PUBLIC ACCOUNTANTS 17752 MITCHELL NORTH - SUITE D IRVINE CA 927144802 TEL (714) 863-9900 FAX (714) 863-9926 INDEPENDENT AUDITORS' REPORT To the Partners Raitt Street Apartments, A California Limited Partnership Santa Ana, CA We have audited the accompanying balance sheet of Raitt Street Apartments, A California Limited Partnership as of December 31, 1995, and the related statements of operations, partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Raitt Street Apartments, A California Limited Partnership as of December 31, 1995, and the results of its operations, the changes in partners' equity and cash flows for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 6 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. April 4, 1996 THOERNER & TOMA CERTIFIED PUBLIC ACCOUNTANTS 17752 MITCHELL NORTH - SUITE D IRVINE CA 92714-6802 TEL (714) 863-9900 FAX (714) 863-9926 INDEPENDENT AUDITORS' REPORT To the Partners Raitt Street Apartments, A California Limited Partnership Santa Ana, CA We have audited the accompanying balance sheet of Raitt Street Apartments, A California Limited Partnership as of December 31, 1994, and the related statements of operations, partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Raitt Street Apartments, A California Limited Partnership as of December 31, 1994, and the results of its operations, the changes in partners' equity and cash flows for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 6 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. March 22, 1995 Virchow, Krause & Company, LLP Certified Public Accountants & Consultants INDEPENDENT AUDITORS' REPORT To the Partners School Street Limited Partnership II Madison, Wisconsin We have audited the accompanying balance sheet of School Street Limited Partnership II as of December 31, 1995, and the related statements of loss, partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of School Street Limited Partnership 11 as of December 31, 1995, and the results of its operations, changes in partners' equity and cash flows for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information found on page 12, included in the report, is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is presented fairly in all material respects in relation to the basic financial statements taken as a whole. Page 1 To the Partners School Street Limited Partnership II The financial statements of School Street Limited Partnership 11 for the year ended December 31, 1994 were audited by other accountants, whose report dated January 24, 1995 stated that they were not aware of any material modifications that should be made to those statements in order for them to be in conformity with generally accepted accounting principles. VIRCHOW, KRAUSE & COMPANY, LLP Madison, Wisconsin January 18, 1996 Page 2 BENDER WELTMAN, THOMAS & CO. Certified Public Accountants 12655 Olive Blvd. Suite 235 St. Louis, Missouri 63141 (314) 576-1350 Fax (314) 576-9650 William J. Bender Joel W. Welthan James E. Thomas Gerald D. Magruder INDEPENDENT AUDITORS' REPORT To the Partners South Paris Heights Associates (A Limited Partnership) We have audited the accompanying balance sheets of South Paris Heights Associates (A Limited Partnership) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of South Paris Heights Associates (A Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations, and its cash flows for the years then ended in conformity with generally accepted accounting principles. Bender, Welthan, Thomas & Co., CPAs January 25, 1996 BAKER, NEWMAN & NOYES Limited Liability Company Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners South Paris Heights Associates (A Limited Partnership) We have audited the accompanying balance sheets of South Paris Heights Associates (A limited Partnership) as of December 31, 1994, and the related statements of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted out audits in accordance with generally accepted standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of South Paris Heights Associates (A Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations, and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 16,1996 on our consideration of the internal control structure of the Partnership and a report dated February 16, 1996 on its compliance with laws and regulations. Page 1 To the Partners South Paris Heights Associates (A Limited Partnership) Page Two Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying additional information is presented solely for the use of the Farmers Home Administration and is not a required part of the basic financial statements. Part I of the Multiple Family Housing Borrower Balance Sheet, Form FMHA 1930-8 and Column 2 (Actual), Parts 1, II and III of the Multiple Family Housing Project Budget, Form FMHA 1930-7, have been subjected to the auditing procedures applied in our audits of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. We have not audited Parts IV, V, and VI, and Columns 1 and 3 (Current Budget and Proposed Budget) of Parts 1, II and III of Form FMHA 1930-7, and, accordingly, express no opinion thereon. February 16, 1996 Limited Liability Company TOSKI, SCHAEFER & CO., P.C. CERTIFIED PUBLIC ACCOUNTANTS 555 INTERNATIONAL DRIVE WILLIAMSVILLE, NEW YORK 14221 TELEPHONE (716) 634-0700 FAX (716) 634-0764 INDEPENDENT AUDITOR'S REPORT The Partners Southwestern Limited Partnership: We have audited the accompanying balance sheets of Southwestern Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Southwestern Limited Partnership as of December 31, 1995 and 1994 and the results of its operations, changes in partners, equity and cash flows for the years then ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued reports dated January 12, 1995 on our consideration of the Partnership's internal control structure and on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Williamsville, New York January 12, 1996 CHRISTENSEN, RUCKI & CO. Certified Public Accountants 109 South Main Street Sheridan, Wyoming 82801 John P. Craff, C.P.A. 1922-1974 J. Gordon Macallster, C.P.A. 1916-1975 Curtis W. Christensen, C.P.A. Steven W. Rucki, C.P.A. Telephone Sherdian (307) 674-6609 Fax# (307) 674-7017 INDEPENDENT AUDITORS' REPORT To the Partners Sunshine Apartments, A Limited Partnership Sheridan, Wyoming 82801 We have audited the accompanying balance sheets of Sunshine Apartments, A Limited Partnership, as of December 31, 1995 and 1994 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of Sunshine Apartments, A Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Sunshine Apartments, A Limited Partnership as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 31, 1996 on our consideration of Sunshine Apartments, A Limited Partnership's internal control structure and a report dated January 31, 1996 on its compliance with laws and regulations. The accompanying supplementary information shown on page 15 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Christensen, Rucki & Co. Certified Public Accountants Sheridan, Wyoming January 31, 1996 THOMAS C. CUNNINGHAM, CPA PC 23 MOORE STREET BRISTOL, VIRGINIA 24201 (540) 669-5531 (540) 669-5576 fax INDEPENDENT AUDITOR'S REPORT To the Partners Tappahannock Greens Limited Partnership I have audited the accompanying balance sheets of Tappahannock Greens Limited Partnership, FMHA Case No.: 54-036-0541621981, as of December 31, 1995 and 1994, and the related statements of operations for the year ended December 31, 1995 and for the period May 11, 1994 to December 31, 1994 and the related statements of partners' equity and cash flows for the years ended December 31, 1995 and 1994. These financial statements are the responsibility of the Partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Tappahannock Greens Limited Partnership, as of December 31, 1995 and 1994 and the results of its operations for the year ended December 31, 1995 and for the period May 11, 1994 to December 31, 1994 and cash flows for the years ended December 31, 1995 and 1994 in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 15 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Thomas C. Cunningham, CPA PC Bristol, Virginia February 15, 1996 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA Alton R. Gower, Jr., CPA INDEPENDENT AUDITORS' REPORT The Partners Twin Oaks Associates Limited Partnership Fayetteville, North Carolina Gentlemen: We have audited the accompanying balance sheets of Twin Oaks Associates Limited Partnership, Fayetteville, North Carolina (a North Carolina limited partnership), FMHA Project No.: 38-047-561642422, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Twin Oaks Associates Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statement referred to above present fairly, in all material respects, the financial position of Twin Oaks Associates Limited Partnership, Fayetteville, North Carolina, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 26, 1996 SMITH, MILES & COMPANY, L.C. CERTIFIED PUBLIC ACCOUNTANTS 1230 Airport Road P.O. Box 1177 PANAMA CITY, FLORIDA 32402 Phone (904) 785-0261 Fax: (904) 785-0263 INDEPENDENT AUDITORS' REPORT To the Partners Village Oaks Apartments II, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Village Oaks Apartments, II, Ltd., FMHA Project No: 09-061-0592884971, as of December 31, 1995 and 1994, and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Village Oaks Apartments II, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida January 26, 1996 HOWE AND ASSOCIATES, PC CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 10, 1996 INDEPENDENT AUDITOR'S REPORT Partners WARRENSBURG ESTATES, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Governmental Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates, PC Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 o Dunn, North Carolina 28335 0 (910) 892-6001 P.O. Box 1568 0 Lillington, North Carolina 27546 a (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA Alton R. Gower, CPA INDEPENDENT AUDITORS' REPORT The Partners Twin Oaks Associates Limited Partnership Fayetteville, North Carolina Gentlemen: We have audited the accompanying balance sheet of Twin Oaks Associates Limited Partnership, Fayetteville, North Carolina (a North Carolina limited partnership), FMHA Project No.: 38-047-561642422, as of December 31, 1993 and 1992, and the related statement of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Twin Oaks Associates Limited Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Twin Oaks Associates Limited Partnership, Fayetteville, North Carolina, as of December 31, 1993 and 1992, and the results of its operations, the changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 13 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic fmancial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 25, 1994 BCC Braunsdorf, Carlson and Clinkinbeard Certified Public Accountants A Professional Association 990 SW Fairlawn/ Topeka, Kansas 66606-2384/ (913) 272-3176 Fax (913) 272-2903 DAVID L. BRAUNSDORF. CPA GARY D. BASOM, CPA GERRY F. CkRLSON, CPA MARGE S. CARLSON, CPA STEVE CLINKINBEKRD. CPA DOUGLAS W. GLENN, CPA DAVID N. ALLISON, CPA ROYCE C. JANSSEN, CPA MICHEAL E. RUHLMAN,CPA CHERYL J. PAGE D. THAD SULLIVAN, CPA DENISE J. PETTERSON KIRK W. WIESNER, CPA MICHEAL D. SCHIRMER, CPA EDWARD D. FENTON, PRINCIPAL JAMES R. SHOWALTER, CPA DOUGLAS K. STACKEN, ISC INDEPENDENT AUDITORS' REPORT To the Partners Cedar Rapids Housing Associates Limited Partnership We have audited the accompanying balance sheets of Cedar Rapids Housing Associates Limited Partnership as of December 31, 1993 and 1992, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cedar Rapids Housing Associates Limited Partnership as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-13 - I-14 is presented for the purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected @@o the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Braunsdorf, Carlson and Clinkinbeard, CPA'S, P.A. Topeka, Kansas January 12, 1994 93747A Members of the American Institute of Certified Public Accountants Harcourt Brace Professional Publishing CPA Digest 50 Award 1993 - 1992 - 1991 SMITH, MILES & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS 1230 AIRPORT ROAD P.O. BOX 1177 PANAMA CITY, FLORIDA 32402 (904) 785-0261 INDEPENDENT AUDITORS' REPORT To the Partners Village Oaks Apartments II, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Village Oaks Apartments, II, Ltd., FMHA Project No: 09-061-0592884971, as of December 31, 1993 and 1992, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Village Oaks Apartments II, Ltd., as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida January 28, 1994 STANCIL & COMPANY INDEPENDENT AUDITORS' REPORT To the Partners of Quail Hollow of Warsaw Limited Partnership Raleigh, North Carolina We have audited the balance sheets of Quail Hollow of Warsaw Limited Partnership as of December 31, 1995 and 1994 and the related statements of loss, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Quail Hollow of Warsaw Limited Partnership as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 9, 1996 on our consideration of Quail Hollow of Warsaw Limited Partnership's internal control structure and a report dated February 9, 1996 on its compliance with laws and regulations. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 11 through 16 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Raleigh, North Carolina February 9, 1996 Certified Public Accountants Management Consultants 1055 Dresser Court, Raleigh, North Carolina 27609, Tel: 919/872-1260 Fax: 919/872-6182 JACK M. STANCIL * REGINALD L. DUPREE * DAVID W. McKINNEY * HENRY L. WHITE SVA SUBY, VON HADEN & ASSOCIATES, S.C. Certified Public Accountants Business Management Consultants INDEPENDENT AUDITORS' REPORT To the Partners School Street Limited Partnership II Madison, Wisconsin We have audited the accompanying balance sheets of School Street Limited Partnership II as of December 31, 1994 and 1993, and the related statements of loss, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of School Street Limited Partnership II as of December 31, 1994 and 1993, and the results of its operation, partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. January 24, 1995 1221 John Q. Hammons Dr. * P.O. Box 44966 * Madison, WI 53744-4966 (608) 831-8181 * Fax (608) 831-4243 * Madison * Milwaukee * Rockford SVA SUBY, VON HADEN & ASSOCIATES, S.C. Certified Public Accountants Business Management Consultants INDEPENDENT AUDITORS' REPORT To the Partners School Street Limited Partnership II Madison, Wisconsin We have audited the accompanying balance sheets of School Street Limited Partnership 11 as of December 31, 1993, and the related statements of loss, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of School Street Limited Partnership 11 as of December 31, 1993, and the results of its operation, partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. January 20, 1994 1221 John Q. Hammons Dr. * P.O. Box 44966 * Madison, WI 53744-4966 (608) 831-8181 * Fax (608) 831-4243 * Madison * Milwaukee * Rockford DAUBY O'CONNOR & ZALESKI A Limited Liability Company Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners Pedcor Investments 1989-VIII, L.P. We have audited the accompanying balance sheets of Pedcor Investments 1989- III, L.P. as of December 31, 1995 and 1994, and the related statements of loss, partners; equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on out audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Pedcor Investments 1989-VIII, L.P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. The accompanying information is presented for additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the same auditing procedures applied in the audits of the basic financial statements and, in our opinion, is presented fairly in all material respects in relation to the basic financial statements taken as a whole. DAUBY O'CONNOR & ZALESKI. LLC Certified Public Accountants Indianapolis, Indiana January 8, 1996 BURKE & REA Certified Public Accountants Edward T. Burke, C.P.A. Bernard E. Rea, C.P.A. INDEPENDENT AUDITORS' REPORT To the Partners Maywood Associates, Ltd. (A California Limited Partnership) Cheyenne, WY We have audited the accompanying balance sheets of Maywooe Associates, Ltd. (A California Limited Partnership), FmHA case No. 04-052-680184284, as of December 31, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on out audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Maywood associates, Ltd. (A California Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated March 8, 1996 on our consideration of Maywood Associates, Ltd.'s internal control structure and a report dated March 8, 1996 on its compliance with laws and regulations. BURKE & REA Stockton, California March 8, 1996 PO BOX 4632 STOCKTON,CA 95204 TELEPHONE 209/933-9113 FAX 209/933-9115 SMITH, MILES & COMPANY, L.C. Certified Public Accountants 1230 Airport Road P.O. Box 1177 Panama City, Florida 32402 Phone: (904) 785-0261 Fax (904) 785-0263 INDEPENDENT AUDITORS' REPORT To the Partners Fountain Green Apartments, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Fountain Green Apartments, Ltd., FmHA case No. 09-46-592948719, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on out audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Fountain Green Apartments, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purpose of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedure applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. SMITH, MILES & COMPANY, L.C. Panama City, Florida January 25, 1886 David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Autumn Lane Limited Partnership we have audited the accompanying balance sheets of Autumn Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Autumn Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and- is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied, in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 11, 1996 Savannah, Georgia Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 / Dunn, North Carolina 28335 / (910) 892-6001 P.O. Box 1568 / Lillington, North Carolina 27546 / (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA. Alton R. Gower. Jr., CPA Independent Auditors' Report - ---------------------------- The Partners Baytree Associates Limited Partnership We have audited the accompanying balance sheets of Baytree Associates Limited Partnership (a North Carolina Limited Partnership), as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants BRADLEY, SNIPES, GOWER & ASSOCIATES, PA Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Baytree Associates Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 18, 1996 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA Alton R. Gower, Jr., CPA Independent Auditors' Report The Partners Benchmark Associates Limited Partnership We have audited the accompanying balance sheets of Benchmark Associates Limited Partnership (a North Carolina Limited Partnership), as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants Bradley, Snipes, Gower & Associates, P.A. Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Benchmark Associates Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 18, 1996 THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John. Gautreau, II, CPA* J. Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report - ---------------------------- To the Partners of Brentwood Partnership We have audited the accompanying balance sheets of Brentwood Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Brentwood Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Brentwood Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 DANIEL G. DRANE CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITOR'S REPORT To the Partners Butler Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Butler Properties, Ltd. (a Kentucky limited partnership), RECDS Project No.: 20-016-0611166123, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Butler Properties, Ltd., as f December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Daniel G. DRANE Certified Public Accountant March 19, 1996 DONALD W. CAUSEY, CPA, P.C. Certified Public Accountant P.O. BOX 775 516 WALNUT STREET GADSDEN, ALABAMA 35902 Telephone (205) 543-3707 INDEPENDENT AUDITOR'S REPORT To the Partners Candlewick Place, Ltd. Monroeville, Alabama I have audited the accompanying balance sheets of Candlewick Place, Ltd.. a limited partnership, RECD Project No.: 01-050-631017825 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the, years then ended. These financial statements are the responsibility, of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted the audits in accordance %with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that the audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Candlewick Place, Ltd., RECD Project No.: 0 1 -050-631017825 as of December 3 1, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. The audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 9 through 11 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The supplemental info- rmation presented in the Year End Report and Analysis (Form RECD 1930-8) Parts I through III for the year ended December 31, 1995 and 1994, is presented for purposes of complying with the requirements of the Rural Economic Community Development and is also not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and. in my opinion is fairly stated in all material respects in relation to the basic financial statements taken as a whole. DONALD W. CAUSEY, CPA, P.C. Certified Public Accountant Page 2 In accordance with Government Au Standards, I have also issued a report dated March 4. 1996 on my consideration of Candlewick Place, Ltd., internal control structure and a report dated March 4, 1996 on its compliance with laws and regulations. March 4. 1996 DONALD W. CAUSEY, CPA, P.C. Certified Public Accountant P.O. BOX 775 516 WALNUT STREET GADSDEN, ALABAMA 35902 Telephone (205) 543-3707 INDEPENDENT AUDITOR'S REPORT To the Partners Cedarstone Apartments, Ltd. Poplarville, Mississippi I have audited the accompanying balance sheets of Cedarstone Apartments, Ltd., a limited partnership, RECD Project No.: 28-055-026239203 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. The financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted the audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material n-misstatement. An audit includes 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. I believe that the audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cedarstone Apartments, Ltd., RECD Project No.: 28-055-026239203 as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. The audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 9 through 11 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The supplemental information presented in the Year End Report and Analysis (Form RECD 1930-8) Parts I through III for the year ended December 31, 1995 and 1994, is presented for purposes of complying with the requirements of the Rural Economic Community Development and is also not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in my opinion is fairly stated in all material respects in relation to the basic financial statements taken as a whole. DONALD W. CAUSEY, CPA, P.C. Certified Public Accountant Page 2 In accordance with Government Auditing Standards, I have also issued a report dated January 22, 1996. on my consideration of Cedarstone Apartments, Ltd., internal control structure and a report dated January 22, 1996. on its compliance with laws and regulations. January 22, 1996. Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA, Alton R. Gowcr, Jr., CPA Independent Auditors' Report The Partners Cloverleaf Associates Limited Partnership Fayetteville, North Carolina We have audited the accompanying balance sheets of Cloverleaf Associates Limited Partnership (a North Carolina limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' deficit, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cloverleaf Associates Limited Partnership, Fayetteville, North Carolina as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' deficit and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 13 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 26, 1996 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA, Alton R. Gower, Jr., CPA Independent Auditors' Report The Partners Cloverleaf Associates - Phase II Limited Partnership Fayetteville, North Carolina We have audited the accompanying balance sheets of Cloverleaf Associates - Phase II Limited Partnership (a North Carolina Limited Partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' deficit and cash flows for the years then ended. These financial statements are the responsibility of the Cloverleaf Associates - Phase II Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cloverleaf Associates - Phase 11 Limited Partnership as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' deficit and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 26, 1996 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Ellaville Properties Limited Partnership We have audited the accompanying balance sheets of Ellaville Properties Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Ellaville Properties Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in @r opinion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 12, 1996 Savannah, Georgia DAVID G. PELLICCIONE, C.P.A., P. C. Post Office Box I Savannah, Georgia 31402 Delivery Address 202 East Liberty Street Savannah, Georgia 31401 Telephone (912) 234 -1999 Fax (912) 234-0139 INDEPENDENT AUDITORS' REPORT To The Partners Great Falls Limited Partnership We have audited the accompanying balance sheets of GREAT FALLS LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of GREAT FALLS LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Savannah, Georgia February 24, 1995 DANIEL G. DRANE CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITOR'S REPORT To the Partners Hart Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Hart Properties, Ltd. (a Kentucky limited partnership), RECDS Project No.: 20-050-611135226, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes ex@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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hart Properties, Ltd., as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity@ with generally accepted accounting principles. Daniel G. DRANE Certified Public Accountant March 19, 1996 BYRD, SMALLEY, EVANS, ADAMS & JOHNSON, P.C. Certified Public Accountants Telephone (205) 353-1611 Facsimile (205) 353-1578 237 Johnson Street S.E. Post Office Box 2179 Decatur, AL 35602-217 Independent Auditor'S Report To the Partners Housing Investors, Athens II, LTD. Decatur, Alabama We have audited the accompanying balance sheets of Housing Investors Athens II, Ltd (a partnership) as of December 31, 1994 and 1993, and the related statements of operations, partners capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audit in accordance with generally accepted auditing standards, and Government@ Auditing Standards, issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A-133 "Audits of Higher Education and Other Nonprofit Institutions." Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Housing Investors Athens II, Ltd., as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. BYRD, SMALLEY, EVANS, ADAMS & JOHNSON, P.C. Certified Public Accountants Page 2 Our audit was made for the purpose of forming an opinion on the basic f financial statements taken as a whole. The accompanying supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. March 6, 1995 Member: American Institute of Certified Public Accounting HOWE & ASSOCIATES, PC CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 18, 1996 INDEPENDENT AUDITOR'S REPORT Partners IRONTON ESTATES, LP Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates, PC THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, II, CPA* J.Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA Independent Auditors' Report To the Partners of Lambert Square, L. P. we have audited the accompanying balance sheets of Lambert Square, L. P. (A Mississippi Limited Partnership) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lambert Square, L. P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Lambert Square, L. P. Is internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 * Dunn, North Carolina 28335 * (910) 892-6001 P.O. Box 1568 * Lillington, North Carolina 27546 * (910) 893-6026 Russell W. Bradley , CPA Larry D. Snipes, CPA. Alton R. Gower, Jr., CPA Independent Auditors' Report The Partners Longview Associates Limited Partnership We have audited the accompanying balance sheets of Longview Associates Limited Partnership (a North Carolina Limited Partnership), as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of Longview Associates Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Longview Associates Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, and the changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P. A. Dunn, North Carolina January 18, 1996 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Meadowbrook Properties II Limited Partnership We have audited the accompanying balance sheets of Meadowbrook Properties II Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Meadowbrook Properties II Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in @our opinion is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A., P . C. March 12, 1996 Savannah, Georgia DANIEL G. DRANE CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITOR'S REPORT To the Partners Morgantown Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Morgantown Properties, Ltd. (a Kentucky limited partnerships, RECDS Project No.: 20-016-0611149787, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Morgantown Properties, Ltd., as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Daniel G. Drane Certified Public Accountant March 19, 1996 DAUBY O'CONNOR & ZALESKI, LLC Certified Public Accountants Independent Auditors' Report To the Partners Pedcor Investments 1989-X, L.P. We have audited the accompanying balance sheets of Pedcor Investments 1989-X, L.P. as of December 31, 1995 and 1994, and the related statements of loss, partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Pedcor Investments 1989-X, L.P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. The accompanying information is presented for additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the same auditing procedures applied in the audits of the basic financial statements and, in our opinion, is presented fairly in all material respects in relation to the basic financial statements taken as a whole. Indianapolis, Indiana Dauby O'Connor & Zaleski LLC January 16, 1996 Certified Public Accountants THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, 11, CPA' J.Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Pinetree Manor, L. P. We have audited the accompanying balance sheets of Pinetree Manor, L. P. (A Mississippi Limited Partnership) , as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Pinetree Manor, L. P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Pinetree Manor, L. P. IS internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge,Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Rosewood Village Limited Partnership We have audited the accompanying balance sheets of Rosewood Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Rosewood Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 11, 1996 Savannah, Georgia KOSTIN, RUFFKESS & COMPANY, LLC CERTIFIED PUBLIC ACCOUNTANTS 345 North Main Street West Hartford, CT 06117-1783 Jerold M. Gold, CPA Lawerence Marziale, CPA Joseph W. Sparveri, Jr., CPA Peter K. Askham, CPA John L. Evanich, Jr., CPA Richard V. Kretz, CPA Edmund S. Kindelan, CPA Micheal T. Novosel, CPA John S. Pavlik, CPA Kimberly O. Nardone, CPA Nathan A. Sigal, CPA Amy H. Gottesdiener, CPA To the Partners South Farm Limited Partnership RIHMFC #HIP-023 INDEPENDENT AUDITORS' REPORT We have audited the accompanying balance sheet of South Farm Limited Partnership, as of March 31, 1996, and the related statements of income and expense, changes in partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Project'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, and Government Auditing Standards., issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material Misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of South Farm Limited Partnership at March 31, 1996, and the results of its operations and cash flows for the year then ended, in conformity with generally accepted accounting principles. KOSTIN, RUFFKESS & COMPANY, LLC CERTIFIED PUBLIC ACCOUNTANTS Page 2 In accordance with Government Auditing Standards and the Consolidated Audit Guide for Audits of HUD Programs, issued by the U.S. Department of Housing and Urban Development, we have also issued a report dated June 4, 1996 on our consideration of South Farm Limited Partnership's internal control structure and a report dated June 4, 1996 on its compliance with laws and regulations. Our audit was made for the purpose of forming an opinion on the financial statements taken as a whole. The supplementary information contained in Schedules 1 through 19 is presented for the purpose of additional analysis and is not a required part of the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the f financial statements and, in our opinion, the supplementary information is fairly presented in all material respects in relation to the basic financial statements taken as a whole. West Hartford, Connecticut June 4, 1996 HOWE & ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 12, 1996 INDEPENDENT AUDITOR'S REPORT Partners STOCKTON ESTATES, LP Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates JAMES KNUTZEN & ASSOCIATES, C.P.A.'s, PA. SUITE 230 3100 UNIVERSITY BOULEVARD SOUTH JACKSONVILLE, FLORIDA 32216 (904) 725-5832 FAX (904) 727-6835 James KNUTZEN. C.P.A., M.B.A. Christina E. Gibson. C.P.A. Raju lyer. C.P.A. Gregory Korn. C.P.A Todd Middlemas. C.P.A Wilson Trammell. C.P.A Member OF AMERICAN AND FLORIDA INSTITUTES OF CERTIFIED PUBLIC ACCOUNTING INDEPENDENT AUDITORS' REPORT To the Partners of Summer Glen of Immokalee, Ltd. We have audited the accompanying balance sheets of Summer Glen of Immokalee, Ltd. (a Florida Limited Partnership), FMHA Project No. :09-011-593009333 as of December 31, 1995 and 1994, and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 f financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Summer Glen of Immokalee, Ltd. (a Florida Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations, partners' equity, and cash flows for the years then ended in conformity with generally accepted accounting principles. JAMES KNUTZEN & ASSOCIATES C.P.A's, PA. To the Partners of Summer Glen of Immokalee, Ltd. Page Two In accordance with Government Auditing Standards, we have also issued a report dated February 15, 1996 on our consideration of Summer Glen of Immokalee, Ltd. Is internal control structure and a report dated February 15, 1996 on its compliance with laws and regulations. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information on pages 14 - - 19 is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. JAMES KNUTZEN & Associates, C.P.A.'s, P.A. Jacksonville, Florida February 15, 1996 Ludvigson, Braun & Co. ACCOUNTANTS AND AUDITORS 117 NW 3rd Street PO. Box 845 Valley City, North Dakota 58072-0845 Telephone: (710) 845-1457 Facsimile: (701) 845-8003 R.B. Ludvigson, CPA (Retired) Raymond J. Braun, LPA Muriel G. Haugen, CPA Comia E. Winkler CPA JoAnn R. Zerface, CPA INDEPENDENT AUDITORS' REPORT To the Partners Washington Heights IV, A Limited Partnership Bismarck, North Dakota We have audited the accompanying balance sheets of Washington Heights IV, A Limited Partnership, as of December 31, 1995 and 1994 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Washington Heights IV, A Limited Partnership as of December 31, 1995 and 1994 and the results of its operations, the changes in partners' equity, and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 10 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Valley City, North Dakota January 26, 1996 BERRY, DUNN, McNEIL & PARKER CERTIFIED PUBLIC ACCOUNTANTS MANAGEMENT CONSULTANTS INDEPENDENT AUDITORS' REPORT The Partners Woodside Housing Associates We have audited the accompanying balance sheets of Woodside Housing Associates, a limited partnership, RECD Case No. 23-01-010439878, as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards (1994 Revision) issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Woodside Housing Associates, a limited partnership, as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplementary information on pages 14 through 15 is presented solely for the use of Rural Economic and Community Development and is not a required part of the basic financial statements. In accordance with Government Auditing Standards, we have issued reports dated January 24, 1996, on our consideration of Woodside Housing Associates' internal control structure and its compliance with laws and regulations. Portland, Maine January 24, 1996 Offices in: Bangor, Maine Portland, Maine Lebanon, New Hampshire Manchester, New Hampshire LUDVIGSON, BRAUN & CO. Accountants and Auditors Foss Building Valley City, North Dakota 58072-0845 R. S. LUDVIGSON, CPA (Retired) RAYMOND J. BRAUN, CPA CONNIE E. WINKLER, CPA ARLIE A. BRAUNBERGER, CPA JAMES M. LOCHOW. CPA MURIEL HAUGEN. CPA JOANN ZERFACE, CPA INDEPENDENT AUDITORS' REPORT To the Partners Washington Heights IV, A Limited Partnership Bismarck We have audited the accompanying balance sheets of Washington Heights IV, A Limited Partnership, as of December 31, 1994 and 1993 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Washington Heights IV, A Limited Partnership as of December 31, 1994 and 1993 and the results of its operations, the changes in partners' equity, and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 10 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Valley City, North Dakota January 31, 1995 DONALD W. CAUSEY, CPA, P.C. CERTIFIED PUBLIC ACCOUNTANT P.O.Box 775 516 Walnut Street Gadsden, Alabama 35902 TELEPHONE (205) 543-3707 Fax (205) 543-9800 INDEPENDENT AUDITOR'S REPORT To the Partners Candlewick Place, Ltd. Monroeville, Alabama I have audited the accompanying sheets of Candlewick Place, Ltd., a Limited Partnership, FMHA Project No.: 01-050-631017825 as of December 31, 1993 and 1992, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the partners management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted the audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement . An audit includes 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. I believe that the audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Candlewick Place, Ltd., FmHA Project No.: 01-050-631017825 as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. The audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 9 through 11 is presented for purposes of additional analysis and is not a required part of the basic Financial statement. The supplemental information presented in the Year End Report and Analysis (Form FMHA 1930-8 Parts I through ][I for the years ended December 31, 1993 and 1992, is presented for purposes of complying with the requirements of the Farmers Home Administration and is also not a required part of the basic Financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in my opinion is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 15, 1994 (except for Note E, as to which the date is March 25, 1994) EDMUND A. RESTIVO, Jr. LTD. CERTIFIED PUBLIC ACCOUNTANT INDEPENDENT AUDITOR'S REPORT To The Partners North Connecticut Avenue Limited Partnership Boston, MA I have audited the accompanying balance sheets of North Connecticut Avenue Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' equity, and cash flows for the years then ended, These financial statements are the responsibility of North Connecticut Avenue Limited Partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audit in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audit provides a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of North Connecticut Avenue Limited Partnership as of December 31, 1995 and 1994, and the results of its operations, changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included in the report (shown on pages 15 to 16) is presented for purposes of additional analysis and is not a required part of the basic financial statements of North Connecticut Avenue Limited Partnership. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in my opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. June 18, 1996 The Wilcox Building Penthouse Suite 42 Weybosset Street Providence, Rhode Island 02903 Telephone 401-331-0210 Fax 401-421-6799 BURKE & REA Certified Public Accountants Edward T. Burke, C.P.A. Bernard E. Rea, C.P.A. INDEPENDENT AUDITORS' REPORT To the Partners Madiu Properties (A California Limited Partnership) Rocklin, California We have audited the accompanying balance sheets of Maidu Properties (A California Limited Partnership), as of December 31, 1995 and 1994, and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion o these financial statements based on out audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Maidu Properties (A California Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information for the years ended December 31, 1995 and 1994, on pages 13 and 14, is presented for purpose of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. BURKE & REA Stockton, California April 3, 1996 BYRD, SMALLEY, EVANS, ADAMS & JOHNSON, P.C. Certified Public Accountants Telephone (205) 353-1611 Facsimile (205) 353-1578 237 Johnston Street S.E. Post Office Box 2179 Decatur, AL 35602-2179 INDEPENDENT AUDITORS' REPORT To the Partners Housing Investors, Athens II. Ltd. Decatur, Alabama We have audited the accompanying balance sheets of Housing investors Athens II, Ltd (a partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement . An audit includes 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 the audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial portion of Housing Investors Athens II, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted principles. In accordance with Government Auditing Standards, we have also issued a report dated February 9, 1996 on our consideration of Housing Investors Athens II, Ltd's internal control structure and a report dated February 9, 1996 on its compliance with laws and regulations. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 9, 1996 McGLADREY & PULLEN, LLP Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Partners Academy Hill Limited Partnership Greensboro, North Carolina We have audited the accompanying balance sheets of Academy Hill Limited Partnership as of December 31, 1995 and 1994 , and the related statements of income, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Academy Hill Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 23, 1996 on our consideration of Academy Hill Limited Partnership's internal control structure and a report dated January 23, 1996 on its compliance with laws and regulations. Greensboro, North Carolina January 23, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH, TEXAS 75107 (8 17) 336 -5880 MEMBER of AMERICAN INSTITUTE OF TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Aspen Square, L.P. I have audited the accompanying balance sheets of Aspen Square, L.P. , as of December 31, 1995 and 1994, and the related statements of operations, partners' capital (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the f 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Aspen Square, L.P., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 23, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE PORT WORTH. TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS and TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Aspen Square, L.P. I have audited the accompanying balance sheets of Aspen Square, L.P., as of December 31, 1994 and 1993, and the related statements of operations, partners, capital (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Aspen Square, L.P., as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 21, 1995 McGEE & Associates, P.C. Certified Public Accountants Independent Auditors' Report To the Partners Buckeye Senior, Ltd. and Rural Economic Community Development We have audited the accompanying balance sheets of Buckeye Senior, Ltd. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Buckeye Senior, Ltd. as of December 31, 1995 and 1994, and the results of its operations and the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. In Accordance with Government Auditing Standards, we have also issued a report dated January 15, 1996, on our consideration of the Partnership's internal control structure and a report dated January 15, 1996, on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information included in the report is presented for purposes of additional analysis and is not a required part of the financial statements of Buckeye Senior, Ltd. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. January 15, 1996 Farmington, New Mexico THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, 11, CPA* J .Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Church Hill Partnership We have audited the accompanying balance sheets of Church Hill Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership I s management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Church Hill Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Church Hill Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 united Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 GWEN WARD, P.C. INDEPENDENT PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH, TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Copper Creek, L.P. I have audited the accompanying balance sheets of Copper Creek, L.P. as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Copper Creek, L.P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 23, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH, TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Copper Creek, L.P. I have audited the accompanying balance sheets of Copper Creek, L.P. as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Copper Creek, L.P. as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 22, 1995 Clifton Gunderson & Co. Public Accountants & Consultants To the Partners Coronado Housing Limited Partnership INDEPENDENT AUDITOR'S REPORT We have audited the accompanying balance sheet of Coronado Housing Limited Partnership as of December 31, 1995 and the related statements of operations, partners' equity, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. The financial statements of the Partnership as of December 31, 1994 were audited by other auditors whose report dated February 13, 1995 expressed an unqualified opinion on those financial statements. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Coronado Housing Limited Partnership as of December 31, 1995 and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplemental information is presented for purposes of additional analysis and is not a required part of the basic financial statements. The accompanying supplemental information for the year ended December 31, 1995 has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. The supplemental information for the year ended December 31, 1994 was audited by other auditors whose report dated February 13, 1995 expressed an unqualified opinion on such information, in all material respects, in relation to the basic financial statements taken as a whole. Tucson, Arizona January 31, 1996 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX I SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET SAVANNAH, GEORGIA 31401 TELEPHONE (912) 234-1999 FAX (912) 214-0139 MEMBER OF AMERICAN INSTITUTE OF CPA'S GEORGIA SOCIETY OF CPA'S INDEPENDENT AUDITORS' REPORT To The Partners Denmark Properties Limited Partnership II We have audited the accompanying balance sheets of DENMARK PROPERTIES LIMITED PARTNERSHIP II (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of DENMARK PROPERTIES LIMITED PARTNERSHIP 11 as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Savannah, Georgia February 24, 1995 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX I SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET SAVANNAH, GEORGIA 31401 TELEPHONE (912) 234-1999 FAX (912) 234-0139 MEMBER OF AMERICAN INSTITUTE OF CPAs GEORGIA SOCIETY OF CPAs INDEPENDENT AUDITORS' REPORT To The Partners Denmark Properties Limited Partnership We have audited the accompanying balance sheets of DENMARK PROPERTIES LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of DENMARK PROPERTIES LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Savannah, Georgia February 24, 1995 HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 27, 1996 INDEPENDENT AUDITOR'S REPORT Partners EL DORADO SPRINGS ESTATES, LP. Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates WAY, RAY, SHELTON & Co., PC. Certified public Accountants 216 Mcfarland Circle North . Tuscaloosa, Alabama 35406 * 205/345-5883 FAX 206/345-5883 ROBERT S. WAY, C.P.A. W. PAUL RAY C.P.A. STEVEN A. SHELTON, C.P.A. KIMBERLY F. ELMORE, C.P.A. STEVEN L. MITCHELL, C.P.A. CINDY T. SAVAGE, C.P.A. SONIA M. CHISM, C.P.A. M. ELBERT SIMS, JR., C.P.A. SUSAN L. SPARKS, C.P.A. MITZI H. COOGLER, C.P.A. GLENDA T. LENAHAN, C.P.A. C. CHIREEN ANDERSON, C.P.A. ELIZABETH E. SATES, C.P.A. STACEY M. SHINAS, C.P.A. PAMELA D. SHAY, C.P.A. LAURA W. RYAN, C.P.A. ROGER F. BRYANT, C.P.A. RUSSELL W. RANEY, C.P.A. INDEPENDENT AUDITORS' REPORT Elderly Housing of Macon, Ltd. P.O. Box 168 Tuscaloosa, Alabama 35402 Dear Partners: We have audited the accompanying balance sheets of Elderly Housing of Macon, Ltd. as of December 31, 1995 and 1994, and the related statements of income, changes in partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. WAY, RAY, SHELTON & Co., PC. Certified public Accountants Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Elderly Housing of Macon, Ltd. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Elderly Housing of Macon, Ltd. February 7, 1996 Page Two Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Way, Ray, Sheiton & Co., P.C. Certified Public Accountants HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 27, 1996 INDEPENDENT AUDITORS' REPORT Partners ELDON ESTATES 11, L.P. Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 21, 1996 INDEPENDENT AUDITOR'S REPORT Partners ELDON MANOR, L.P. Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes examining, on a test basis, evidence supporting the amount 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, 11, CPA* J.Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Farmerville Square Partnership We have audited the accompanying balance sheets of Farmerville Square Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Farmerville Square Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Farmerville Square Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 KAY L. BOWEN & ASSOCIATES CERTIFIED PUBLIC ACCOUNTANT, P.C. Phone (801) 627-0825 - FAX (801) 627-0829 3710 QUINCY AVENUE OGDEN, UTAH 84403 KAY L. BOWEN, President * SHARI B. JOHNSON, CPA MEMBER OF THE AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT To the Partners Franklin School Associates Franklin School Apartments Great Falls, Montana We have audited the accompanying balance sheet of Franklin School Associates, as of December 31, 1995, and the related statements of income and cash flows and change in partners' equity for the year then ended. These financial statements are the responsibility of the project'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes, 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Franklin School Apartments, as of December 31, 1995, and the results of its operations, change in partners, equity, and cash flows for the year then ended in conformity with generally accepted accounting principles. our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information shown on pages 9 t 12 is presented for the purposes of additional analysis and is not a required part of the basic financial statements of Franklin School Apartments. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material. respects in relation to the financial. statements taken as a whole. Ogden, Utah March 2, 1996 Kay L. Bowen, CPA, President Kay L. Bowen & Associates, P.C. Federal I.D. #87-0448933 TAMA AND BUDAJ, P.C. Certified Public Accountants 32783 MIDDLEBELT ROAD Farmington Hills, Michigan 48334-1726 Telephone: (810) 626-3800 Fax: (810) 626-2276 JEFFREY F BUDAJ, CPA BARTON A. LOWEN. CPA EMIL A. RAAB. CPA DIANE L ISAACS. CPA JONATHON M. SHELDEN. CPA JOHN W WEIPERT, CPA 'ALSO LICENSED IN FLORIDA AND SOUTH CAROLINA Members: American Institute of Certified Public Accountants Michigan Association of Certified Public Accountants Florida Institute of Certified Public Accountants South Carolina Association of Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners of The Harbor View Group, Ltd. We have audited the accompanying balance sheet of THE HARBOR VIEW GROUP, LTD. as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' equity (deficit) and cash flows - project operations for the years then ended. These financial statements are the responsibility of the general partner and management of the partnership. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly in all material respects, the financial position of THE HARBOR VIEW GROUP, LTD., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supporting data on pages 10 through 17 inclusive has been subjected to the auditing procedures applied in the examination of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. We have also reviewed internal accounting controls and compliance with laws and regulations and have rendered our reports thereon on pages 18 through 20. TAMA AND BUDAJ, P C. Farmington Hills, Michigan February 9, 1996 James L. Caughren Certified Public Accountant P.O. Box 36014 Albuquerque, NM 87176 Independent Auditor's Report The Partners Hilltop Apartments Limited Partnership We have audited the accompanying balance sheet of Hilltop Apartments Limited Partnership (a New Mexico limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital, and cash flows for the years then ended. These financial statements are the responsibility of the Company'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. 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 reasonable basis for our opinion. in our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hilltop Apartments Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. JAMES L. CAUGHREN, CPA March 19, 1996 TOSKI, SCHAEFER & CO., P.C. CERTIFIED PUBLIC ACCOUNTANTS 555 INTERNATIONAL DRIVE WILLIAMSVILLE, NEW YORK 14221 TELEPHONE (716) 634-0700 FAX (716) 634-0764 INDEPENDENT AUDITOR'S REPORT The Partners Holland Senior Limited Partnership: We have audited the accompanying balance sheets of Holland Senior Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners, equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Holland Senior Limited Partnership as of December 31, 1995 and 1994 and the results of its operations, changes in partners' equity and cash flows for the years then ended, in conformity with generally accepted accounting principles. our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Williamsville, New York January 13, 1996 TOSKI, SCHAEFER & CO., P.C. CERTIFIED PUBLIC ACCOUNTANTS 555 INTERNATIONAL DRIVE WILLIAMSVILLE, NEW YORK 14221 TELEPHONE (7161 634-0700 FAX (716) 634-0764 INDEPENDENT AUDITOR'S REPORT The Partners Holley Senior Limited Partnership: We have audited the accompanying balance sheets of Holley Senior Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Holley Senior Limited Partnership as of December 31, 1995 and 1994 and the results Of its operations, changes in partners, equity and cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Williamsville, New York January 16, 1996 THE GAUTREAU GROUP, L.L.C. certified Public Accountants John C. Gautreau, 11, CPA' J. Curt Gautreau, CPA' Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Kaplan Manor Partnership We have audited the accompanying balance sheets of Kaplan Manor Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Kaplan Manor Partnership as of December 31, 1995 and 1994 ' and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Kaplan Manor Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, 11, CPA' J.Curt Gautreau, CPA' Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Lakewood Village Partnership We have audited the accompanying balance sheets of Lakewood Village Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lakewood Village Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Lakewood Village Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 MUELLER & WALLA, PC. CERTIFIED PUBLIC ACCOUNTANTS 10714 MANCHESTER ROAD, SUITE 202 KIRKWOOD, MISSOURI 63122 (314) 822-6575 INDEPENDENT AUDITORS' REPORT The Partners Licking Associates 11, L.P. Licking, Missouri We have audited the accompanying balance sheets of Licking Associates 11, L.P. (a limited partnership) as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Licking Associates II, L.P. as of December 31, 1994 and 1993, and the results of its operations, changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included on page 11 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Mueller & Walla, P.C. Certified Public Accountants February 3, 1995 MUELLER & WALLA, P.C. CERTIFIED PUBLIC ACCOUNTANTS 10714 MANCHESTER ROAD, SUITE 202 KIRKWOOD, MISSOURI 63122 (314) 622-6575 INDEPENDENT AUDITORS' REPORT The Partners Licking Associates 11, L.P. Licking, Missouri We have audited the accompanying balance sheets of Licking Associates II, L.P. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Licking Associates 11, L.P. as of December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included on page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Mueller & Walla, P.C. Certified Public Accountants February 6, 1996 David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Manning Properties Limited Partnership We have audited the accompanying balance sheets of Manning Properties Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Manning Properties Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December.31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and- is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in opinion, is fairly presented in all material respects in to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 11, 1996 Savannah, Georgia HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 16, 1996 INDEPENDENT AUDITORS REPORT Partners NEVADA MANOR, L.P. Re:For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates TOSKI, SCHAEFER & CO., P.C. CERTIFIED PUBLIC ACCOUNTANTS 555 INTERNATIONAL DRIVE WILLIAMSVILLE. NEW YORK 14221 TELEPHONE (716) 634-07(>O FAX (716) 634-0764 INDEPENDENT AUDITOR'S REPORT The Partners Oatka Village Associates (A Limited Partnership): We have audited the accompanying balance sheets of Oatka Village Associates (A Limited Partnership) as of December 31, 1995 and 1994 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of oatka Village Associates (A Limited Partnership) as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Williamsville, New York January 23, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH, TEXAS 76107 (817) 336-5880 MEMBER: AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS AND TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Sierra Springs, L.P. I have audited the accompanying balance sheets of Sierra Springs, L.P. as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Sierra Springs, L.P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-17 and I-18 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic statements taken as a whole. Fort Worth, Texas February 21, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH, TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Sierra Springs, L.P. I have audited the accompanying balance sheets of Sierra Springs, L.P. as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the f 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Sierra Springs, L.P. as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-17 and I-18 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 23, 1995 THOMPSON, DERRIG & SLOVACEK A Professional Corporation of Certified Public Accountants 4500 Carter Creek Parkway Suite 101 Bryan, Texas 77802-4456 (409) 260-9696 * Fax (409) 260-9683 Woody Thompson, CPA/CFP Sharla Akin, CPA Andrea Derrig, CPA Alline Briers, CPA Ed Slovacek, CPA/CFP Gay Vick Craig, CPA Ronnie Craig, CPA Frank Pipes, CPA Alice Monroe, CPA Marian Rose Varisco, CPA INDEPENDENT AUDITORS' REPORT February 20, 1996 To the Partners South Fork Heights limited Partnership We have audited the accompanying balance sheets of South Fork Heights Limited Partnership (a Colorado limited partnership), as of December 31, 1995 and 1994 and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnerships management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes e g, 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of South Fork Heights Limited Partnership as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. THOMPSON, DERRIG & SLOVACEK A Professional Corporation of Certified Public Accountants Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 14 through 27 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The supplementary information presented in the Year End Report/Analysis (Form FMHA 1930-) Parts I through HI and Project Budget (Form FMHA 1930-7) for year ended December 31, 1995, is presented for purposes of complying with the requirements of the Farmers Home Administration and is also not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. THOMPSON, DERRIG & SLOVACEK, P.C. Certified Public Accountants JAMES KNUTZEN & ASSOCIATES, C.P.A.'s, P SUITE 280 8100 UNIVERSITY BOULEVARD SOUTH JACKSONVILLE, FLORIDA 32216 (904) 725-5832 * FAX (904) 727-6835 INDEPENDENT AUDITORS' REPORT To the Partners of Twin Oaks of Allendale, Ltd. We have audited the accompanying balance sheets of Twin Oaks of Allendale, Ltd. (a Florida Limited Partnership) , FMHA Project No. :46- 30592894359 as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Twin Oaks of Allendale, Ltd. (a Florida Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations, partners, equity, and cash flows for the years then ended in conformity with generally accepted accounting principles. JAMES KNUTZEN & ASSOCIATES C.P.A.'s., P.A. To the Partners of Twin Oaks of Allendale, Ltd. Page Two In accordance with Government Auditing Standards, we have also issued a report dated February 15, 1996 on our consideration of Twin Oaks of Allendale, Ltd. s internal control structure and a report dated February 15, 1996 on its compliance with laws and regulations. James Knutzen & Associates, C.P.A.'s, P.A. Jacksonville, Florida February 15, 1996 THE GAUTREAU GROUP, L.L.C. Certified Public Accountants John C. Gautreau, 11, CPA* J.Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Independent Auditors' Report To the Partners of Washington Manor Partnership We have audited the accompanying balance sheets of Washington Manor Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Washington Manor Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Washington Manor Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 SMITH, MILES & COMPANY .L.C. CERTIFIED PUBLIC ACCOUNTANTS 1230 Airport Road P.O. Box 1177 PANAMA CITY, FLORIDA 32402 Phone:(904) 785-0261 Fax: (904) 785-0263 INDEPENDENT AUDITORS' REPORT To the Partners Wildridge Apartments, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Wildridge Apartments, Ltd., FMHA Project No: 11-51-592863964, as of December 31, 1995 and 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Wildridge Apartments, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida February 9, 1996 TAMA AND BUDAJ, P.C. Certified Public Accountants 32783 MIDDLEBELT ROAD Farmington Hills, Michigan 48334-1726 Telephone: (810) 626-3800 Fax: (810) 626-2276 JEFFREY F BUDAJ, CPA BARTON A. LOWEN. CPA EMIL A. RAAB. CPA DIANE L ISAACS. CPA JONATHON M. SHELDEN. CPA JOHN W WEIPERT, CPA ALSO LICENSED IN FLORIDA AND SOUTH CAROLINA Members: American Institute of Certified Public Accountants Michigan Association of Certified Public Accountants Florida Institute of Certified Public Accountants South Carolina Association of Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners of The Harbor View Group, Ltd. We have audited the accompanying balance sheet of THE HARBOR VIEW GROUP, LTD. as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital (deficit) and cash flows - project operations for the years then ended. These financial statements are the responsibility of the general partner and management of the partnership. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly in all material respects, the financial position of THE HARBOR VIEW GROUP, LTD., as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. TAMA AND BUDAJ, P.C. Certified Public Accountants Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supporting data on pages 10 through 13 inclusive has been subjected to the auditing procedures applied in the examination of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. We have also reviewed internal accounting controls and compliance with laws and regulations and have rendered our reports there on pages 14 through 16. TAMA AND BUDAJ, P C. Farmington Hills, Michigan February 7, 1994 CHARLES BAILLY & COMPANY P.L.L.P. Certified Public Accountants * Consultants INDEPENDENT AUDITORS' REPORT The Partners RPI Limited Partnership #18 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #18, FmHA Project Number: 18-18-411649005, as of December 31, 1994 and 1993, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #18 as of December 31, 1994 and 1993, and the results of its operation and its cash flows for the years then ended in conformity with generally accepted accounting principles. CHARLES BAILLY & COMPANY P.L.L.P. Fargo, North Dakota January 25, 1995 CHARLES BAILLY & COMPANY P.L.L.P. Certified Public Accountants * Consultants INDEPENDENT AUDITORS' REPORT The Partners RPI Limited Partnership #18 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #18, FmHA Project Number: 18-18-411649005, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #18 as of December 31, 1995 and 1994, and the results of its operation and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 29, 1996 on our consideration of RPI Limited Partnership #18's internal control structure and a report dated January 29, 1996 on its compliance with laws and regulations. CHARLES BAILLY & COMPANY P.L.L.P. Fargo, North Dakota January 29, 1996 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX 1 SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET TELEPHONE (912) 234-1999 SAVANNAH, GEORGIA 31401 FAX (912) 234-0139 MEMBER OF AMERICAN INSTITUTE OF CPA's GEORGIA SOCIETY OF CPAs INDEPENDENT AUDITORS' REPORT To The Partners Autumn Wood Village Limited Partnership We have audited the accompanying balance sheets of AUTUMN WOOD VILLAGE LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of AUTUMN WOOD VILLAGE LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements of AUTUMN WOOD VILLAGE LIMITED PARTNERSHIP taken as a whole. The accompanying financial information listed as supplementary data in the table of contents is presented for purposes of additional analysis as required by Farmers Home Administration. The information in these schedules has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements of AUTUMN WOOD VILLAGE LIMITED PARTNERSHIP, taken as a whole. Savannah, Georgia February 24, 1995 Fraley, Miller & Company Certified Public Accountants One Fraley-Miller Plaza suite 101 Grayson, Kentucky 41143-1366 Telephone (606) 474-6608 Fax (606)474-7094 Partners: Robert A. Fraley Mickey F Miller Associates Kim Whitley Horton Brenda K. Ball Scott Dyer INDEPENDENT AUDITORS' REPORT To the Partners of B B & L Enterprises, Ltd. We have audited the accompanying balance sheets of B B & L Enterprises, Ltd. (a Kentucky limited partnership) as of December 31, 1995, 1994, and 1993, and the related statements of results of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of the United States Department of Agriculture, Rural Economic and Community Development audit program. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of B B & L Enterprises, Ltd. as of December 31, 1995, 1994, and 1993, and the results of its operations, changes in partners' capital and its cash flows for the year then ended in conformity with generally accepted accounting principles. February 14, 1996 David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Bowman Village Limited Partnership We have audited the accompanying balance sheets of Bowman Village Limited Partnership (a Georgia Limited Partnership) as' of December 31, 1995 and December 31, 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. -An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Bowman Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December.31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted -accounting principles. our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as -a whole. The additional information listed in the table of contents -is presented for purposes of additional analysis. and' is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in inion, is fairly presented in all material respects in n to the basic financial statements taken as a whole. Moja, C.P.A. March 11, 1996 Savannah, Georgia Morton, Nehls & Tierney, S.C. Certified Public Accountants and Management Advisors Old Sauk Trails Park 8018 Excelsior Drive Suite 200 P.O. Box 45800 Madison, Wisconsin 53744-5800 (608) 831-5831 FAX (608) 831-7067 INDEPENDENT AUDITORS' REPORT To the Partners Brandywood Limited Partnership Madison, Wisconsin We have audited the accompanying balance sheets of Brandywood Limited Partnership as of December 31, 1995 and 1994, and the related statements of income (loss), partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Madison, Wisconsin January 19, 1996 Madison ,Milwaukee Associated worldwide with Accounting Group International, Inc. Fraley, Miller & Company Certified Public Accountants One Fraley-Miller Plaza Suite 101 Grayson, Kentucky 41143-1366 Telephone (606) 474-6608 Fax (606) 474-7094 Partners: Robert A. Fraley Mickey F. Miller Associates: Kim Whitley Horton Brenda K. Ball Scott Dyer INDEPENDENT AUDITORS' REPORT To the Partners of Briarwick Apartments, Ltd. We have audited the accompanying balance sheets of Briarwick Apartments, Ltd. (a Kentucky limited partnership) as of December 31, 1995, 1994, and 1993, and the related statements of results of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of the United States Department of Agriculture, Rural Economic and Community Development audit program. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Briarwick Apartments, Ltd. as of December 31, 1995, 1994, and 1993, and the results of its operations, changes in partners' capital and its cash flows for the years then ended in conformity with generally accepted accounting principles. February 16,1996 Daniel G. Drane CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITOR'S REPORT To the Partners Burkesville Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Burkesville Properties, Ltd. (a Kentucky limited partnership), RECDS Project No.: 20-029-025899601, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Burkesville Properties, Ltd., as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Daniel G. Drane Certified Public Accountant March 19, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH. TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Cananche Creek, L.P. I have audited the accompanying balance sheets of Cananche Creek, L.P., as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cananche Creek, L.P., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 20, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH. TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report Independent Auditor's Report To the Partners of Cananche Creek, L.P. I have audited the accompanying balance sheets of Cananche Creek, L.P., as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cananche Creek, L.P., as of December 31 ' 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page I-17 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial taken as a whole. Fort Worth, Texas February 21, 1995 DANIEL G. DRANE CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITOR'S REPORT To the Partners Clarkson Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Clarkson Properties, Ltd. (a Kentucky limited partnership), RECDS Project No' : @0-043-0611167952, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Clarkson Properties, Ltd., as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Daniel G. Drane Certified Public Accountant March 19,1996 DANIEL G. DRANE CERTIFIED PUBLIC ACCOUNTANT 209 East Third Street P. 0. Box 577 Hardinsburg, Kentucky 40143 (502) 756-5704 INDEPENDENT AUDITORS' REPORT To the Partners Evanwood Properties, Ltd. Leitchfield, Kentucky I have audited the accompanying balance sheets of Evanwood Properties, Ltd. (a Kentucky limited partnership), RECDS Project No.: 20-014-0611145803, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits, as of and for the years ended December 31, 1995 and 1994, in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Evanwood Properties, Ltd., as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Daniel G. Drane Certified Public Accountant March 19, 1996 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX I SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET SAVANNAH, GEORGIA 31401 FAX (912)234-0139 TELEPHONE (912)234-1999 MEMBER OF AMERICAN INSTITUTE OF CPAs GEORGIA SOCIETY OF CPAs INDEPENDENT AUDITORS' REPORT To the Partners Hamilton Village Limited Partner-ship We have audited the accompanying balance sheets of HAMILTON VILLAGE LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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. 'nose standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of HAMILTON VILLAGE LIMITED PARTNERSHIP as of December 31-, 1994 and 1993, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Savannah, Georgia February 24, 1995 DAVID G. PELLICCIONE, C.P.A., P. C. POST OFFICE BOX I SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST LIBERTY STREET SAVANNAH, GEORGIA 31401 TELEPHONE (912)234-1999 FAX (912)234-0139 MEMBER OF AMERICAN INSTITUTE OF CPAs GEORGIA SOCIETY OF CPAs INDEPENDENT AUDITORS' REPORT To The Partners Jesup Limited Partnership We have audited the accompanying balance sheets of JESUP LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of JESUP LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Savannah, Georgia February 24, 1995 SMITH, MILES & COMPANY, L.C. CERTIFIED PUBLIC ACCOUNTANT'S 1230 AIRPORT ROAD P.O. BOX 1177 PANAMA CITY, FLORIDA 32402 Phone:(904) 785-0261 Fax: (904) 785-O263 INDEPENDENT AUDITORS' REPORT To the Partners Lakeridge Apartments of Eufaula, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Lakeridge Apartments of Eufaula, Ltd., FMHA Project No: 01- 0030592933800, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lakeridge Apartments of Eufaula, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida February 9, 1996 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Laurel Village Limited Partnership We have audited the accompanying balance sheets of Laurel Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners I equity(deficit) and cash f lows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Laurel Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in ion to the basic financial statements taken as a whole. March 11, 1996 Savannah, Georgia McGee & Associates, P.C. CERTIFIED PUBLIC ACCOUNTANTS Independent Auditors' Report To the Partners Los Caballos 11, Ltd. and Rural Economic Community Development We have audited the accompanying balance sheets of Los Caballos 11, Ltd. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Los Caballos 11, Ltd. as of December 31, 1995 and 1994, and the results of its operations and the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 20, 1996, on our consideration of the Partnership's internal control structure and a report dated January 20, 1996, on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information included in the report is presented for purposes of additional analysis and is not a required part of the financial statements of Los Caballos 11, Ltd. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. January 20, 1996 Farmington, New Mexico McGee & Associates, P.C. CERTIFIED PUBLIC ACCOUNTANTS Independent Auditors' Report To the Partners Los Caballos 11, Ltd. and Farmers Home administration We have audited the accompanying balance sheets of Los Caballos 11, Ltd. (a limited partnership) as of December 31, 1994 and 1993, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Los Caballos 11, Ltd. as of December 31, 1994 and 1993, and the results of its operations and the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information included in the report is presented for the purposes of additional analysis and is not a required part of the financial statements of Los Caballos 11, Ltd. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. January 13, 1995 Farmington, New Mexico Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 a Dunn, North Carolina 28335 (910) 892-6001 P.O. Box 1568 11 Lillington, North Carolina 27546 (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA. Alton R. Gower, Jr., CPA Independent Auditors' Report The Partners Marlboro Place Associates Limited Partnership We have audited the accompanying balance sheets of Marlboro Place Associates Limited Partnership (a North Carolina Limited Partnership), as of December 31, 1995 and 1994, and the related statement of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of Marlboro Place Associates Limited Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Marlboro Place Associates Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. Bradley, Snipes, Gower & Associates, P.A. Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page I I is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Members/American Institute of Certified Public Accountants North Carolina Association of Certified Public Accountants Respectfully submitted, Bradley, Snipes, Gower & Associates, P.A. Dunn, North Carolina January 18, 1996 The Gautreau Group LLC Certified Public, accountants John C. Gautreau, II, CPA* J. Curl Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Melville Plaza Partnership We have audited the accompanying balance sheets of Melville Plaza Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Melville Plaza Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Melville Plaza Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge,Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 The Gautreau Group LLC Certified Public, accountants John C. Gautreau, II, CPA* J. Curl Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Oakleigh Partnership We have audited the accompanying balance sheets of Oakleigh Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. we conducted our audits in accordance with generally accepted auditing standards and ' Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Oakleigh Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Oakleigh Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 The Gautreau Group LLC Certified Public, accountants John C. Gautreau, II, CPA* J. Curl Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Oakwood Partnership We have audited the accompanying balance sheets of Oakwood Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership Is management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and ' Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Oakwood Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Oakwood Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 HOWE AND ASSOCIATES, PC CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 13, 1996 INDEPENDENT AUDITORS REPORT Partners PORTALES ESTATES, LP. Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Governmental Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates LUDVIGSON, BRAUN & CO. ACCOUNTANTS AND AUDITORS Foss Building VALLEY CITY, NORTH DAKOTA 58072-0845 PHONE:845-1457 FAX:845-8003 P.O BOX 845 R. S. LUDVIGSON, CPA(Retired) RAYMOND J. BRAUN. LPA CONNIE E. WINKLER, LPA ARLIE A. BRAUNBERGER. CPA JAMES M. LOCHOW. CPA MURIEL HAUGEN, CPA JOANN ZERFACE, CPA INDEPENDENT AUDITORS' REPORT To the Partners Prairie West Apartments III, A Limited Partnership West Fargo, North Dakota We have audited the accompanying balance sheets of Prairie West Apartments III, A Limited Partnership, as of December 31, 1994 and 1993 and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Prairie West Apartments III, A Limited Partnership as of December 31, 1994 and 1993 and the results of its operations, the changes in partners' equity, and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 10 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Valley City, North Dakota January 31, 1995 Charles Bailly & Company P.L.L.P. Certified Public Accountants -Consultants INDEPENDENT AUDITORS REPORT The Partners Ridgeway Court III, A Limited Partnership Fargo, North Dakota We have audited the accompanying balance sheets of Ridgeway Court III, A Limited Partnership, FMHA Project Number: 27-04-411633960, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Ridgeway Court III, A Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Fargo, North Dakota January 31, 1996 DIXON ODOM & CO.,L.L.P Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners Rockmoor Associates of Banner Elk Raleigh, North Carolina We have audited the accompanying balance sheets of Rockmoor Associates of Banner Elk W(a limited partnership) as of December 31, 1995 and 1994 and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Rockmoor Associates of Banner Elk as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 1 1 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. January 23, 1996 A Member of Moores Rowland International A Worldwide Association of Independent Accounting Firms MUELLER & WALLA, P.C. CERTIFIED PUBLIC ACCOUNTANTS 10714 MANCHESTER ROAD SUITE 202 KIRKWOOD, MISSOURI 63122 (314) 822-6575 INDEPENDENT AUDITORS' REPORT The Partners Scott City Associates III, L.P. Scott City, Missouri We have audited the accompanying balance sheets of Scott City Associates III, L.P. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Scott City Associates III, L.P. as of December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included on page 13 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Mueller & Walla, P.C. Certified Public Accountants February 6, 1996 MEMBERS AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MISSOURI SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS MUELLER & WALLA, P.C. CERTIFIED PUBLIC ACCOUNTANTS 10714 MANCHESTER ROAD SUITE 202 KIRKWOOD, MISSOURI 63122 (314) 822-6575 INDEPENDENT AUDITORS' REPORT The Partners Scott City Associates III, L.P. Scott City, Missouri We have audited the accompanying balance sheets of Scott City Associates III, L.P. (a limited partnership) as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Scott City Associates III, L.P. as of December 31, 1994 and 1993, and the results of its operations, changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included on page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. Mueller & Walla, P.C. Certified Public Accountants February 3, 1995 MEMBERS AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MISSOURI SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH. TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners of Shawnee Ridge, L.P. I have audited the accompanying balance sheets of Shawnee Ridge, L.P. as of December 31, 1995 and 1994, and the related statements of operations, partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Shawnee Ridge, L.P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-17 and I-18 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Fort Worth, Texas February 23, 1996 GWEN WARD, P.C. CERTIFIED PUBLIC ACCOUNTANT 609 UNIVERSITY DRIVE FORT WORTH. TEXAS 76107 (817) 336-5880 MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report Independent Auditor's Report To the Partners of Shawnee Ridge, L.P. I have audited the accompanying balance sheets of Shawnee Ridge, L.P. as of December 31, 1994 and 1993, and the related statements of operations, partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Shawnee Ridge, L.P. as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-17 and I-18 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic statements taken as a whole. Fort Worth, Texas February 23, 1995 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Turner Lane Limited Partnership We have audited the accompanying balance sheets of Turner Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Turner Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A, P.C. March 11, 1996 Savannah, Georgia SMITH, MILES & COMPANY, L.C. CERTIFIED PUBLIC ACCOUNTANTS 1230 AIRPORT ROAD P.O. BOX 1177 PANAMA CITY, FLORIDA 32402 Phone: (904) 785-0261 Fax: (904) 785-0263 INDEPENDENT AUDITORS' REPORT To the Partners Villas of Lakeridge, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Villas of Lakeridge, Ltd., FMHA Project No: 01-0030592930819, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Villas of Lakeridge, Ltd., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida February 9, 1996 YORK, DILLINGHAM & COMPANY. P.L.L.C. CERTIFIED PUBLIC ACCOUNTANTS P.O BOX 551 1708 ALPINE DRIVE COLUMBIA TENNESSEE 38402-0551 TELEPHONE (615) 388-0517 FAX (615) 381-3440 Larry W. York John M. Dillingham Members American Institute of C.P.A's Tennessee Society of C.P.A's Branch Offices 219 N. Military Ave. Lawrenceburg TN Telephone (615) 762-6877 147 Linden Hwy. Centerville TN Telephone (615) 729-3229 120 N. Second St. Pulaski TN Telephone (615) 424-9063 INDEPENDENT AUDITORS' REPORT To the Partners Waynesboro Associates, Limited We have audited the accompanying balance sheets of Waynesboro Associates, Limited (a Tennessee limited partnership) d/b/a Waynesboro Village Apartments, FMHA Project No. : 48-091-621385326, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Waynesboro Associates, Limited (a Tennessee limited partnership) d/b/a Waynesboro Village Apartments, FMHA Project No.: 48-091-621385326, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. YORK, DILLINGHAM & COMPANY. P.L.L.C. CERTIFIED PUBLIC ACCOUNTANTS Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Columbia, Tennessee January 26, 1996 The Gautreau Group LLC Certified Public, accountants John C. Gautreau, II, CPA* J. Curl Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Woodcrest Manor, L.L.P. We have audited the accompanying balance sheets of Woodcrest Manor, L. P. (A Mississippi Limited Partnership) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Woodcrest Manor, L. P. as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Woodcrest Manor, L. P.'s internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 SMITH, MILES & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS 1230 AIRPORT ROAD P.O. BOX 11 77 PANAMA CITY, FLORIDA 32402 (904) 785-0261 INDEPENDENT AUDITORS' REPORT To the Partners Villas of Lakeridge, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Villas of Lakeridge, Ltd., FmHA Project No: 01-0030592930819, as of December 31, 1993 and 1992 s and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Villas of Lakeridge, Ltd., as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and " in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida February 7, 1994 Bradley, Snipes, Gower & Associates, P.A. CERTIFIED PUBLIC ACCOUNTANTS P.O. Box 1009 o Dunn, North Carolina 28335 (910) 892-6001 P.O. Box 1568 11 Lillington, North Carolina 27546 9 (910) 893-6026 Russell W. Bradley, CPA Larry D. Snipes, CPA. Alton R. Gower, Jr., CPA Independent Auditors' Report The Partners Marlboro Place Associates Limited Partnership We have audited the accompanying balance sheet of Marlboro Place Associates Limited Partnership (a North Carolina Limited Partnership), as of December 31, 1993 and 1992, and the related statement of operations, partners' equity and cash flow for the years then ended. These financial statements are the responsibility of Marlboro Place Associates Limited Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Marlboro Place Associates Limited Partnership, as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Bradley, Snipes, Gower & Associates, P.A. Page 2 Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on Page 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Respectfully submitted, Bradley, Snipes, Gower & Associates, P.A. Members/American Institute of Certified Public Accountants, North Carolina Association of Certified Public Accountants Dunn, North Carolina January 21, 1994 SMITH, MILES & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS 1230 AIRPORT ROAD P.O. BOX 1177 PANAMA CITY, FLORIDA 32402 (904) 785-0261 INDEPENDENT AUDITORS' REPORT To the Partners Lakeridge Apartments of Eufaula, Ltd. Panama City, Florida We have audited the accompanying balance sheets of Lakeridge Apartments of Eufaula, Ltd., FMHA Project No: 01- 0030592933800, as of December 31, 1993 and 1992, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lakeridge Apartments of Eufaula, Ltd., as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Panama City, Florida February 1, 1994 DIXON, ODOM & CO.,L.L.P. Certified Public Accountants INDEPENDENT AUDITORS REPORT To the Partners Rockmoor Associates of Banner Elk Raleigh, North Carolina We have audited the accompanying balance sheets of Rockmoor Associates of Banner Elk W(a limited partnership) as of December 31, 1994 and 1993 and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Rockmoor Associates of Banner Elk as of December 31, 1994 and 1993, and the results of Its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page I 1 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such Information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. January 20, 1995 A Member of Moores Rowland International 1829 Eastchester Drive P.O. Box 2646 High Point, NC 27261-2646 910-889-5156, Fax 910-889-6168 A Worldwide Association of Independent Accounting Firms DAVID C. MOJA, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITOR'S REPORT - ---------------------------- To the General Partners of Turner Lane Limited Partnership We have audited the accompanying balance sheets of Turner Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1993 and December 31, 1992, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Turner Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1993 and December 31, 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. David C. Moja, C.P.A, P.C. March 3, 1994 Savannah, Georgia CASEY, MENDEN & CO., P.A. Certified Public Accountants 8000 Town Line Avenue South, Suite 202 Bloomington, Minnesota 55438-1000 (612) 946-7900 (612) 946-7901 FAX Michael A. Casey, CPA John F. Menden, CPA Douglas J. Faust, CPA John C. Nelson, CPA Donald G. Langewisch, CPA Janet E. Casey, Paula M. Meidl, Stephen J. Devries, Michael A. Casey, Jr. Debra K. Campbell Jennifer A. Caspers MEMBERS - -------- Minnesota Society of Certified Public Accountants American Institute of Certified Public Accountants INDEPENDENT AUDITORS' REPORT - ---------------------------- To The Partners RPI Limited Partnership #22 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #22 as of December 31, 1994 and 1993, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States and OMB Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements ar free of material misstatement. An audit includes examining, on test basis, evidence supporting the amount 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 audits provide a reasonable basis for our opinion. CASEY, MENDEN & CO., P.A. Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #22 as of December 31, 1994 and 1993, and the results of its operations, changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. The supplemental information on pages 9 through 15 are not a required part of the basic financial statements of RPI Limited Partnership #22 but is supplemental information required by the Minnesota Housing Finance Administration. We have applied certain limited procedures, which consisted principally of inquiries of partnership management regarding the methods of measurement and presentation of the supplemental information. However, we did not audit the supplemental information and express no opinion on it. January 23, 1995 CASEY, MENDEN & CO., P.A. Certified Public Accountants 8000 Town Line Avenue South, Suite 202 Bloomington, Minnesota 55438-1000 (612) 946-7900 (612) 946-7901 FAX Michael A. Casey, CPA John F. Menden, CPA Douglas J. Faust, CPA John C. Nelson, CPA Donald G. Langewisch, CPA Janet E. Casey, Paula M. Meidl, Stephen J. Devries, Michael A. Casey, Jr. Debra K. Campbell Anne J. Krumm MEMBERS - -------- Minnesota Society of Certified Public Accountants American Institute of Certified Public Accountants INDEPENDENT AUDITORS' REPORT - ---------------------------- To The Partners RPI Limited Partnership #22 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #22 as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States and OMB Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements ar free of material misstatement. An audit includes examining, on test basis, evidence supporting the amount 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 audits provide a reasonable basis for our opinion. CASEY, MENDEN & CO., P.A. Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #22 as of December 31, 1995 and 1994, and the results of its operations, changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. The supplemental information on pages 10 through 17 are not a required part of the basic financial statements of RPI Limited Partnership #22 but is supplemental information required by the Minnesota Housing Finance Administration. We have applied certain limited procedures, which consisted principally of inquiries of partnership management regarding the methods of measurement and presentation of the supplemental information. However, we did not audit the supplemental information and express no opinion on it. January 19, 1996 BURKE & REA Certified Public Accountants Edward T. Burke, CPA Bernard E. Rea, CPA INDEPENDENT AUDITOR'S REPORT - ---------------------------- We have audited the accompanying balance sheets of Nye County Associates (A California Limited Partnership), FmHA Case No: 33-019-680192750, as of December 31, 1995 and 1994 and the related statements of income, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Nye County Associates (A California Limited Partnership) as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated March 8, 1996 on our consideration of Nye County Associates' internal control structure and a report dated March 8, 1996 on its compliance with laws and regulations. Stockton, California March 8, 1996 P.O. BOX 4632 STOCKTON, CA 95204 TELEPHONE 209/933-9133 FAX 209/933-9115 CASEY, MENDEN & CO., P.A. Certified Public Accountants 8000 Town Line Avenue South, Suite 202 Bloomington, Minnesota 55438-1000 (612) 946-7900 (612) 946-7901 FAX Michael A. Casey, CPA John F. Menden, CPA Douglas J. Faust, CPA John C. Nelson, CPA Donald G. Langewisch, CPA Janet E. Casey, Paula M. Meidl, Stephen J. Devries, Michael A. Casey, Jr. Debra K. Campbell Anne J. Krumm MEMBERS - -------- Minnesota Society of Certified Public Accountants American Institute of Certified Public Accountants INDEPENDENT AUDITORS' REPORT - ---------------------------- To The Partners RPI Limited Partnership #22 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #22 as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States and OMB Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements ar free of material misstatement. An audit includes examining, on test basis, evidence supporting the amount 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 audits provide a reasonable basis for our opinion. CASEY, MENDEN & CO., P.A. Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #22 as of December 31, 1995 and 1994, and the results of its operations, changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. The supplemental information on pages 9 through 15 are not a required part of the basic financial statements of RPI Limited Partnership #22 but is supplemental information required by the Minnesota Housing Finance Administration. We have applied certain limited procedures, which consisted principally of inquiries of partnership management regarding the methods of measurement and presentation of the supplemental information. However, we did not audit the supplemental information and express no opinion on it. January 23, 1995 CASEY, MENDEN & CO., P.A. Certified Public Accountants 8000 Town Line Avenue South, Suite 202 Bloomington, Minnesota 55438-1000 (612) 946-7900 (612) 946-7901 FAX Michael A. Casey, CPA John F. Menden, CPA Douglas J. Faust, CPA John C. Nelson, CPA Donald G. Langewisch, CPA Janet E. Casey, Paula M. Meidl, Stephen J. Devries, Michael A. Casey, Jr. Debra K. Campbell Anne J. Krumm MEMBERS - -------- Minnesota Society of Certified Public Accountants American Institute of Certified Public Accountants INDEPENDENT AUDITORS' REPORT - ---------------------------- To The Partners RPI Limited Partnership #22 St. Paul, Minnesota We have audited the accompanying balance sheets of RPI Limited Partnership #22 as of December 31, 1994 and 1993, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States and OMB Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements ar free of material misstatement. An audit includes examining, on test basis, evidence supporting the amount 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 audits provide a reasonable basis for our opinion. CASEY, MENDEN & CO., P.A. Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of RPI Limited Partnership #22 as of December 31, 1994 and 1993, and the results of its operations, changes in partners' equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. The supplemental information on pages 9 through 15 are not a required part of the basic financial statements of RPI Limited Partnership #22 but is supplemental information required by the Minnesota Housing Finance Administration. We have applied certain limited procedures, which consisted principally of inquiries of partnership management regarding the methods of measurement and presentation of the supplemental information. However, we did not audit the supplemental information and express no opinion on it. January 23, 1995 STEWART AND KERR, PA Certified Public Accountant 6817 Falls of Neuse Road, Suite 106 Raleigh, north Carolina 27615 Robert F. Stewart Duncan J. Kerr Jayne D. Jungen Stanley I. Hofmeister Member American Institute of Certified Public Accountants North Carolina Association of Certified Public Accountants INDEPENDENT AUDITORS' REPORT ON THE FINANCIAL STATEMENT We have audited the accompanying balance sheet of Hunters Park Limited Partnership, as of December 31, 1995, and the related statements of operations, partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. the financial statements of Hunters Park Limited Partnership as of December 31, 1994 were audited by other auditors whose report dated January 12, 1995, expressed an unqualified opinion on those statements. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hunters Park Limited Partnership as of December 31, 1995, and the results of its operations, and its cash flows for the year ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 31, 1996 on our consideration of Hunters Park Limited Partnership's internal control structure and a report dated January 31, 1996 on its compliance with laws and regulations. STEWART AND KERR, PA Certified Public Accountant Page 2 Our audit was conducted for the purpose of forming an opinion on the 1995 financial statements taken as a whole. The accompanying information on pages 11 - 12 is presented for the purposes of additional analysis and is not a required part of the financial statements of Hunters Park Limited Partnership. Such 1995 information has been subjected to the auditing procedures applied in the audit of the 1995 financial statements and, in our opinion, is fairly presented in all material respects in relation to the 1995 financial statements taken as a whole. Stewart and Kerr, PA Raleigh, North Carolina January 31, 1996 BEALL & COMPANY, PLC CERTIFIED PUBUC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Ada Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheets of Ada Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-062731398133 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Ada Village Apartments, Ltd., as of December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 12, 1996, on our consideration of Ada Village Apartments internal control structure and a report dated January 12, 1996, on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on pages 15 through 19 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The information presented on pages 15 and 16 excludes fees allocated to property and equipment relating to partnership syndication amounts, and as such does not present financial position in conformity with generally accepted accounting principles. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and in our opinion, except for the effects of excluding the items described above, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. BEALL & COMPANY, PLC Certified Public Accountants Fort Smith, Arkansas January 12, 1996 BEALL & COMPANY, PLC CERTIFIED PUBUC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Ada Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheet of Ada Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-062-731398133 as of December 31, 1993 and the related statements of operations, partners' capital, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Ada Village Apartments, Ltd. at December 31, 1993, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. BEALL & com Certified Public Accountants Fort Smith, Arkansas February 3, 1994 March 11, 1996 LITTLE, SHANEYFELT & CO. CERTIFIED PUBLIC ACCOUNTANTS 1501 N. UNIVERSITY, SUITE 300 LITTLE ROCK ARKANSAS 72207-5232 TELEPHONE (501) 666-2879 INDEPENDENT AUDITOR'S REPORT To the Partners Beckwood Manor Six Limited Partnership We have audited the accompanying balance sheets of Beckwood Manor Six Limited Partnership, FMHA Project No. 03-048-0710677265 (the Partnership), as of December 31, 1995 and 1994, and the related statements of profit (loss), changes in partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Beckwood Manor Six Limited Partnership as of December 31, 1995 and 1994, and its results of operations, changes in partners, equity (deficit), and cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated March 11, 1996, on our consideration of the Partnership's internal control structure and a report dated March 11, 1996 on its compliance with laws, regulations, contracts and grants. Little, Shaneyfelt & Co. WILLIAM JEFFERSON COLE,C.P.A. WILLIAM PETERSON,C.P A. CAROL T. BARNES, C.P.A. C. WILLIAM GERARDY,JR.,C.P.A. BARRY S. SHIPP,C.P.A. STEVEN W. HEDGEPETH,C.P.A. STEVEN R. BAYER,C.P A. GWENDOLYN H.HARJU,C.P.A TIMOTHY R. DURR,C.P.A. R. STEPHEN TiLLEY,C.P.A. BAILEY S. BAYNHAM, C.P.A. JOMN A. CASKEY,C.P.A. ROBERT A. BUSBY,C.P.A. DEBORAH N. SHIVERS,C.P.A. JUDY E. MONCRIEF,C.P.A. ANNE-MARIE COLE CAIN,C.P.A. TIMOTHY W. BORST,C.P.A. RAYNELLE H.THOMPSON,C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC D. SMITH, C.P.A. PETER R. MOORE,C.P.A. COLE, EVANS & PETERSON M.ALTON EVANS,JR.,C.P.A. PARTNER EMERITUS FIFTH FLOOR TRAVIS PLACE POST OFFICE DRAWER 1768 SHREVEPORT, LOUISIANA 71166-1768 TELEPHONE (318) 222-8367 January 22, 1996 TELECOPIER(318) 425-4101 COLE, EVANS & PETERSON M.ALTON EVANS,JR.,C.P.A. PARTNER EMERITUS INDEPENDENT AUDITORS' REPORT To the Partners Blanchard Seniors Apartments II, A Limited Partnership Mansfield, Louisiana Page 1 Cole, Evans & Petterson Page 2 We have audited the accompanying balance sheets of Blanchard Seniors Apartments II, A Limited Partnership at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Blanchard Seniors Apartments 11, A Limited Partnership at December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Cole, Evans & Peterson OSCAR N. HARRIS & ASSOCIATES, C.P.A. OSCAR N. HARRIS, C.P.A. SHERRY S. JOHNSON, C.P.A. E. MILTON, C.P.A. CERTIFIED PUBLIC ACCOUNTANTS MARLA L. TART, C.P.A. DARLENE LANGSTON, C.P.A.. CONNIE P. STANCIL, C.P.A. MEMBERS: AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS NORTH CAROLINA ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT To the Partners of Brantwood Lane Limited Partnership Charlotte, North Carolina We have audited the balance sheets of Brantwood Lane Limited Partnership as of December 31, 1995 and 1994, and the related statements of partners' capital, income, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards, Government Auditing Standards (1988 Revision) issued by the Comptroller General of the United States, and the audit programs provided by the U.S. Department of Agriculture-Farmers Home Administration (December 1989 Revision) issued by the Office of Inspector General. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Brantwood Lane Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Page 1 Oscar N. Harris & Associates Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. Schedules I'll' and 11211 on pages 12 and 13 are presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Certified Public Accountants February 14, 1996 100 EAST CUMBERLAND STREET, P.O. BOX 578, DUNN, N.C. (910) 892-1021 FAX (910) 892-6084 C R I S P H U G H E S & CO., LLP. Independent Auditors' Report TO The Partners Breckenridge Apartments, Limited Partnership We have audited the accompanying balance sheets of Breckenridge Apartments, Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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, and with Governmental Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Breckenridge Apartments, Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated March 1, 1996 on our consideration of Breckenridge Apartments, Limited Partnership's internal control structure and a report dated March 1, 1996 on its compliance with laws and regulations. March 1, 1996 1 Creekview Court P.O. Box 25849 o Greenville, South Carolina 29616 * (864) 288-5544 * FAX (864) 458-8519 Other Offices.- Asheville, Boone, Burnsville, Charlotte, Durham, Syh% NC Member of The American Institute of Certified Public Accountants, The continental Association of CPA Firms. Inc., The Intercontinental Accounting Associates and The North Carolina and South Carolina Associations of CPAs C R I S P H U G H E S & CO., L.L.P. Independent Auditors' Report To The Partners Breckenridge Apartments, Limited Partnership We have audited the accompanying balance sheets of Breckenridge Apartments, Limited Partnership as of December 31, 1994 and 1993, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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, and with Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Breckenridge Apartments, Limited Partnership as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. January 25, 1995 I Creekview Court P.O. Box 25849 Greenville, South Carolina 29616 (864) 288-5544 FAX (864) 458-8519 Other Offices.-Asheville,Boone,Burnsville,Charlotte,Durham Sylva,NC member of The American institute of Certified Public Accountants, The Continental Association of CPA Firms,inc., The Intercontinental Accounting Associates and The North Carolina and South Carolina Associates of CPA's EDMUND A. RESTIVO, JR. LTD. CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT To the Partners Carleton Court Limited Partnership Boston, MA I have audited the accompanying balance sheets of Carleton Court Limited Partnership as of December 31, 1994 and 1993, and the related statements of operations, changes in partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of Carleton Court Limited Partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Carleton Court Limited Partnership as of December 31, 1994 and 1993, and the results of its operations, changes in partners' equity and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included in the report (shown on pages 14 to 24) is presented for purposes of additional analysis and is not a required part of the basic financial statements of Carleton Court Limited Partnership. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in my opinion, is fairly stated, in all material respects, in relation to the financial statements taken as a whole. February 8, 1995 The Wilcox Building Penthouse Suite 42 Weybosset Street Providence, Rhode Island 02903 Telephone 401-331-0210 Fax 401421-6799 GRAHAM CARTER &JENNINGS,PLC CERTIFIED PUBLIC ACCOUNTANTS Harold D. Carter (1931-1993) Jack G. Jennings Walter H. Graham Michael J. Carter Diane B. Carter Independent Auditor's Report To the Partners Carriage Run Limited Partnership We have audited the accompanying balance sheets of Carriage Run Limited Partnership (a Virginia limited partnership), FMHA Project No.: 54-049-621449686, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership' s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Carriage Run Limited Partnership, FMHA Project No.: 54-049621449686, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners, capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Page 1 Graham Carter & Jennings, PLC Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 26, 1996 601 Thimble Shoals Boulevard Suite 201 Newport News, Virginia 23606 (804) 873-0767 Fax (804) 873-6938 DIXON, ODOM & CO. L.L.P Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners Cedarwood Apartments Limited Partnership Raleigh, North Carolina We have audited the accompanying balance sheets of Cedarwood Apartments Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards Issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Cedarwood Apartments United Partnership as of December 31, 1995 and 1994, and the results of Its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 11, 1996 on our consideration of Cedarwood Apartments Limited Partnership's internal control structure and a report dated January 11, 1996 on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on pages 11 and 12 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. January 11, 1996 Page 1 Dixon, Odom & Co., L.L.P. Page 2 A Member of Moores Rowland International A Worldwide Association of Independent Accounting Firms 1829 Eastchester Drive P.O. Box 2646 High Point, NC 27261-2646 910-889-5156, Fax 910-889-6168 LAURIE A. LEE CERTIFIED PUBLIC ACCOUNTANT 5446 BIRCHBROOK COURT LAS VEGAS, NEVADA 89120 TELEPHONE: (702) 456-2162 INDEPENDENT AUDITORS REPORT To the Partners of Chaparral Associates: I have audited the balance sheets of Chaparral Associates, a Limited Partnership (the "Partnership") as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, I have also issued a report dated February 14, 1996 on my consideration of the Partnership's internal control structure and a report dated February 14, 1996 on its compliance with laws and regulations. Page 1 Laurie A. Lee Page 2 The accompanying supplementary information (beginning on page 10) is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. February 14, 1996 MEMBER: AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS AND NEVADA SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS COLE, EVANS & PETERSON CERTIFIED PUBLIC ACCOUNTANTS M.ALTON EVANS.JR..C.P.A. PARTNER EMERITUS WILLIAM JEFFERSON COLE, C.P.A. A. WILLIAM PETERSON.C.P.A. CAROL T. BARNES, C.P.A. A. C. WILLIAM GERARDY JR..C.P. A. BARRY S. SHIPP, C. P.A. STEVEN W. HEDGEPETH, C.P A. STEVEN R. BAYER, C.P.A. GWENDOLYN H. HARJU, C.P.A. TIMOTHY R. DURR, C.P.A. R. STEPHEN TILLEY, C.P.A. BAILEY B. BAYNHAM, C. P. A. JOHN A. CASKEY, C.P.A. ROBERT A. BUSBY. C.P.A. DEBORAH N. SHIVERS, C.P.A. JUDY C. MONCRIEF, C.P.A. ANNE-MARIE COLE CAIN.C.P.A. TIMOTHY W. BORST, C. P.A. RAYNELLE H. THOMPSON, C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC 0. SMITH, C.P.A. PETER R. MOORE,C.P. A. DAVID W. BULLOCK,C.P.A. FIFTH FLOOR TRAVIS PLACE POST OFFICE DRAWER 1768 SHREVEPORT, LOUISIANA 71166-1768 TELEPHONE (318) 222-6367 January 12, 1996 TELECOPIER (318) 425-4101 INDEPENDENT AUDITORS' REPORT To the Partners Colorado City Seniors, A Limited Partnership Mansfield, Louisiana We have audited the accompanying balance sheets of Colorado City Seniors, A Limited Partnership at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion onthese financial statements based on our audit. Cole, Evans & Peterson Page 2 We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Colorado City Seniors, A Limited Partnership at December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Cole, Evans & Peterson COLE, EVANS & PETERSON CERTIFIED PUBLIC ACCOUNTANTS FIFTH FLOOR TRAVIS PLACE POST OFFICE DRAWER 1768 SHREVEPORT, LOUISIANA 71166-1768 TELEPHONE (318) 222-8367 TELECOPIER (318) 425-4101 WILLIAM JEFFERSON COLE, C.P.A. A.WILLIAM PETERSON, C.P.A. CAROL T. BARNES, C.P.A. C. WILLIAM GERARDY JR., C.P. A. BARRY S. SHIPP, C. P. A, STEVEN W. HEDGEPETH, C.P.A. STEVEN R. BAYER, C.P.A. GWENDOLYN H. HARJU, C.P.A. TIMOTHY R. DURR, C.P.A. R. STEPHEN TILLEY, C. P. A. BAILEY B. BAYNHAM, C.P.A. JOHN A. CASKEY, C.P.A. ROBERT A. BUSBY, C.P.A. DEBORAH N. SHIVERS,C.P.A. JUDY E. MONCRIEF, C.P.A. ANNE-MARIE COLE CAIN,C.P.A. TIMOTHY W. BORST.C.P.A. RAYNELLE H.THOMPSON,C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMOOY,C.P.A. ERIC D. SMITH, C.P.A. PETER R. MOORE,C.P. A. M.ALTON EVANS,JR.,C.P.A. PARTNER EMERITUS January 25, 1996 INDEPENDENT AUDITORS' REPORT To the Partners Cottonwood Apartment II, A Limited Partnership Mansfield, Louisiana We have audited the accompanying balance sheets of Cottonwood Apartments II, A Limited Partnership at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. Cole, Evans & Peterson Page 2 We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to in the first paragraph above present fairly, in all material respects, the financial position of Cottonwood Apartments II, A Limited Partnership at December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Cole, Evans & Peterson BEALL & COMPANY, PLC CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Davis Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheets of Davis Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-050-731398137 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Davis Village Apartments, Ltd. at December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 11, 1996, on our consideration of Davis Village Apartments, Ltd.'s internal control structure and a report dated January 11, 1996, on its compliance with laws and regulations. Page 1 Beall & Company, PLC Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on pages 15 through 19 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The information presented on pages 15 and 16 excludes fees allocated to property and equipment relating to partnership syndication amounts, and as such does not present financial position in conformity with generally accepted accounting principles. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and in our opinion, except for the effects of excluding the items described above, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. BEALL & COMPANY, PLC Certified Public Accountants Fort Smith, Arkansas January 11, 1996 BEALL & COMPANY, PLC CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Davis Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheet of Davis Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-050-731398137 as of December 31, 1993 and the related statements of operations, partners' capital, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Davis Village Apartments, Ltd. at December 31, 1993, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. BEALL & COMPANY Certified Public Accountants Fort Smith, Arkansas February 12, 1994 C R I S P H U G H E S & CO., L.L.P CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS Independent Auditors' Report To The Partners Devenwood Apartments, A Limited Partnership We have audited the accompanying balance sheets of Devenwood Apartments, A Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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, and with Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Devenwood Apartments, A Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. January 12, 1996 1 Creekview Court P.O. Box 25849 * Greenville, South Carolina 29616 * (864) 288-5544 FAX (864) 458-8519 Other Offices: Asheville, Boone, Burnsville, Charlotte, Durham, Sylva, NC Member of: The American lnstitute of Certified Public Accountants, The Continental Association of CPA Firms, Inc. The Intercontinental Accounting Association and The North Carolina and South Carolina Associations of CPAs BEALL & COMPANY, PLC CERTIFIED PUBLIC ACCOUNTANT INDEPENDENT AUDITORS, REPORT Duncan Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheets of Duncan Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-069-731398138, as of December 31, 1995 and 1994 and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Duncan Village Apartments, Ltd. at December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 12, 1996 on our consideration of Duncan Village Apartments, Ltd.'s internal control structure and a report dated January 12, 1996 on its compliance with laws and regulations. Page 1 Beall & Company, PLC Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on pages 14 through 18 is presented for purpose of additional analysis and is not a required part of the basic financial statements. The information presented on pages 14 and 15 excludes fees allocated to property and equipment relating to partnership syndication amounts, and as such, does not present financial position in conformity with generally accepted accounting principles. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, except for the effect of excluding the items described above, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. BEALL & COMPANY, PLC Certified Public Accountants Fort Smith, Arkansas January 12, 1996 BEALL & COMPANY, PLC CERTIFIED PUBUC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Duncan Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheet of Duncan Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-069-731398138 as of December 31, 1993 and the related statements of operations, partners' capital, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Duncan Village Apartments, Ltd. at December 31, 1993, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. BEALL & COMPANY, PLC Certified Public Accountants Fort Smith, Arkansas February 7, 1994 DAVID G. PELLICCIONE C.P.A., P.C. POST OFFICE BOX 1 SAVANNAH, GEORGIA 31402 DELIVERY ADDRESS 202 EAST UBERTY STREET TELEPHONE (912) 234-1999 SAVANNAH, GEORGIA 31401 FAX (912) 234-0139 MEMBER OF AMERICAN INSTITUTE OF CPAs INDEPENDENT AUDITORS' REPORT To The Partners, Edison Village Limited Partnership We have audited the accompanying balance sheets of EDISON VILLAGE LIMITED PARTNERSHIP (A Limited Partnership), as of December 31, 1994 and 1993, and the related statement of operations, changes in partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing, Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of EDISON VILLAGE LIMITED PARTNERSHIP as of December 31, 1994 and 1993, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming and opinion on the basic financial statements of EDISON VILLAGE LIMITED PARTNERSHIP taken as a whole. The accompanying financial information listed as supplementary data in the table of contents is presented for purposes of additional analysis as required by Farmers Home Administration. The information in these schedules has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements of EDISON VILLAGE LIMITED PARTNERSHIP, taken as a whole. Savannah, Georgia February 24, 1995 HOWE AND ASSOCIATES CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 20, 1996 INDEPENDENT AUDITORS''S REPORT Partners EXCELSIOR SPRINGS PROPERTIES, LP Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Four Oaks Limited Partnership We have audited the accompanying balance sheets of Four Oaks Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and. the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the - Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. -An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Four Oaks Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in to the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. . March 11, 1996 Savannah, Georgia McGEE & Associates, P.C. CERTIFIED PUBLIC ACCOUNTANTS Independent Auditors' Report To the Partners Franklin Vista III, Ltd. and Rural Economic Community Development We have audited the accompanying balance sheets of Franklin Vista, III, Ltd. (a limited partnership) as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Franklin Vista III, Ltd. as of December 31, 1995 and 1994, and the results of its operations and the changes in partners' equity and cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 19, 1996, on our consideration of the Partnership's internal control structure and a report dated January 19, 1996, on its compliance with laws and regulations. Our audits were made for the purpose of forming an opinion on the financial statements taken as a whole. The supplemental information included in the report is presented for purposes of additional analysis and is not a required part of the financial statements of Franklin Vista III, Ltd. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. January 19, 1996 Farmington, New Mexico REGARDIE, BROOKS & LEWIS CHARTERED CERTIFIED PUBLIC ACCOUNTANTS JEROME P. LEWIS CPA JESSE A. KAISER, CPA NATHAN J. ROSEN, CPA PAUL J. GNATT, CPA CELSO T. MATAAC, JR, CPA PHILIP R. BAKER, CPA DOUGLAS A. DOWLING, CPA DAVID A. BROOKS, CPA CONSULTANT BENJAMIN A. BROOKS, CPA (1897-1973) 7101 WISCONDIN AVENUE - BETHESDA, MARYLAND 20814 TEL (301) 654-9000 FAX (301) 656-3056 February 16, 1996 To the Partners Friendship Village Limited Partnership Bethesda, Maryland We have audited the accompanying balance sheets of Friendship Village Limited Partnership as of December 31, 1995 and 1994, and the related statements of income, partnership equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 eval- uating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. Page 1 REGARDIE, BROOKS & LEWIS Page 2 In our opinion, the financial statements referred to above present fairly, in all material respects, the financial Position of Friendship Village Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Certified Public Accountants NOVOGRADAC & COMPANY LLP CERTIFIED PUBLIC ACCOUNTANTS ATLANTA LOS ANGELES PORTLAND SAN FRANCISCO MICHAEL J. NOVOAGRADAC RICHARD B HUTCHINS JONE E. KRABRENSCHMIDT HARRY ABRAM WALTER C. McGILL,JR. SCOTT J. HUBBARD STEPHEN B.TRACY Report of Independent Auditors To the General Partner Glenhaven Park Partners, A California Limited Partnership We have audited the accompanying balance sheet of Glenhaven Park Partners, A California Limited Partnership as of December 31, 1995, and the related statements of operations, changes in partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Glenhaven Park Partners, A California Limited Partnership as of December 31, 1995, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. February 16, 1996 425 MARKET STREET 7TH FLOOR SAN FRANCISCO CALIFORNIA 94105 TELEPHONE (415) 356-8000 FACSIMILE (415) 356-8001 NOVOGRADAC & COMPANY LLP CERTIFIED PUBLIC ACCOUNTANTS ATLANTA LOS ANGELES PORTLAND SAN FRANCISCO MICHAEL J. NOVOAGRADAC RICHARD B HUTCHINS JONE E. KRABRENSCHMIDT HARRY ABRAM WALTER C. McGILL,JR. SCOTT J. HUBBARD STEPHEN B.TRACY Report of Independent Auditors To the General Partner Haven Park Partners II, A California Limited Partnership We have audited the accompanying balance sheet of Haven Park Partners II A California Limited Partnership as of December 31, 1995, and the related statements of operations, changes in partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. . An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Haven Park Partners II, A California Limited Partnership as of December 31, 1995, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. February 16, 996 425 MARKET STREET 7TH FLOOR SAN FRANCISCO CALIFORNIA 94105 TELEPHONE (415) 356-8000 FACSIMILE (415) 356-8001 NOVOGRADAC & COMPANY LLP CERTIFIED PUBLIC ACCOUNTANTS ATLANTA LOS ANGELES PORTLAND SAN FRANCISCO MICHAEL J. NOVOAGRADAC RICHARD B HUTCHINS JONE E. KRABRENSCHMIDT HARRY ABRAM WALTER C. McGILL,JR. SCOTT J. HUBBARD STEPHEN B.TRACY Report of Independent Auditors To the General Partner Haven Park Partners III, A California Limited Partnership We have audited the accompanying balance sheet of Haven Park Partners III, A California Limited Partnership as of December 31, 1995, and the related statements of operations, changes in partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Haven Park Partners III, A California Limited Partnership as of December 31, 1995, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. February 16, 1996 425 MARKET STREET 7TH FLOOR SAN FRANCISCO CALIFORNIA 94105 TELEPHONE (415) 356-8000 FACSIMILE (415) 356-8001 NOVOGRADAC & COMPANY LLP CERTIFIED PUBLIC ACCOUNTANTS ATLANTA LOS ANGELES PORTLAND SAN FRANCISCO MICHAEL J. NOVOAGRADAC RICHARD B HUTCHINS JONE E. KRABRENSCHMIDT HARRY ABRAM WALTER C. McG]LL,JR. SCOTT J. HUBBARD STEPHEN B.TRACY Report of Independent Auditors To the General Partner Haven Park Partners IV, A California Limited Partnership We have audited the accompanying balance sheet of Haven Park Partners IV, A California Limited Partnership as of December 31, 1995, and the related statements of operations, changes in partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion the financial statements referred to above present fairly, in all material respects, the financial position of Haven Park Partners IV, A California Limited Partnership as of December 31, 1995, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. February 16, 1996 425 MARKET STREET 7TH FLOOR SAN FRANCISCO CALIFORNIA 94105 TELEPHONE (415) 356-8000 FACSIMILE (415) 356-8001 John C. Gautreau, II, CPA* J. Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA A Professional Accounting Corporation Certified Public Accountants Independent Auditors' Report To the Partners of Hessmer Village Partnership We have audited the accompanying balance sheets of Hessmer Village Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners, capital and cash flows for the years then ended. These financial statements are the respond- sibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hessmer Village Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Hessmer village Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 David C. Moja, C.P.A. P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Hillmont Village Limited Partnership We have audited the accompanying balance sheets of Hillmont Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hillmont Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in the basic financial statements taken as a whole. David C. Moja, C.P.A., P.C. March 11, 1996 Savannah, Georgia COLE, EVANS & PETERSON CERTIFIED PUBLIC ACCOUNTANTS FIFTH FLOOR TRAVIS PLACE POST OFFICE DRAWER 1768 SHREVEPORT, LOUISIANA 71166-1768 TELEPHONE (318) 222-8367 TELECOPIER (318) 425-4101 WILLIAM JEFFERSON COLE, C.P.A. WILLIAM PETERSON.C.P.A. CAROL T. BARNES, C.P.A. C. WILLIAM GERARDY,JR.,C.P.A. BARRY S. SHIPP, C.P.A. STEVEN W. HEDGEPETH, C.P.A. STEVEN R. BAYER, C.P.A. GWENDOLYN H. HARJU, C.P.A. TIMOTHY R. DURR, C.P.A. R. STEPHEN TILLEY, C.P.A. BAILEY B. BAYNHAM, C.P.A. JOHN A. CASKEY, C. P. A. ROBERT A. BUSBY. C.P.A. DEBORAH N. SHIVERS.C.P.A. JUDY E. MONCRIEF. C.P.A. ANNE-MARIE COLE CAIN, C.P.A. TIMOTHY W. BORST, C.P.A. RAYNELLE H.THOMPSON,C.P.A. BRENDA BISHOP LEACH,C.P.A. MARY WELLS CARMODY,C.P.A. ERIC D. SMITH. C.P.A. PETER R. MOORE,C.P. A. January 17, 1996 INDEPENDENT AUDITORS' REPORT To the Partners Hughes Springs Seniors Apartments, A Limited Partnership Mansfield, Louisiana We have audited the accompanying balance sheets of Hughes Springs Seniors Apartments, A Limited Partnership at December 31, 1995 and December 31, 1994, and the related statements of income, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. Page 1 Cole, Evans & Peterson Page 2 We conducted our audits in accordance with generally accepted auditing standards and with Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Hughes Springs Seniors Apartments, A Limited Partnership at December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 17, 1996 on our consideration of Hughes Springs Seniors Apartment's internal control structure and a report dated January 17, 1996 on its compliance with laws and regulations. Cole, Evans & Peterson GRAHAM CARTER & JENNINGS, P.C.. CERTIFIED PUBLIC ACCOUNTANTS Harold D. Carter (1931-1993) Jack G. Jennings Walter H. Graham Michael J. Carter Diane B. Carter Independent Auditor'S Report To the Partners Jarratt Limited Partnership We have audited the accompanying balance sheets of Jarratt Limited Partnership (a Virginia limited partnership), FMHA Project No.: 55-014-541507373, as of December 31, 1995 and 1994, and the related statements of operations, partners, capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Jarratt Limited Partnership, FMHA Project No. : 55-014-541507373, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Page 1 Graham Carter & Jennings, PLC Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. 601 Thimble Shoals Boulevard Suite 201 Newport News, Virginia 23606 (804) 873-0767 Fax (804) 873-6938 February 26, 1996 CARTER & JENNINGS, P.C. CERTIFIED PUBLIC ACCOUNTANTS Harold D. Carter (1931-1993) Jack G. Jennings Michael J. Carter 11832-B Canon Boulevard Newport News, Virginia 23606 (804) 873-0767 Facsimile (804) 873-0874 Independent Auditor's Report To the Partners Jarratt Limited Partnership We have audited the accompanying balance sheets of Jarratt Limited Partnership (a Virginia limited partnership), FMHA Project No.: 55-014-541507373, as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Jarratt Limited Partnership, FMHA Project No.: 55-014- 541507373, as of December 31, 1994 and 1993, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. PAGE 1 OF 2 CARTER & JENNINGS, P.C. CERTIFIED PUBLIC ACCOUNTANTS Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Newport News, VIRGINIA February 3, 1995 PAGE 2 OF 2 THOERNER & TOMA CERTIFIED PUBLIC ACCOUNTANTS 17762 MITCHELL NORTH - SUITE D IRVINE CA 92714-6802 TEL (714) 863-9900 FAX (714) 863-9926 INDEPENDENT AUDITORS' REPORT To the Partners La Gema Del Barrio, A California Limited Partnership We have audited the accompanying balance sheets of La Gema Del Barrio, a California Limited Partnership, as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of La Gema Del Barrio, A California Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners, equity (deficit) and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 6 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. April 4, 1996 PLANTE & MORAN,LLP 1111 Michigan Avenue P.O. Box 2500 East Lansing, Michigan 48826-2500 Certified Public Accountants Management Consultants 517-332-6200 FAX 517-332-8502 Independent Auditor's Report To the Partners Lakeview Meadows Limited Dividend Housing Association Limited Partnership We have audited the accompanying balance sheet of Lakeview Meadows Limited Dividend Housing Association Limited Partnership (a Michigan limited partnership), MSHDA Development No. 874, as of December 31, 1995 and 1994, and the related statements of profit and loss, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lakeview Meadows Limited Dividend Housing Association Limited Partnership as of December 3 1, 1995 and 1994, and its profit and loss, partners' equity, and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Page 1 of 2 Plante & Morgan, LLP Page 2 of 2 In accordance with Government Auditing Standards, we have also issued a report dated January 15, 1996, on our consideration of the Partnership's internal control structure and a report dated January 15, 1996, on its compliance with laws and regulations. January 15, 1996 A member of Moores Rowland International A association of independent accounting firms THE GAUTREAU GROUP, LLC CERTIFIED PUBLIC ACCOUNTANTS John C. Gautreau, II, CPA* J.Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Marion Manor Partnership We have audited the accompanying balance sheets of Marion Manor Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Marion Manor Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Marion Manor Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 HM&R P.C CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT To the Partners Montague Place Limited Partnership Lansing, Michigan We have audited the accompanying balance sheets of Montague Place Limited Partnership (a Michigan limited partnership), FMHA Project. No. 26-079-0382937919 as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the partnership'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 and Government Auditing Standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Montague Place Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audit was performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 11 to 20 is presented for purposes of additional analysis and is not a required part of the basic financial statements. This information has been ubjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, the information is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Henderson, Miller & Robbins, P.C. Lansing, Michigan February 19, 1996 HENDERSON, MILLER & ROBBINS, P.C.. 1375 S. WASHINGTON AVE. LANSING, MI 48910 (517) 372-6565 fax (517) 372-6571 LAURIE A. LEE CERTIFIED PUBLIC ACCOUNTANT 5446 BIRCHBROOK COURT LAS VEGAS, NEVADA 89120 TELEPHONE: (702) 456-2162 INDEPENDENT AUDITORS REPORT To the Partners of Navapai Associates: I have audited the balance sheets of Navapai Associates, a Limited Partnership (the "Partnership") as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, I have also issued a report dated February 14, 1996 on my consideration of the Partnership's internal control structure and a report dated February 14, 1996 on its compliance with laws and regulations. Page 1 of 2 Laurie A. Lee Page 2 0f 2 The accompanying supplementary information (beginning on page 10) is presented for purposes of additional analysis and is not a required partof the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. February 14, 1996 MEMBER: AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS AND NEVADA SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS THE GAUTREAU GROUP, LLC CERTIFIED PUBLIC ACCOUNTANTS John C. Gautreau, II, CPA* J. Curt Gautreau, CPA* Crissie Head, CPA Letti Lowe, CPA Jennifer D. Derousselle, CPA *A Professional Accounting Corporation Independent Auditors' Report To the Partners of Newellton Place Partnership We have audited the accompanying balance sheets of Newellton Place Partnership (A Louisiana Partnership in Commendam) as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Newellton Place Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 12, 1996 on our consideration of Newellton Place Partnership's internal control structure and a report dated February 12, 1996 on its compliance with laws and regulations. Certified Public Accountants Baton Rouge, Louisiana February 12, 1996 P.O. Box 82430 \8641 United Plaza Boulevard, Suite 202 \Baton Rouge, Louisiana 70884-2430 \Telephone (504) 924-6744 \FAX (504) 929-6916 David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Oakland Village Limited Partnership We have audited the accompanying balance sheets of Oakland Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Oakland Village Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December 31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in our opinion, is fairly presented in all material respects in ion to the basic financial statements taken as a whole. David C. Moja, C.P.A. March 12, 1996 Savannah, Georgia BEALL & COMPANY, P.C. CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Okemah Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheets of okemah Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-054-731398143 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit Includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Okemah Village Apartments, Ltd. at December 31, 1995 and 1994, and the results of its operations, changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated January 12, 1996 on our consideration of Okemah Village Apartments, Ltd.'s internal control structure and a report dated January 12, 1996 on its compliance with laws and regulations. Page 1 0f 2 Beall & Company, PLC Page 2 of 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on pages 14 through 18 is presented for purposes of additional analysis and is not a required part of the basic financial statements. The information presented on pages 14 and 15 excludes fees allocated to property and equipment relating to partnership syndication amounts, and as such does not present financial position in conformity with generally accepted accounting principles. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and in our opinion, except for the effects of excluding the items described above, is fairly stated in allmaterial respects in relation to the basic financial statements taken as a whole. BEALL & COMPANY, P.C. Certified Public Accountants Fort Smith, Arkansas January 12, 1996 BEALL & COMPANY, P.C. CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT Okemah Village Apartments, Ltd. (A Limited Partnership) Inola, Oklahoma We have audited the accompanying balance sheet of Okemah Village Apartments, Ltd. (A Limited Partnership), FMHA Project No: 42-054731398143 as of December 31, 1993 and the related statements of operations, partners' capital (deficit), and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Okemah Village Apartments, Ltd. at December 31, 1993, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. BEALL & COMPANY, P.C. Certified Public Accountants Fort Smith, Arkansas February 2, 1994 DIAXON ODOM & CO.,L.L.P Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Partners Pine Ridge Elderly Apartments Limited Partnership Raleigh, North Carolina We have audited the accompanying balance sheets of Pine Ridge Elderly Apartments Limited Partnership as of December 31, 1995 and 1994 and the related statements of operations, partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit Includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Pine Ridge Elderly Apartments Limited Partnership as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 10 Is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied In the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. A Member of Moores Rowland A worldwide Association of Independent Accounting Firms 1829 Eastchester Drive P.O. Box 2646 High Point, NC 27261-2646 910-889-5156, Fax 910-889-6168 Bob T. Robinson Certified Public Accountant 2084 Dunbarton Drive Jackson, Mississippi 39216 (601) 982-3875 To the Partners Scott Partners, A Louisiana Partnership in Commendam Independent Auditor's Report I have audited the accompanying balance sheet of Scott Partners, A Louisiana Partnership in Commendam as of December 31, 1995 and 1994, and the related statements of operations, partners' equity (deficit) and cash flows for years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Scott Partners, A Louisiana Partnership in Commendam as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basis financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Jackson, Mississippi March 13, 1996 Page 1 Bob T. Robinson Certified Public Accountant (601) 982-3875 2084 Dunbarton Drive Jackson. Mississippi 39216 To the partners Scott Partners, A Louisiana Partnership in Commendam Independent Auditor's Report I have audited the accompanying balance sheet of Scott Partners, A Louisiana Partnership in Commendam as of December 31, 1993 and 1992, and the related statements of operations, partners' equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Scott Partners, A Louisiana Partnership in Commendam as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing Procedures applied in the audits of the basis financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Jackson, Mississippi February 15, 1994 HOWE AND ASSOCIATES, PC CERTIFIED PUBLIC ACCOUNTANTS 104 EAST BROADWAY COLUMBIA, MO 65203 February 28, 1996 INDEPENDENT AUDFTOR'S REPORT Partners SMITHVILLE PROPERTIES, LP Re: For the Years Ended December 31, 1994 and December 31, 1995 We have audited the accompanying balance sheet and the related statements of income, owners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership'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 and Governmental Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position and results of operations and cash flows for the years then ended in conformity with generally accepted accounting principles. Howe and Associates, PC BCC Braunsdorf, Carlson and Clinkinbeard CERTIFIED PUBLIC ACCOUNTANTS A PROFESSIONAL Association 990 SW Fairlawn, Topeka, Kansas 66606-2384 * 913 272-3176 FAX 913 272-2903 DAVID L. BRAUNSDOPF. CPA GARY D.BASOM. CPA GERRY F. CARLSON. CPA MARGE S. CARLSONON. CPA STEVE CLINKINBEARD. CPA DOUGLAS W. GLENN, CPA DAVID N. ALLISON. CPA ROYCE C JANSSEN. CPA MICHEAL E. RUHLMAN. CPA CHERYL J.PAGE. CPA D. THAD SULLIVAN. CPA DENISE J.PETERSON. CPA KIRK W. WIESNER. CPA MICHAEL D.SCHIRMER. CPA JAMES R. SHOWALTER. CPA EDWARD D. FENTON. PRINICPAL DOUGLAS K. STACKEN. ISC INDEPENDENT AUDITORS' REPORT To the Partners Sioux Falls Housing Associates One Limited Partnership We have audited the accompanying balance sheets of Sioux Falls Housing One Limited Partnership as of December 31, 1993 and 1992, and the related statements of operations, partners' equity, and cash flows for the year ended December 31, 1993 and for the period from May 6, 1992 (date of inception) through December 31, 1992. These financial statements are the responsibility of the partnership's management. our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 f financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. Page 1 of 2 Braunsdorf, Carlson and Clinkinbeard Certified Public Accountants A Professional Association In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Sioux Falls Housing One Limited Partnership as of December 31, 1993 and 1992, and the results of its operations and its cash flows for the periods then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages I-13 - I-14 is presented for the purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Braunsdorf, Carlson and Clinkinbeard, CPA'S, P.A. Topeka, Kansas January 27, 1994 97423A Members of the American Institute of Certified Public Accountants Harcourt Brace Professional Publishing CPA Digest 50 Award 1993 - 1992 - 1991 page 2 of 2 FRIEDMAN & FULLER, PC Certified Public Accountants Management Consultants FF Profitable Ideas for Growing Businesses 2400 Research Boulevard Suite 250 Rockville, Maryland 20850-3243 Telephone (301) 921-8000 FAX (301)921-4700 Email: info@ffgroup,com URL: http://www.ffgroup.com INDEPENDENT AUDITOR'S REPORT To the Partners Stanardsville Village Limited Partnership FMHA No. 54-048-0541523939 North Main Street Stanardsville, Virginia 22973 We have audited the accompanying balance sheets of Stanardsville Village Limited Partnership, FMHA No. 54-048-0541523939 as of December 31, 1995 and 1994, and the related statements of operations, partners' capital (deficiency), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Stanardsville Village Limited Partnership, FMHA No. 54-048-0541523939 as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Page 1 of 2 Friedman & Fuller, PC Certified Public Accountants Management Consultants Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information on page 10 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 2, 1996 Page 2 of 2 David C. Moja, C.P.A., PC P.O. Box 14212 Savannah, Georgia 31416 (912) 354-4141 INDEPENDENT AUDITORS' REPORT To the General Partners of Summer Lane Limited Partnership We have audited the accompanying balance sheets of Summer Lane Limited Partnership (a Georgia Limited Partnership) as of, December 31, 1995 and December 31, 1994, and the related statements of operations, partners, equity (deficit) and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Summer Lane Limited Partnership (a Georgia Limited Partnership) as of December 31, 1995 and December.31, 1994, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a' whole. The additional information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information, except for the portion marked "unaudited", on which we express no opinion, has been subjected to the procedures applied in the audits of the basic financial statements and, in inion, is fairly presented in all material respects in on to the basic financial statements taken as a whole. DAVID C. MOJA, C.P.A., P.C March 11, 1996 Savannah, Georgia GRAHAM CARTER & JENNINGS, P.C. CERTIFIED PUBLIC ACCOUNTANTS Harold D. Carter (1931-1993) Jack G. Jennings Walter H. Graham Michael J. Carter Diane B. Carter Independent Auditor's Report To the Partners Victoria Limited Partnership We have audited the accompanying balance sheets of Victoria Limited Partnership (a Virginia limited partnership) , FMHA Project No. : 54-067- 541518059, as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows for the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Victoria Limited Partnership, FMHA Project No.: 54-067-541518059, as of December 31, 1995 and 1994, and the results of its operations, the changes in partners, capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 26, 1996 601 Thimble Shoals Boulevard Suite 201 Newport News, Virginia 23606 (804) 873-0767 Fax (804) 873-6938 CARTER & JENNINGS, P.C. CERTIFIED PUBLIC ACCOUNTANTS Harold D. Carter (1931-1993) Jack G. Jennings Michael J. Carter 11832-B Canon Boulevard Newport News, Virginia 23606 (804) 873-0767 Facsimile (804) 873-0874 Independent Auditor's Report To the Partners Victoria Limited Partnership We have audited the accompanying balance sheets of Victoria Limited Partnership (a Virginia limited partnership), FMHA Project No.: 54-067-541518059, as of December 31, 1994 and 1993, and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Victoria Limited Partnership, FMHA Project No.: 54-067- 541518059, as of December 31, 1994 and 1993, and the results of its operations, the changes in partners' capital and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Newport News, Virginia February 3, 1995 MCMILLAN, PATE & KING, L.L.P. CERTIFIED PUBLIC ACCOUNTANTS 615 OBERLIN ROAD, SUITE 200 RALEIGH, NC 27605 INDEPENDENT AUDITORS' REPORT Partners Village Terrace Limited Partnership We have audited the balance sheet of Village Terrace Limited Partnership as of December 31, 1995 and the related statements of operations, partners' capital, and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. The financial statements of Village Terrace Limited Partnership as of December 31, 1994, were audited by other auditors who have ceased operations and whose report dated February 13, 1995, expressed an unqualified opinion on those statements. McMillan, Pate & Robertson, Certified Public Accountants, a North Carolina partnership, ceased business operations on February 29, 1996. In accordance with North Carolina General Statutes and the North Carolina Accountancy Rules, the Company directed its records to be transferred to McMillan, Pate & King, L.L.P., which commenced business operations on March 1, 1996. Incomplete accounting and tax services of McMillan, Pate & Robertson are being completed by McMillan, Pate & King, L.L.P. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Village Terrace Limited Partnership as of December 31, 1995 and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on page 9 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the audit procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. February 2, 1996 and March 1, 1996 JAMES KNUTZEN & ASSOCIATES, C.P.A.'s, PA SUITE 230 3100 UNIVERSITY BOULEVARD SOUTH JACKSONVILLE, FLORIDA 32216 (904) 725-5832 FAX (904) 727-6835 MEMBER OF AMERICAN AND FLORIDA CERTIFIED PUBLIC ACCOUNTANTS James Knutzen, C.P.A., M.B.A Christina F. Gibson.C.P.A. Raju Iyer. C.P.A Gregory Korn. C.P.A. Todd Middlemas. C.P.A. Wilson Trammell, C.P.A. CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITORS' REPORT To the Partners of Wildwood Terrace, Ltd. We have audited the accompanying balance sheets of Wildwood Terrace, Ltd. (a Florida Limited Partnership), FMHA Project No.: 09-060-0593009334, as of December 31, 1994 and 1993 and the related statements of operations, partners' capital and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Wildwood Terrace, Ltd. (a Florida Limited Partnership) as of December 31, 1994 and 1993, and the results of its operations, partners' capital, and cash flows for the years then ended, in conformity with generally accepted accounting principles. Page 1 of 2 James Knutzen & Associates C.P.A.'s, P.A. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information on pages 15 - - 18 is presented for the purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. JAMES KNUTZEN & ASSOCIATES, C.P.A'S P.A JACKSONVILLE, FLORIDA FEBRUARY 9, 1995 Page 2 of 2 STIENESSEN - SCHLEGEL & CO. LIMITED LIABILITY COMPANY CERTIFIED PUBLIC ACCOUNTANTS Independent Auditor's Report To the Partners Woodfield Commons Limited Partnership We have audited the accompanying balance sheets of Woodfleld Commons Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, partners' equity, and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Woodfield Commons Limited Partnership, as of December 31, 1995 and 1994, and the results of its operations, changes in partners' equity, and cash flows for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 13 and 14 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. CERTIFIED PUBLIC ACCOUNTANTS January 17, 1996 2411 N.HILLCREST PARKWAY, P.O. BOX 810, EAST CLAIRE, W 54702-0810 * PHONE (715) 832-3425 * FAX (715) 832-1665 MAHONEY ULBRICH CHRISTIANSEN RUSS P.A MEMBERS American Institute of Certified Accountants Minnesota Society of Certified Public Accountants Suite 800 Capital Center 386 North Wabasha Saint Paul, Minnesota 55102 Telephone 612-227-6695 Facsimile 612-227-9796 To the Partners Zinsmaster Limited Partnership Minneapolis, Minnesota INDEPENDENT AUDITORS' REPORT We have audited the accompanying balance sheets of Zinsmaster Limited Partnership (FMHA Project No. 88-R-029) as of December 31, 1995 and 1994, and the related statements of operations, partners' capital and cash flows, for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Zinsmaster Limited Partnership as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 11 through 16 is presented for the purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Saint Paul, Minnesota January 24, 1996 TAMA AND BUDAJ, P.C. Certified Public Accountants 32783 Middlebelt Road Farmington Hills, Michigan 48334-1726 (810) 626-3800 Fax No. (810) 626-2276 ELY TAMA, CPA* JEFFREY F. BUDAJ, CPA - ---------------------- BARTON A. LOWN, CPA EMIL A. RAAB, CPA DIANE L. ISAACS, CPA JONATHON M. SHELDON, CPA JOHN W. WEIPERT, CPA * Also Licensed in Florida And South Carolina MEMBERS - ------- AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MICHIGAN ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS SOUTH CAROLINA ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT - ---------------------------- To the Partners of Rosewood Manor, Ltd. We have audited the accompanying balance sheet of ROSEWOOD MANOR, LTD. as of December 31, 1993, and the related statements of operations, changes in partners' capital (deficit) and cash flows - project operations for the year then ended. These financial statements are the responsibility of the general partner and management of the partnership. Our responsibility is to express an opinion on these financial statements based on our audit. The financial statements of ROSEWOOD MANOR, LTD. as of December 31, 1992, were audited by other auditors whose report darted February 5, 1993, expressed an unqualified opinion on those statements. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. Page 1 TAMA AND BUDAJ, P.C. Page 2 In our opinion, the financial statements referred to above present fairly in all material respects, the financial position of ROSEWOOD MANOR, LTD., as of December 31, 1993, and the results of its operations and its cash flows for the year then ended. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supporting data on pages 10 through 13 inclusive has been subjected to the auditing procedures applied in the examination of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. We have also reviewed internal accounting controls and compliance with laws and regulations and have rendered our reports thereon on pages 14 through 16. TAMA AND BUDAJ, P C. Farmington Hills, Michigan February 9, 1994 TAMA AND BUDAJ, P.C. Certified Public Accountants 32783 Middlebelt Road Farmington Hills, Michigan 48334-1726 (810) 626-3800 Fax No. (810) 626-2276 ELY TAMA, CPA* JEFFREY F. BUDAJ, CPA - ---------------------- BARTON A. LOWN, CPA EMIL A. RAAB, CPA DIANE L. ISAACS, CPA JONATHON M. SHELDON, CPA JOHN W. WEIPERT, CPA * Also Licensed in Florida And South Carolina MEMBERS - ------- AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MICHIGAN ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS SOUTH CAROLINA ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT - ---------------------------- To the Partners of Rosewood Manor, Ltd. We have audited the accompanying balance sheet of ROSEWOOD MANOR, LTD. as of December 31, 1995 and 1994, and the related statements of operations, changes in partners' equity (deficit) and cash flows - project operations for the year then ended. These financial statements are the responsibility of the general partner and management of the partnership. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly in all material respects, the financial position of ROSEWOOD MANOR, LTD., as of December 31, 1995 and 1994, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. TAMA AND BUDAJ, P.C. Page 2 Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supporting data on pages 10 through 17 inclusive has been subjected to the auditing procedures applied in the examination of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as whole. We have also reviewed internal accounting controls and compliance with laws and regulations and have rendered our reports thereon on pages 18 through 20. TAMA AND BUDAJ, P C. Farmington Hills, Michigan February 9, 1996 J. MARC HILL CERTIFIED PUBLIC ACCOUNTANT 12700 PRESTON ROAD, SUITE 185 DALLAS, TEXAS 75230 June 9, 1995 To the Partners of One Northridge Limited Partnership INDEPENDENT AUDITOR'S REPORT LETTER - ----------------------------------- I have audited the accompanying balance sheets of One Northridge Limited Partnership as of December 31, 1994 and 1993, and the related statements of operations, cash flows and partners' equity (deficit) for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audit in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audit provides a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of One Northridge Limited Partnership as of December 31, 1994 and 1993 and the results of operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included is for additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. J. Marc Hill Certified Public Accountant J. MARC HILL CERTIFIED PUBLIC ACCOUNTANT 12700 PRESTON ROAD, SUITE 185 DALLAS, TEXAS 75230 April 8, 1996 To the Partners of One Northridge Limited Partnership INDEPENDENT AUDITOR'S REPORT LETTER - ----------------------------------- I have audited the accompanying balance sheets of One Northridge Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, cash flows and partners' equity (deficit) for the years then ended. These financial statements are the responsibility of the partnership's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audit in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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. I believe that my audit provides a reasonable basis or my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of One Northridge Limited Partnership as of December 31, 1995 and 1994 and the results of operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. My audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information included is for additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. J. Marc Hill Certified Public Accountant SADLER & LEBOWITZ Certified Public Accountants 3000 Marcus Avenue Lake Success, N.Y. 11042 516-352-0400 Fax 516-352-0494 MEMBERS - ------- AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS NEW YORK SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Robert B. Lebowitz, CPA Melvin R. Sadler, CPA INDEPENDENT AUDITORS' REPORT - ---------------------------- To the Partners Bridge Coalition Limited Partnership We have audited the balance sheet of Bridge Coalition Limited Partnership as of December 31, 1993, and the related statements of operations, partners' equity (deficit) and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. The financial statements of Bridge Coalition Limited Partnership as of December 31, 1992, were audited by other auditors whose report, dated February 8, 1993, expressed an unqualified opinion on those statements. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the 1993 financial statements referred to above present fairly in all material respects, the financial position of Bridge Coalition Limited Partnership as of December 31, 1993 and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Lake Success, New York February 2, 1994 SADLER & LEBOWITZ Certified Public Accountants 3000 Marcus Avenue Lake Success, N.Y. 11042 516-352-0400 Fax 516-352-0494 MEMBERS - ------- AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS NEW YORK SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS Robert B. Lebowitz, CPA Melvin R. Sadler, CPA INDEPENDENT AUDITORS' REPORT - ---------------------------- To the Partners Bridge Coalition Limited Partnership We have audited the balance sheet of Bridge Coalition Limited Partnership as of December 31, 1995 and 1994, and the related statements of operations, partners' equity and cash flows for the year then ended. These financial statements are the responsibility of the Partnership'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 perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly in all material respects, the financial position of Bridge Coalition Limited Partnership as of December 31, 1995 and 1994 and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Lake Success, New York May 1, 1996 STEWART And KERR, PA Certified Public Accountants 6817 Falls of Neuse Road, Suite 106 Raleigh, North Carolina 27615 (919) 676-3115 Fax (919) 676-3866 MEMBER - ------ AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS NORTH CAROLINA ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS - -------------------------------------------------------- To the Partners St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments Raleigh, North Carolina We have audited the accompanying balance sheets of St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments, as of December 31, 1995, and the related statements of operations, partners' equity and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. The financial statements of St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments as of December 31, 1994 were audited by other auditors whose report dated January 24, 1995, expressed an unqualified opinion on those statements. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes 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 reasonable basis or our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments as of December 31, 1995, and the results of its operations, and its cash flows for the years then ended, in conformity with generally accepted accounting principles. Page 1 STEWART AND KERR, PA Page 2 In accordance with Government Auditing Standards, we have also issued a report dated February 11, 1996 on our consideration of St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments internal control structure and a report dated February 11, 1996 on its compliance with laws and regulations. Our audit was conducted for the purpose of forming an opinion on the 1995 financial statements taken as a whole. The accompanying information on Pages 11-12 is presented for the purposes of additional analysis and is not a required part of the financial statements of St. Barnabas Ridge Limited Partnership d/b/a Snow Hill Ridge Apartments. Such 1995 information has been subjected to the auditing procedures applied in the audit of the 1995 financial statements and, in our opinion, is fairly presented in all material respects in relation to the 1995 financial statements taken as a whole. Raleigh, North Carolina February 11, 1996 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS March 31, 1996 and 1995 Total ----------------------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $80,065,183 $93,408,771 OTHER ASSETS Cash and cash equivalents (note E) 1,862,286 2,298,689 Notes receivable (note F) 1,168,584 1,168,584 Deferred acquisition costs, net of accumulated amortization (notes A and C) 1,286,884 1,168,917 Organization costs, net of accumulated amortization (note A) 9,828 71,097 Other 1,093,447 1,485,331 ---------- ---------- $85,486,212 $99,601,389 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ 14,877 $ 65,708 Accounts payable - affiliates (note B) 9,118,716 6,575,076 Capital contributions payable (note C) 1,920,536 2,749,586 ---------- ---------- 11,054,129 9,390,370 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 18,679,738 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 18,679,738 issued and outstanding at March 31, 1996 and 1995 75,304,476 90,925,623 General Partner (872,393) (714,604) ---------- ---------- 74,432,083 90,211,019 ---------- ---------- $85,486,212 $99,601,389 ========== ========== (continued) F-5 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 7 -------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $2,897,708 $3,767,285 OTHER ASSETS Cash and cash equivalents (note E) 4,874 14,044 Notes receivable (note F) - - Deferred acquisition costs, net of accumulated amortization (notes A and C) - - Organization costs, net of accumulated amortization (note A) - - Other 16,450 16,450 --------- --------- $2,919,032 $3,797,779 ========= ========= LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ - $ - Accounts payable - affiliates (note B) 590,023 467,938 Capital contributions payable (note C) - - --------- --------- 590,023 467,938 --------- --------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 1,036,100 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 1,036,100 issued and outstanding at March 31, 1996 and 1995 2,395,645 3,386,469 General Partner (66,636) (56,628) --------- --------- 2,329,009 3,329,841 --------- --------- $2,919,032 $3,797,779 ========= ========= (continued) F-6 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 9 -------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $15,204,634 $18,039,825 OTHER ASSETS Cash and cash equivalents (note E) 658,264 712,489 Notes receivable (note H) - - Deferred acquisition costs, net of accumulated amortization (notes A and C) 23,052 - Organization costs, net of accumulated amortization (note A) - - Other 12,351 98,012 ---------- ---------- $15,898,301 $18,850,326 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ - $ - Accounts payable - affiliates (note B) 2,306,757 1,722,093 Capital contributions payable (note C) 99,610 255,673 ---------- ---------- 2,406,367 1,977,766 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 4,178,029 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 4,178,029 issued and outstanding at March 31, 1996 and 1995 13,717,355 17,064,175 General Partner (225,421) (191,615) ---------- ---------- 13,491,934 16,872,560 ---------- ---------- $15,898,301 $18,850,326 ========== ========== (continued) F-7 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 10 --------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $10,398,970 $11,920,883 OTHER ASSETS Cash and cash equivalents (note E) 152,625 183,187 Notes receivable (note F) - - Deferred acquisition costs, net of accumulated amortization (notes A and C) 91,197 - Organization costs, net of accumulated amortization (note A) - 6,966 Other 38,979 39,248 ---------- ---------- $10,681,771 $12,150,284 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ - $ - Accounts payable - affiliates (note B) 1,628,452 1,257,048 Capital contributions payable (note C) - 10,014 ---------- ---------- 1,628,452 1,267,062 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 2,428,925 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 2,428,925 issued and outstanding at March 31, 1996 and 1995 9,173,599 10,985,203 General Partner (120,280) (101,981) ---------- ---------- 9,053,319 10,883,222 ---------- ---------- $10,681,771 $12,150,284 ========== ========== (continued) F-8 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 11 --------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $10,593,335 $12,364,385 OTHER ASSETS Cash and cash equivalents (note E) 233,619 147,072 Notes receivable (note F) - - Deferred acquisition costs, net of accumulated amortization (notes A and C) 46,224 - Organization costs, net of accumulated amortization (note A) - 8,365 Other 35,844 24,398 ---------- ---------- $10,909,022 $12,544,220 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ - $ - Accounts payable - affiliates (note B) 974,392 648,713 Capital contributions payable (note C) 27,528 27,528 ---------- ---------- 1,001,920 676,241 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 2,489,599 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 2,489,599 issued and outstanding at March 31, 1996 and 1995 10,022,716 11,963,984 General Partner (115,614) (96,005) ---------- ---------- 9,907,102 11,867,979 ---------- ---------- $10,909,022 $12,544,220 ========== ========== (continued) F-9 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 12 --------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $13,899,593 $16,087,796 OTHER ASSETS Cash and cash equivalents (note E) 167,568 195,421 Notes receivable (note F) - - Deferred acquisition costs, net of accumulated amortization (notes A and C) 352,896 366,212 Organization costs, net of accumulated amortization (note A) - 6,626 Other 52,141 44,452 ---------- ---------- $14,472,198 $16,700,507 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ - $ - Accounts payable - affiliates (note B) 1,245,117 861,848 Capital contributions payable (note C) 87,835 87,835 ---------- ---------- 1,332,952 949,683 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 2,972,795 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 2,972,795 issued and outstanding at March 31, 1996 and 1995 13,265,112 15,850,574 General Partner (125,866) (99,750) ---------- ---------- 13,139,246 15,750,824 ---------- ---------- $14,472,198 $16,700,507 ========== ========== (continued) F-10 Boston Capital Tax Credit Fund II Limited Partnership BALANCE SHEETS - CONTINUED March 31, 1996 and 1995 Series 14 --------- 1996 1995 ---- ---- ASSETS INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (notes B and D) $27,070,943 $31,228,597 OTHER ASSETS Cash and cash equivalents (note E) 645,336 1,046,476 Notes receivable (note F) 1,168,584 1,168,584 Deferred acquisition costs, net of accumulated amortization (notes A and C) 773,515 802,705 Organization costs, net of accumulated amortization (note A) 9,828 49,140 Other 937,682 1,262,771 ---------- ---------- $30,605,888 $35,558,273 ========== ========== LIABILITIES AND PARTNERS' CAPITAL LIABILITIES Accounts payable and accrued expenses $ 14,877 $ 65,708 Accounts payable - affiliates (note B) 2,373,975 1,617,436 Capital contributions payable (note C) 1,705,563 2,368,536 ---------- ---------- 4,094,415 4,051,680 ---------- ---------- PARTNERS' CAPITAL (note A) Assignor limited partner Units of limited partnership interest consisting of 20,000,000 authorized beneficial assignee certificates (BAC), $10 stated value, 5,574,290 issued and outstanding to the assignees at March 31, 1996 and 1995 - - Assignees Units of beneficial interest of the limited partnership interest of the assignor limited partner, 5,574,290 issued and outstanding at March 31, 1996 and 1995 26,730,049 31,675,218 General Partner (218,576) (168,625) ---------- ---------- 26,511,473 31,506,593 ---------- ---------- $30,605,888 $35,558,273 ========== ========== See notes to financial statements F-11 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS Years ended March 31, 1996, 1995 and 1994 Total ------------------------------------- 1996 1995 1994 ---- ---- ---- Income Interest income $ 65,468 $ 72,623 $ 371,989 Miscellaneous income - 6,100 13,326 ---------- ----------- ----------- 65,468 78,723 385,315 ---------- ----------- ----------- Share of losses from operating limited partnerships (12,992,069) (14,053,018) (15,080,553) ---------- ----------- ----------- Expenses Professional fees 221,999 216,816 221,775 Partnership management fee (note B) 2,356,546 2,296,779 2,282,405 Amortization (note A) 109,832 117,259 138,350 General and administrative expenses (note B) 163,958 245,194 378,790 ---------- ----------- ----------- 2,852,335 2,876,048 3,021,320 ---------- ----------- ----------- NET LOSS $(15,778,936)$(16,850,343)$(17,716,558) ========== =========== =========== Net loss allocated to general partner $ (157,789)$ (168,503)$ (177,166) =========== =========== =========== Net loss allocated to assignees $(15,621,147)$(16,681,840)$(17,539,392) =========== =========== =========== Net loss per BAC $ (.84)$ (.89)$ (.94) ========== =========== =========== (continued) F-12 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 7 ----------------------------------- 1996 1995 1994 ---- ---- ---- Income Interest income $ 216 $ 429 $ 50,364 Miscellaneous income - 650 650 --------- -------- ---------- 216 1,079 51,014 --------- -------- ---------- Share of losses from operating limited partnerships (867,319) (839,141) (1,386,162) --------- -------- ---------- Expenses Professional fees 19,823 18,723 7,968 Partnership management fee (note B) 107,256 108,653 109,457 Amortization (note A) - 3,133 7,567 General and administrative expenses (note B) 6,650 11,644 12,555 --------- -------- ---------- 133,729 142,153 137,547 --------- -------- ---------- NET LOSS $1,000,832 $(980,215) $(1,472,695) ========= ======== ========== Net loss allocated to general partner $ (10,008) $ (9,802) $ (14,727) ========= ======== ========== Net loss allocated to assignees $ (990,824) $(970,413) $(1,457,968) ========= ======== ========== Net loss per BAC $ (.96) $ (.94) $ (1.41) ========= ======== ========== (continued) F-13 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 9 ------------------------------------ 1996 1995 1994 ---- ---- ---- Income Interest income $ 25,217 $ 12,715 $ 84,014 Miscellaneous income - 1,150 3,150 ---------- ---------- ---------- 25,217 13,865 87,164 ---------- ---------- ---------- Share of losses from operating limited partnerships (2,777,350) (3,302,891) (3,094,592) ---------- ---------- ---------- Expenses Professional fees 35,155 37,350 37,147 Partnership management fee (note B) 560,971 544,340 521,108 Amortization (note A) 870 14,858 29,715 General and administrative expenses (note B) 31,497 49,687 61,293 ---------- ---------- ---------- 628,493 646,235 649,263 ---------- ---------- ---------- NET LOSS $(3,380,626) $(3,935,261) $(3,656,691) ========== ========== ========== Net loss allocated to general partner $ (33,806) $ (39,353) $ (36,567) ========== ========== ========== Net loss allocated to assignees $(3,346,820) $(3,895,908) $(3,620,124) ========== ========== ========== Net loss per BAC $ (.80) $ (.93) $ (.87) ========== ========== ========== (continued) F-14 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 10 ------------------------------------ 1996 1995 1994 ---- ---- ---- Income Interest income $ 4,445 $ 4,067 $ 44,447 Miscellaneous income - 950 2,063 --------- ---------- ---------- 4,445 5,017 46,510 --------- ---------- ---------- Share of losses from operating limited partnerships (1,426,332) (1,631,850) (1,714,242) --------- ---------- ---------- Expenses Professional fees 30,562 31,623 32,811 Partnership management fee (note B) 343,505 322,413 335,618 Amortization (note A) 10,407 16,717 16,717 General and administrative expenses (note B) 23,542 37,434 47,895 --------- ---------- ---------- 408,016 408,187 433,041 --------- ---------- ---------- NET LOSS $(1,829,903) $(2,035,020) $(2,100,773) ========== ========== ========== Net loss allocated to general partner $ (18,299) $ (20,350) $ (21,008) ========== ========== ========== Net loss allocated to assignees $(1,811,604) $(2,014,670) $(2,079,765) ========== ========== ========== Net loss per BAC $ (.75) $ (.83) $ (.86) ========== ========== ========== (continued) F-15 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 11 ----------------------------------- 1996 1995 1994 ---- ---- ---- Income Interest income $ 4,570 $ 4,869 $ 9,404 Miscellaneous income - 450 1,625 ---------- ---------- ---------- 4,570 5,319 11,029 ---------- ---------- ---------- Share of losses from operating limited partnerships (1,621,193) (1,766,133) (1,982,910) ---------- ---------- ---------- Expenses Professional fees 29,212 30,864 38,119 Partnership management fee (note B) 284,604 298,436 300,107 Amortization (note A) 10,109 16,729 18,529 General and administrative expenses (note B) 20,329 29,243 36,568 ---------- ---------- ---------- 344,254 375,272 393,323 ---------- ---------- ---------- NET LOSS $(1,960,877) $(2,136,086) $(2,365,204) ========== ========== ========== Net loss allocated to general partner $ (19,609) $ (21,361) $ (23,652) ========== ========== ========== Net loss allocated to assignees $(1,941,268) $(2,114,725) $(2,341,552) ========== ========== ========== Net loss per BAC $ (.78) $ (.85) $ (.94) ========== ========== ========== (continued) F-16 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 12 ----------------------------------- 1996 1995 1994 ---- ---- ---- Income Interest income $ 4,804 $ 7,012 $ 22,782 Miscellaneous income - 1,025 1,800 ---------- ---------- ---------- 4,804 8,037 24,582 ---------- ---------- ---------- Share of losses from operating limited partnerships (2,179,426) (2,227,692) (2,155,526) ---------- ---------- ---------- Expenses Professional fees 36,776 35,245 34,467 Partnership management fee (note B) 353,184 359,903 379,259 Amortization (note A) 19,944 26,509 26,509 General and administrative expenses (note B) 27,052 39,612 44,301 ---------- ---------- ---------- 436,956 461,269 484,536 ---------- ---------- ---------- NET LOSS $(2,611,578) $(2,680,924) $(2,615,480) ========== ========== ========== Net loss allocated to general partner $ (26,116) $ (26,809) $ (26,155) ========== ========== ========== Net loss allocated to assignees $(2,585,462) $(2,654,115) $(2,589,325) ========== ========== ========== Net loss per BAC $ (.87) $ (.89) $ (.87) ========== ========== ========== (continued) F-17 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF OPERATIONS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 14 ----------------------------------- 1996 1995 1994 ---- ---- ---- Income Interest income $ 26,216 $ 43,531 $ 160,978 Miscellaneous income - 1,875 4,038 ---------- ---------- ---------- 26,216 45,406 165,016 ---------- ---------- ---------- Share of losses from operating limited partnerships (4,120,449) (4,285,311) (4,747,121) ---------- ---------- ---------- Expenses Professional fees 70,471 63,011 71,263 Partnership management fee (note B) 707,026 663,034 636,856 Amortization (note A) 68,502 39,313 39,313 General and administrative expenses (note B) 54,888 77,574 176,178 ---------- ---------- ---------- 900,887 842,932 923,610 ---------- ---------- ---------- NET LOSS $(4,995,120) $(5,082,837) $(5,505,715) ========== ========== ========== Net loss allocated to general partner $ (49,951) $ (50,828) $ (55,057) ========== ========== ========== Net loss allocated to assignees $(4,945,169) $(5,032,009) $(5,450,658) ========== ========== ========== Net loss per BAC $ (.89) $ (.90) $ (.98) ========== ========== ========== See notes to financial statements F-18 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CHANGES IN PARTNERS' CAPITAL Years ended March 31, 1996, 1995 and 1994 General Assignees Partner Total --------- ------- ----- Partners' capital (deficit), March 31, 1993 $125,207,855 $(368,935) $124,838,920 Return of equity (61,000) - (61,000) Net loss (17,539,392) (177,166) (17,716,558) ----------- -------- ----------- Partners' capital (deficit), March 31, 1994 107,607,463 (546,101) 107,061,362 Net loss (16,681,840) (168,503) (16,850,343) ----------- -------- ----------- Partners' capital (deficit), March 31, 1995 90,925,623 (714,604) 90,211,019 Net loss (15,621,147) (157,789) (15,778,936) ----------- -------- ----------- Partners' capital (deficit), March 31, 1996 $75,304,476 $(872,393) $74,432,083 =========== ======== ========== (continued) F-19 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CHANGES IN PARTNERS' CAPITAL - CONTINUED Years ended March 31, 1996, 1995 and 1994 General Assignees Partner Total --------- ------- ----- Series 7 -------- Partners' capital (deficit), March 31, 1993 $ 5,814,850 $(32,099) $ 5,782,751 Net loss (1,457,968) (14,727) (1,472,695) ---------- ------- ---------- Partners' capital (deficit), March 31, 1994 4,356,882 (46,826) 4,310,056 Net loss (970,413) (9,802) (980,215) ---------- ------- ---------- Partners' capital (deficit), March 31, 1995 3,386,469 (56,628) 3,329,841 Net loss (990,824) (10,008) (1,000,832) ---------- ------- ---------- Partners' capital (deficit), March 31, 1996 $ 2,395,645 $(66,636) $ 2,329,009 ========== ======= ========== Series 9 -------- Partners' capital (deficit), March 31, 1993 $24,580,207 $(115,695) $24,464,512 Net loss (3,620,124) (36,567) (3,656,691) ---------- -------- ---------- Partners' capital (deficit), March 31, 1994 20,960,083 (152,262) 20,807,821 Net loss (3,895,908) (39,353) (3,935,261) ---------- -------- ---------- Partners' capital (deficit), March 31, 1995 17,064,175 (191,615) 16,872,560 Net loss (3,346,820) (33,806) (3,380,626) ---------- -------- ---------- Partners' capital (deficit), March 31, 1996 $13,717,355 $(225,421) $13,491,934 ========== ======== ========== (continued) F-20 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CHANGES IN PARTNERS' CAPITAL - CONTINUED Years ended March 31, 1996, 1995 and 1994 General Assignees Partner Total --------- ------- ----- Series 10 --------- Partners' capital (deficit), March 31, 1993 $15,079,638 $(60,623) $15,019,015 Net loss (2,079,765) (21,008) (2,100,773) ---------- ------- ---------- Partners' capital (deficit), March 31, 1994 12,999,873 (81,631) 12,918,242 Net loss (2,014,670) (20,350) (2,035,020) ---------- ------- ---------- Partners' capital (deficit), March 31, 1995 10,985,203 (101,981) 10,883,222 Net loss (1,811,604) (18,299) (1,829,903) ---------- ------- ---------- Partners' capital (deficit), March 31, 1996 $9,173,599 $(120,280) $9,053,319 ========= ======== ========= Series 11 --------- Partners' capital (deficit), March 31, 1993 $16,420,261 $(50,992) $16,369,269 Net loss (2,341,552) (23,652) (2,365,204) ---------- ------- ---------- Partners' capital (deficit), March 31, 1994 14,078,709 (74,644) 14,004,065 Net loss (2,114,725) (21,361) (2,136,086) ---------- ------- ---------- Partners' capital (deficit), March 31, 1995 11,963,984 (96,005) 11,867,979 Net loss (1,941,268) (19,609) (1,960,877) ---------- ------- ---------- Partners' capital (deficit), March 31, 1996 $10,022,716 $(115,614) $ 9,907,102 ========== ======= ========== (continued) F-21 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CHANGES IN PARTNERS' CAPITAL - CONTINUED Years ended March 31, 1996, 1995 and 1994 General Assignees Partner Total --------- ------- ----- Series 12 --------- Partners' capital (deficit), March 31, 1993 $21,155,014 $(46,786) $21,108,228 Return of equity (61,000) - (61,000) Net loss (2,589,325) (26,155) (2,615,480) ---------- -------- ---------- Partners' capital (deficit), March 31, 1994 18,504,689 (72,941) 18,431,748 Net loss (2,654,115) (26,809) (2,680,924) ---------- -------- ---------- Partners' capital (deficit), March 31, 1995 15,850,574 (99,750) 15,750,824 Net loss (2,585,462) (26,116) (2,611,578) ---------- --------- ---------- Partners' capital (deficit), March 31, 1996 $13,265,112 $(125,866) $13,139,246 ========== ======== ========== Series 14 --------- Partners' capital (deficit), March 31, 1993 $42,157,885 $(62,740) $42,095,145 Net loss (5,450,658) (55,057) (5,505,715) ---------- -------- ---------- Partners' capital (deficit), March 31, 1994 36,707,227 (117,797) 36,589,430 Net loss (5,032,009) (50,828) (5,082,837) ---------- -------- ---------- Partners' capital (deficit), March 31, 1995 31,675,218 (168,625) 31,506,593 Net loss (4,945,169) (49,951) (4,995,120) ---------- -------- ---------- Partners' capital (deficit), March 31, 1996 $26,730,049 $(218,576) $26,511,473 ========== ======== ========== See notes to financial statements F-22 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS Years ended March 31, 1996, 1995 and 1994 Total ---------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(15,778,936) $(16,850,343)$(17,716,558) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 101,256 55,360 101,889 Share of losses from operating limited partnerships 12,992,069 14,053,018 15,080,553 Amortization 109,832 117,259 138,350 Changes in assets and liabilities Accounts payable and accrued expenses 2,492,807 2,532,623 2,357,809 Prepaid expenses - 11,084 18,316 Other assets 415,503 (11,793) (91,763) ----------- ----------- ----------- Net cash provided by (used in) operating activities 332,531 (92,792) (111,404) ----------- ----------- ----------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - (9,216) (96,853) Capital contributions paid to operating limited partnerships (768,934) (1,839,134) (8,474,856) Deposits for purchases of operating limited partnerships - 242,205 (507,910) Repayment from (advance to) operating limited partnerships - 401,272 (194,713) Decrease (increase) in investments - 1,775,612 179,530 Proceeds from repurchase of operating limited partnership interest - 190,001 - ----------- ----------- ----------- Net cash provided by (used in) investing activities (768,934) 760,740 (9,094,802) ----------- ----------- ----------- Cash flows from financing activities Return of equity to Limited Partner - - (61,000) ----------- ----------- ----------- Net cash used in financing activities - - (61,000) ----------- ----------- ----------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (436,403) 667,948 (9,267,206) Cash and cash equivalents, beginning 2,298,689 1,630,741 10,897,947 ----------- ----------- ----------- Cash and cash equivalents, end $ 1,862,286 $ 2,298,689 $ 1,630,741 =========== =========== =========== (continued) F-23 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Total -------------------------------- 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $787,615 $1,640,830 ======= ======= ========= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ 60,116 $ 78,792 $ 758,186 ======= ======= ========= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ 26,305 $ 51,995 $ 861,233 ======= ======= ========= The partnership has applied deposits for purchases of operating limited partnerships against installments of capital contributions $ - $ 81,084 $6,293,697 ======= ======= ========= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ 200,000 ======= ======= ========= (continued) F-24 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 7 ---------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(1,000,832) $(980,215)$(1,472,695) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 2,258 - - Share of losses from operating limited partnerships 867,319 839,141 1,386,162 Amortization - 3,133 7,567 Changes in assets and liabilities Accounts payable and accrued expenses 122,085 128,494 108,035 Prepaid expenses - - - Other assets - - - ---------- --------- ---------- Net cash provided by (used in) operating activities (9,170) (9,447) 29,069 ---------- --------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - - - Capital contributions paid to operating limited partnerships - (1,378) (234,981) Deposits for purchases of operating limited partnerships - - - Repayment from (advance to) operating limited partnerships - - - Decrease (increase) in investments - - - Proceeds from repurchase of operating limited partnership interest - - - ---------- --------- ---------- Net cash provided by (used in) investing activities - (1,378) (234,981) ---------- --------- ---------- Cash flows from financing activities Return of equity to limited partner - - - ---------- --------- ---------- Net cash used in financing activities - - - ---------- --------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (9,170) (10,825) (205,912) Cash and cash equivalents, beginning 14,044 24,869 230,781 ---------- --------- ---------- Cash and cash equivalents, end $ 4,874 $ 14,044 $ 24,869 ========== ========= ========== (continued) F-25 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 7 -------------------------------- 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities: The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $ - $ - ======= ======= ======= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ - $ 15,248 $ - ======= ======= ======= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ - $ - $ - ======= ======= ======= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ 1 ======= ======= ======= (continued) F-26 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 9 ---------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(3,380,626) $(3,935,261)$(3,656,691) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 4,554 5,845 6,882 Share of losses from operating limited partnerships 2,777,350 3,302,891 3,094,592 Amortization 870 14,858 29,715 Changes in assets and liabilities Accounts payable and accrued expenses 584,663 554,924 552,770 Prepaid expenses - 3,200 7,374 Other assets 82,981 86,522 (12,114) ---------- ---------- ---------- Net cash provided by (used in) operating activities 69,792 32,979 22,528 ---------- ---------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - - - Capital contributions paid to operating limited partnerships (124,017) (500,371) (2,344,306) Deposits for purchases of operating limited partnerships - - (153,150) Repayment from (advance to) operating limited partnerships - - - Decrease (increase) in investments - 794,961 63,100 Proceeds from repurchase of operating limited partnership interest - - - ---------- ---------- ----------- Net cash provided by (used in) investing activities (124,017) 294,590 (2,434,356) ---------- ---------- ---------- Cash flows from financing activities: Return of equity to limited partner - - - ---------- ---------- ---------- Net cash used in financing activities - - - ---------- ---------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (54,225) 327,569 (2,411,828) Cash and cash equivalents, beginning 712,489 384,920 2,796,748 ---------- ---------- --------- Cash and cash equivalents, end $ 658,264 $ 712,489 $ 384,920 ========== ========== ========= (continued) F-27 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 9 ------------------------------- 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $ 14,566 $479,727 ======= ======= ======= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ 32,046 $ 53,025 $ 68,359 ======= ======= ======= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ - $ - $ 72,947 ======= ======= ======== The partnership has applied notes receivable against installments of capital contributions $ - $ - $ - ======= ======= ======= (continued) F-28 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 10 ----------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(1,829,903) $(2,035,020) $(2,100,773) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 947 7,691 872 Share of losses from operating limited partnerships 1,426,332 1,631,850 1,714,242 Amortization 10,407 16,717 16,717 Changes in assets and liabilities Accounts payable and accrued expenses 371,404 355,512 347,596 Prepaid expenses - 3,476 6,034 Other assets 265 71,245 (61,393) ---------- ---------- ---------- Net cash provided by (used in) operating activities (20,548) 51,471 (76,705) ---------- ---------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - - - Capital contributions paid to operating limited partnerships (10,014) (134,401) (1,924,833) Deposits for purchases of operating limited partnerships - - - Repayment from (advance to) operating limited partnerships - - - Decrease (increase) in investments - 67,928 701,503 Proceeds from repurchase of operating limited partnership interest - - - ---------- ---------- ---------- Net cash provided by (used in) investing activities (10,014) (66,473) (1,223,330) ---------- --------- ---------- Cash flows from financing activities Return of equity to limites partner - - - ---------- --------- ---------- Net cash used in financing activities - - - ---------- ---------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (30,562) (15,002) (1,300,035) Cash and cash equivalents, beginning 183,187 198,189 1,498,224 ---------- ---------- ---------- Cash and cash equivalents, end $ 152,625 $ 183,187 $ 198,189 ========== ========== ========== (continued) F-29 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 10 ------------------------------ 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $ - $145,525 ======= ======= ======= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ - $ - $ 19,704 ======= ======= ======= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ - $ 17,540 $ 34,994 ======= ======= ======= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ - ======= ======= ======= (continued) F-30 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 11 --------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(1,960,877) $(2,136,086)$(2,365,204) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 90,443 7,854 50,300 Share of losses from operating limited partnerships 1,621,193 1,766,133 1,982,910 Amortization 10,109 16,729 18,529 Changes in assets and liabilities Accounts payable and accrued expenses 325,679 325,678 320,303 Prepaid expenses - - 3,645 Other assets - 3,101 (37,790) ---------- ----------- ---------- Net cash provided by (used in) operating activities 86,547 (16,591) (27,307) ---------- ----------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - - (8,000) Capital contributions paid to operating limited partnerships - (223,655) (974,810) Deposits for purchases of operating limited partnerships - - - Repayment from (advance to) operating limited partnerships - - - Decrease (increase) in investments - - 292,759 Proceeds from repurchase of operating limited partnership interest - 190,001 - ---------- ------------ --------- Net cash provided by (used in) investing activities - (33,654) (690,051) ---------- ----------- --------- Cash flows from financing activities: Return of equity to limited partner - - - ---------- ----------- ---------- Net cash used in financing activities - - - ---------- ----------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 86,547 (50,245) (717,358) Cash and cash equivalents, beginning 147,072 197,317 914,675 ---------- ----------- --------- Cash and cash equivalents, end $ 233,619 $ 147,072 $ 197,317 ========== =========== ========= (continued) F-31 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 11 -------------------------------- 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $ - $ 33,654 ======= ======= ======= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ - $ - $ 13,598 ======= ======= ======= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ 11,446 $ 14,606 $ 15,360 ======= ======= ======= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ - ======= ======= ======= (continued) F-32 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 12 ---------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(2,611,578) $(2,680,924) $(2,615,480) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 1,087 482 8,087 Share of losses from operating limited partnerships 2,179,426 2,227,692 2,155,526 Amortization 19,944 26,509 26,509 Changes in assets and liabilities Accounts payable and accrued expenses 383,268 383,268 369,591 Prepaid expenses - - 314 Other assets - 34,083 17,324 ---------- --------- ---------- Net cash provided by (used in) operating activities (27,853) (8,890) (38,129) ---------- --------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - (524) (13,449) Capital contributions paid to operating limited partnerships - (354,668) (624,591) Deposits for purchases of operating limited partnerships - 341,929 (354,760) Repayment from (advance to) operating limited partnerships - - 45,189 Decrease (increase) in investments - - 24,418 Proceeds from repurchase of operating limited partnership interest - - - ---------- --------- ---------- Net cash provided by (used in) investing activities - (13,263) (923,193) ---------- --------- ---------- Cash flows from financing activities Return of equity to Limited Partner - - (61,000) ---------- --------- ---------- Net cash used in financing activities - - (61,000) ---------- --------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (27,853) (22,153) (1,022,322) Cash and cash equivalents, beginning 195,421 217,574 1,239,896 ---------- --------- ---------- Cash and cash equivalents, end $ 167,568 $ 195,421 $ 217,574 ========== ========== =========== (continued) F-33 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 12 ------------------------------- 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $ - $ 356,924 ======= ======= ========= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ - $ - $ 18,493 ======= ======= ========= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ 7,689 $ 19,164 $ 694 ======= ======= ========= The partnership has applied deposits for purchases of operating limited partnerships against installments of capital contributions $ - $ 81,084 $3,832,836 ======= ======= ========= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ - ======= ======= ========= (continued) F-34 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 14 ---------------------------------- 1996 1995 1994 ---- ---- ---- Cash flows from operating activities Net loss $(4,995,120) $(5,082,837) $(5,505,715) Adjustments to reconcile net loss to net cash provided by (used in) operating activities Distributon from operating limited partnerships 1,967 33,488 35,748 Share of losses from operating limited partnerships 4,120,449 4,285,311 4,747,121 Amortization 68,502 39,313 39,313 Changes in assets and liabilities Accounts payable and accrued expenses 705,708 784,747 659,514 Prepaid expenses - 4,408 949 Other assets 332,257 (207,744) 1,210 ---------- --------- ---------- Net cash provided by (used in) operating activities 233,763 (143,314) (21,860) ---------- --------- ---------- Cash flows from investing activities Acquisition costs paid for operating limited partnerships - (8,692) (75,404) Capital contributions paid to operating limited partnerships (634,903) (624,661) (2,371,335) Deposits for purchases of operating limited partnerships - (99,724) - Repayment from (advance to) operating limited partnerships - 401,272 (239,902) Decrease (increase) in investments - 913,723 (901,250) Proceeds from repurchase of operating limited partnership interest - - - ---------- --------- ---------- Net cash provided by (used in) investing activities (634,903) 581,918 (3,587,891) ---------- --------- ---------- Cash flows from financing activities Return of equity to Limited Partner - - - ---------- --------- ---------- Net cash used in financing activities - - - ---------- --------- ---------- NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (401,140) 438,604 (3,609,751) Cash and cash equivalents, beginning 1,046,476 607,872 4,217,623 ---------- --------- ----------- Cash and cash equivalents, end $ 645,336 $1,046,476 $ 607,872 ========== ========= =========== (continued) F-35 Boston Capital Tax Credit Fund II Limited Partnership STATEMENTS OF CASH FLOWS - CONTINUED Years ended March 31, 1996, 1995 and 1994 Series 14 ------------------------------ 1996 1995 1994 ---- ---- ---- Supplemental schedule of noncash investing and financing activities The partnership has increased its investments in operating limited partnerships for unpaid capital contributions due to the operating limited partnerships $ - $773,049 $ 625,000 ======= ======= ========= The partnership has decreased its capital contribution obligation to the operating limited partnerships for low income tax credits not generated $ 28,070 $ 10,519 $ 638,032 ======= ======= ========= The partnership has adjusted its investment in operating limited partnerships for low income tax credits not generated $ 7,170 $ 685 $ 737,238 ======= ======= ========= The partnership has applied deposits for purchases of operating limited partnerships against installments of capital contributions $ - $ - $2,460,861 ======= ======= ========= The partnership has applied notes receivable against installments of capital contributions $ - $ - $ 200,000 ======= ======= ========= See notes to financial statements F-36 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS March 31, 1996, 1995 and 1994 NOTE A - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Boston Capital Tax Credit Fund II Limited Partnership (the "partnership") was formed under the laws of the State of Delaware on June 28, 1989, for the purpose of acquiring, holding, and disposing of limited partnership interests in operating limited partnerships which will acquire, develop, rehabilitate, operate and own newly constructed, existing or rehabilitated low-income apartment complexes which qualify for the Low-Income Housing Tax Credit established by the Tax Reform Act of 1986. Certain of the apartment complexes may also qualify for the Historic Rehabilitation Tax Credit for their rehabilitation of a certified historic structure; accordingly, the apartment complexes are restricted as to rent charges and operating methods and are subject to the provisions of Section 42(g)(2) of the Internal Revenue Code relating to the Rehabilitation Investment Credit. The general partner of the partnership is Boston Capital Associates II Limited Partnership and the limited partner is BCTC Assignor Corp. II (the assignor limited partner). Pursuant to the Securities Act of 1933, the partnership filed a Form S-11 Registration Statement with the Securities and Exchange Commission, effective August 29, 1988, which covered the offering (the "Public Offering") of the partnership's beneficial assignee certificates ("BACs") representing assignments of units of the beneficial interest of the limited partnership interest of the assignor limited partner. The partnership registered 20,000,000 BACs at $10 per BAC for sale to the public in six series. BACs sold in bulk over $100,000 were offered to investors at a reduced cost per BAC. The partnership is no longer selling any BACs related to any series. The final closing in Series 14 was January 27, 1993. The BACs issued and outstanding in each series at March 31, 1996 and 1995 are as follows: Series 7 1,036,100 Series 9 4,178,029 Series 10 2,428,925 Series 11 2,489,599 Series 12 2,972,795 Series 14 5,574,290 ---------- 18,679,738 ========== In accordance with the limited partnership agreement, profits, losses, and cash flow (subject to certain priority allocations and distributions) and tax credits are allocated 99% to the assignees and 1% to the general partner. F-37 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE A - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Organization Costs ------------------ Initial organization and offering expenses, common to all series, are allocated on a percentage of equity raised to each series. Organization costs are being amortized on the straight-line method over sixty months. Accumulated amortization for the years ended March 31, 1996 and 1995 is as follows: 1996 1995 ---- ---- Series 7 $ 44,056 $ 44,056 Series 9 156,077 156,077 Series 10 90,168 83,202 Series 11 91,182 82,817 Series 12 104,791 98,164 Series 14 186,735 147,423 ------- ------- $673,009 $611,739 ======= ======= Deferred Acquisition Costs -------------------------- Deferred acquisition costs are being amortized on the straight-line method starting April 1, 1995 over 27.5 years (330 months). As of April 1, 1995, the partnership reclassified certain unallocated acquisition costs included in the investments in operating limited partnerships to deferred acquisition costs. The amounts include $23,920, $94,634 and $47,968 for Series 9, Series 10 and Series 11, respectively. Accumulated amortization for the year ended March 31, 1996 is as follows: 1996 ---- Series 7 $ - Series 9 870 Series 10 3,441 Series 11 1,744 Series 12 13,317 Series 14 29,190 ------- $ 48,562 ======= Income Taxes - ------------ No provision or benefit for income taxes has been included in these financial statements since taxable income or loss passes through to, and is reportable by, the partners and assignees individually. F-38 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE A - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Investments in Operating Limited Partnerships --------------------------------------------- The partnership accounts for its investments in operating limited partner- ships using the equity method of accounting. Under the equity method of accounting, the partnership adjusts its investment cost for its share of each operating limited partnership's results of operations and for any distributions received or accrued. However, the partnership recognizes individual operating partnership's losses only to the extent of capital contributions and acquisition expenses. Unrecognized losses are suspended and offset against future individual operating partnership's income. During the years ended March 31, 1995 and 1994, the partnership acquired interests in operating limited partnerships as follows (no operating partnerships were acquired during 1996): 1995 1994 ---- ---- Series 7 - - Series 9 1 7 Series 10 - 5 Series 11 - 2 Series 12 - 2 Series 14 4 4 - -- 5 20 = == Investments ----------- Investments held to maturity are carried at amortized cost and investments available-for-sale are carried at fair market value. Cash Equivalents ---------------- Cash equivalents include tax-exempt sweep accounts and money market accounts having original maturities at date of acquisition of three months or less. The carrying amounts approximates fair value because of the short maturity of these instruments. Fiscal Year ----------- For financial reporting, all the series use a March 31 year end, whereas for income tax reporting, each series uses a calendar year. The operating limited partnerships use a calendar year for both financial and income tax reporting. Net Loss per Beneficial Assignee Certificate -------------------------------------------- Net loss per beneficial assignee certificate is calculated based upon the weighted average number of units outstanding. The weighted average number of units outstanding in each series at March 31, 1996, 1995 and 1994 is as follows: Series 7 1,036,100 Series 9 4,178,029 Series 10 2,428,925 Series 11 2,489,599 Series 12 2,972,795 Series 14 5,574,290 ---------- 18,679,738 ========== F-39 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE A - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Use of Estimates ---------------- The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Recent Accounting Statements Not Yet Adopted -------------------------------------------- In March, 1995, the FASB issued SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to be Disposed Of." SFAS No. 121 is effective for financial statements issued for fiscal years beginning after December 15, 1995, with earlier application permitted SFAS No. 121 addresses the accounting for long-lived assets and certain identifiable intangibles to be held and used by an entity to be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The partnership will adopt SFAS No. 121 on April 1, 1996, as required. Adopting SFAS No. 121 is not expected to have a significant effect on the partnership's financial statements. NOTE B - RELATED PARTY TRANSACTIONS During the years ended March 31, 1996, 1995 and 1994, the partnership entered into several transactions with various affiliates of the general partner, including Boston Capital Partners, Inc., Boston Capital Services, Inc., and Boston Capital Communications Limited Partnership as follows: Boston Capital Communications Limited Partnership is entitled to an annual partnership management fee based on .5 percent of the aggregate cost of all apartment complexes acquired by the operating limited partnerships, less the amount of certain partnership management and reporting fees paid or payable by the operating limited partnerships. The aggregate cost is comprised of the capital contributions made by each series to the operating limited partnership and 99% of the permanent financing at the operating limited partnership level. The annual partnership management fees charged to each series' operations during the years ended March 31, 1996, 1995 and 1994 are as follows: 1996 1995 1994 ---- ---- ---- Series 7 $ 107,256 $ 108,653 $ 109,457 Series 9 560,971 544,340 521,108 Series 10 343,505 322,413 335,618 Series 11 284,604 298,436 300,107 Series 12 353,184 359,903 379,259 Series 14 707,026 663,034 636,856 --------- --------- --------- $2,356,546 $2,296,779 $2,282,405 ========= ========= ========= General and administrative expenses incurred by Boston Capital Partners, Inc. and Boston Capital Communications Limited Partnership during the years ended March 31, 1996, 1995 and 1994 charged to each series' operations are as follows: F-40 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE B - RELATED PARTY TRANSACTIONS (Continued) 1996 1995 1994 ---- ---- ---- Series 7 $ 742 $ 2,966 $ 6,046 Series 9 17,895 8,278 9,916 Series 10 12,777 8,508 9,242 Series 11 12,577 7,834 8,076 Series 12 16,322 9,407 8,405 Series 14 24,618 16,239 15,754 ------ ------ ------ $84,931 $53,232 $57,439 ====== ====== ====== Accounts payable - affiliates at March 31, 1996 and 1995 represents general and administrative expenses, partnership management fees, and commissions which are payable to Boston Capital Partners, Inc., Boston Capital Services, Inc., and Boston Capital Communications Limited Partnership. The carrying value of the accounts payable - affiliates approximates fair value. NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS At March 31, 1996, 1995 and 1994, the partnership has limited partner- ship interests in operating limited partnerships which own or are constructing operating apartment complexes. The number of operating limited partnerships in which the partnership has limited partnership interests at March 31, 1996, 1995 and 1994 by series are as follows: 1996 and 1995 1994 ------------- ---- Series 7 15 15 Series 9 55 54 Series 10 46 46 Series 11 40 40 Series 12 53 53 Series 14 101 97 --- --- 310 305 === === Under the terms of the partnership's investment in each operating limited partnership, the partnership is required to make capital contributions to the operating limited partnerships. These contributions are payable in installments over several years upon each operating limited partnership achieving specified levels of construction or operations. The contributions payable to operating limited partnerships at March 31, 1996 and 1995 by series are as follows: F-41 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) 1996 1995 ---- ---- Series 7 $ - $ - Series 9 99,610 255,673 Series 10 - 10,014 Series 11 27,528 27,528 Series 12 87,835 87,835 Series 14 1,705,563 2,368,536 --------- --------- $1,920,536 $2,749,586 ========= ========= The partnership's investments in operating limited partnerships at March 31, 1996 are summarized as follows: Total ---------- Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $133,519,434 Acquisition costs of operating limited partnerships 22,387,381 Cumulative distributions from operating limited partnerships (283,317) Cumulative losses from operating limited partnerships (75,558,315) ----------- Investment per balance sheet 80,065,183 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1996, which (have not) have been included in the partnerships' capital accounts included in the operating limited partnerships' financial statements as of December 31, 1995 (3,104,213) The partnership has recorded acquisition costs at March 31, 1996, which have not been recorded in the net assets of the operating limited partnerships (2,577,205) Cumulative losses from operating limited partnerships for the three months ended March 31, 1991 through March 31, 1995, which the operating limited partnerships have not included in their capital as of December 31, 1995 5,109,374 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (1,277,478) F-42 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The partnership has recorded low income housing tax credit adjusters not recorded by operating limited partnerships $1,478,953 Other 272,162 ---------- Equity per operating limited partnerships' combined financial statements $79,966,776 ========== The partnership's investments in operating limited partnerships at March 31, 1996 are summarized as follows: Series 7 Series 9 Series 10 -------- -------- --------- Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $7,486,177 $29,810,829 $17,581,651 Acquisition costs of operating limited partnerships 1,302,313 5,201,737 2,958,341 Cumulative distributions from operating limited partnerships (2,258) (34,635) (10,881) Cumulative losses from operating limited partnerships (5,888,524) (19,773,297) (10,130,141) --------- ---------- ---------- Investment per balance sheet 2,897,708 15,204,634 10,398,970 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1996, which (have not) have been included in the partnerships' capital accounts included in the operating limited partnerships' financial statements as of December 31, 1995 24,274 (436,115) (364) The partnership has recorded acquisition costs at March 31, 1996, which have not been recorded in the net assets of the operating limited partnerships (461,143) (185,244) (9,836) Cumulative losses from operating limited partnerships for the three months ended March 31, 1991 through March 31, 1995, which the operating limited partnerships have not included in their capital as of December 31, 1995 125,066 1,134,799 776,692 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (489,114) (315,829) (222,844) The partnership has recorded low income housing tax credit adjusters not recorded by operating limited partnerships (11,992) 231,130 93,713 Other (9,469) 38,153 (64,268) ---------- ---------- ---------- Equity per operating limited partner- ships' combined financial statements $2,075,330 $15,671,528 $10,972,063 ========== ========== ========== F-43 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The partnership's investments in operating limited partnerships at March 31, 1996 are summarized as follows: Series 11 Series 12 Series 14 --------- -------- --------- Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $17,713,316 $21,402,089 $39,525,372 Acquisition costs of operating limited partnerships 3,069,084 3,398,377 6,457,529 Cumulative distributions from operating limited partnerships (148,629) (13,116) (73,798) Cumulative losses from operating limited partnerships (10,040,436)(10,887,757)(18,838,160) ---------- ---------- ---------- Investment per balance sheet 10,593,335 13,899,593 27,070,943 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1996, which (have not) have been included in the partnerships' capital ac counts included in the operating limited partnerships' financial statements as of De- cember 31, 1995 (199,820) (600,319) (1,891,869) The partnership has recorded acquisition costs at March 31, 1996, which have not been recorded in the net assets of the operating limited partnerships (519,483) (315,858) (1,085,641) Cumulative losses from operating limited partnerships for the three months ended March 31, 1991 through March 31, 1995, which the operating limited partnerships have not included in their capital as of December 31, 1995 721,702 613,706 1,737,409 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (89,390) (34,870) (125,431) The partnership has recorded low income housing tax credit adjusters notrecorded by operating limited partnerships 94,920 145,103 926,079 Other 158,658 (4,044) 153,132 ---------- ---------- --------- Equity per operating limited partner- ships' combined financial statements $10,759,922 $13,703,311 $26,784,622 ========== ========== ========== F-44 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The partnership's investments in operating limited partnerships at March 31, 1995 are summarized as follows: Total ------------ Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $133,603,175 Acquisition costs of operating limited partnerships 22,553,903 Cumulative distributions from operating limited partnerships (182,061) Cumulative losses from operating limited partnerships (62,566,246) ----------- Investment per balance sheet 93,408,771 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1995, which (have not) have been included in the partnerships' capital accounts included in the operating limited partnerships' financial statements as of December 31, 1994 (4,561,900) The partnership has recorded acquisition costs at March 31, 1995, which have not been recorded in the net assets of the operating limited partnerships (2,522,585) Cumulative losses from operating limited partnerships for the three months ended March 31, 1991 through March 31, 1994, which the operating limited partnerships have not included in their capital as of December 31, 1994 5,109,374 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (366,246) The partnership has recorded low income housing tax credit adjusters not recorded by operating limited partnerships 1,441,599 Other 31,353 ----------- Equity per operating limited partner- ships' combined financial statements $ 92,540,366 =========== F-45 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The partnership's investments in operating limited partnerships at March 31, 1995 are summarized as follows: Series 7 Series 9 Series 10 -------- -------- --------- Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $7,486,177 $29,840,196 $17,581,651 Acquisition costs of operating limited partnerships 1,302,313 5,225,657 3,052,975 Cumulative distributions from operating limited partnerships - (30,081) (9,934) Cumulative losses from operating limited partnerships (5,021,205)(16,995,947)(8,703,809) ---------- ---------- --------- Investment per balance sheet 3,767,285 18,039,825 11,920,883 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1995, which (have not) have been included in the partnerships' capital accounts included in the operating limited partnerships' financial statements as of December 31, 1994 22,017 (587,516) (60,364) The partnership has recorded acquisition costs at March 31, 1995, which have not been recorded in the net assets of the operating limited partnerships (461,143) (235,666) (9,836) Cumulative losses from operating limited partnerships for the three months ended March 31, 1991 through March 31, 1994, which the operating limited partnerships have not included in their capital as of December 31, 1994 125,066 1,134,799 776,692 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (269,493) (25,743) (56,648) The partnership has recorded low income housing tax credit adjusters not recorded by operating limited partnerships 3,025 201,802 93,713 Other 7,332 14,189 (158,019) --------- ---------- ---------- Equity per operating limited partner- ships' combined financial statements $3,194,089 $18,541,690 $12,506,421 ========= ========== ========== F-46 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The partnership's investments in operating limited partnerships at March 31, 1995 are summarized as follows: Series 11 Series 12 Series 14 --------- --------- --------- Capital contributions paid and to be paid to operating limited partnerships, net of tax credit adjusters $17,724,762 $21,409,779 $39,560,610 Acquisition costs of operating limited partnerships 3,117,052 3,398,377 6,457,529 Cumulative distributions from operating limited partnerships (58,186) (12,029) (71,831) Cumulative losses from operating limited partnerships (8,419,243) (8,708,331) (14,717,711) ---------- ---------- ---------- Investment per balance sheet 12,364,385 16,087,796 31,228,597 The partnership (has recorded) or has not recorded capital contributions to the operating limited partnerships during the year ended March 31, 1995, which (have not) have been included in the partnerships' capital accounts included in the operating limited partnerships' financial statements as of December 31, 1994 (230,373) (600,319) (3,105,345) The partnership has recorded acquisition costs at March 31, 1995, which have not been recorded in the net assets of the operating limited partnerships (603,087) (315,858) (896,995) Cumulative losses from operating limited limited partnerships for the three months ended March 31, 1991 through March 31, 1994, which the operating limited partnerships have not included in their capital as of December 31, 1994 721,702 613,706 1,737,409 Equity in loss of operating limited partnerships not recognizable under the equity method of accounting (6,197) - (8,165) The partnership has recorded low income housing tax credit adjusters not recorded by operating limited partnerships 83,474 137,413 922,172 Other 122,849 1,584 43,418 ---------- ---------- ---------- Equity per operating limited partner- ships' combined financial statements $12,452,753 $15,924,322 $29,921,091 ========== ========== ========== F-47 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized balance sheets of the operating limited partnerships in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1995 are as follows: COMBINED SUMMARIZED BALANCE SHEETS Total Series 7 Series 9 Series 10 -------- -------- --------- --------- ASSETS Buildings and improvements, net of accumulated depreciation $553,145,475 $33,729,029 $106,094,488 $65,177,409 Construction in progress - Land 32,023,649 1,908,570 6,043,933 3,975,745 Other assets 34,748,426 1,710,631 5,986,744 5,508,823 ----------- ---------- ----------- ---------- $619,917,550 $37,348,230 $118,125,165 $74,661,977 =========== =========== =========== ========== LIABILITIES AND PARTNERS' CAPITAL Mortgage and construction loans payable $435,370,281 26,407,226 86,320,559 56,711,910 Accounts payable and accrued expenses 10,254,034 1,885,514 2,654,114 842,715 Other liabilities 33,675,700 2,239,166 9,278,698 2,944,862 ----------- ---------- ----------- ---------- 479,300,015 30,531,906 98,253,371 60,499,487 ----------- ---------- ---------- ----------- PARTNERS' CAPITAL Boston Capital Tax Credit Fund II Limited Partnership 79,966,776 2,075,330 15,671,528 10,972,063 Other partners 60,650,759 4,740,994 4,200,266 3,190,427 ----------- --------- ----------- ----------- 140,617,535 6,816,324 19,871,794 14,162,490 ----------- ---------- ----------- ---------- $619,917,550 $37,348,230 $118,125,165 $74,661,977 =========== ========== =========== ========== F-48 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized balance sheets of the operating limited partnerships in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1995 are as follows: COMBINED SUMMARIZED BALANCE SHEETS - CONTINUED Series 11 Series 12 Series 14 --------- --------- --------- ASSETS Buildings and improvements, net of accumulated depreciation $65,178,232 $94,032,086 $188,934,231 Construction in progress - - - Land 3,241,164 5,321,275 11,532,962 Other assets 5,122,566 5,414,178 11,005,484 ---------- ---------- ----------- $73,541,962 $104,767,539 $211,472,677 ========== =========== =========== LIABILITIES AND PARTNERS' CAPITAL Mortgage and construction loans payable $54,307,045 $67,340,183 $144,283,358 Accounts payable and accrued expenses 1,030,227 1,218,726 2,622,738 Other liabilities 3,140,711 5,811,803 10,260,460 ---------- ---------- ----------- 58,477,983 74,370,712 157,166,556 ---------- ---------- ----------- PARTNERS' CAPITAL Boston Capital Tax Credit Fund II Limited Partnership 10,759,922 13,703,311 26,784,622 Other partners 4,304,057 16,693,516 27,521,499 ---------- ---------- ---------- 15,063,979 30,396,827 54,306,121 ---------- ---------- ---------- $73,541,962 $104,767,539 $211,472,677 ========== =========== =========== F-49 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized balance sheets of the operating limited partnerships in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1994 are as follows: COMBINED SUMMARIZED BALANCE SHEETS - CONTINUED Total Series 7 Series 9 Series 10 -------- -------- --------- --------- Buildings and improvements, net of accumulated depreciation $565,151,762 $35,087,215 $109,811,480 $68,207,119 Construction in progress 299,419 - 299,419 - Land 31,755,152 1,908,570 6,043,933 4,068,451 Other assets 32,013,987 1,624,650 5,549,267 4,667,086 ----------- ---------- ----------- --------- $629,220,320 $38,620,435 $121,704,099 $76,942,656 =========== ========== =========== ========== LIABILITIES AND PARTNERS' CAPITAL Mortgage and construction loans payable $432,476,235 $26,634,093 $87,213,719 $57,513,802 Accounts payable and accrued expenses 8,058,069 1,747,857 1,276,783 755,433 Other liabilities 31,259,884 1,601,565 9,593,851 2,685,786 ----------- ---------- ----------- ---------- 471,794,188 29,983,515 98,084,353 60,955,021 ----------- ---------- ----------- ---------- PARTNERS' CAPITAL Boston Capital Tax Credit Fund II Limited Partnership 92,540,366 3,194,089 18,541,690 12,506,421 Other partners 64,885,766 5,442,831 5,078,056 3,481,214 ----------- ---------- ----------- ---------- 157,426,132 8,636,920 23,619,746 15,987,635 ----------- ---------- ----------- ---------- $629,220,320 $38,620,435 $121,704,099 $76,942,656 =========== =========== =========== ========== F-50 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized balance sheets of the operating limited partnerships in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1994 are as follows: COMBINED SUMMARIZED BALANCE SHEETS - CONTINUED Series 11 Series 12 Series 14 --------- --------- --------- ASSETS Buildings and improvements, net of accumulated depreciation $68,001,070 $ 97,916,991 $186,127,887 Construction in progress - - - Land 3,239,961 5,321,275 11,172,962 Other assets 4,973,781 5,364,670 9,834,533 ---------- ----------- ----------- $76,214,812 $108,602,936 $207,135,382 ========== =========== =========== LIABILITIES AND PARTNERS' CAPITAL Mortgage and construction loans payable $54,672,000 $68,258,851 $138,183,771 Accounts payable and accrued expenses 865,782 904,815 2,507,399 Other liabilities 3,456,783 5,307,688 8,614,210 ---------- ----------- ----------- 58,994,565 74,471,354 149,305,380 ---------- ---------- ------------ PARTNERS' CAPITAL Boston Capital Tax Credit Fund II Limited Partnership 12,452,753 15,924,322 29,921,091 Other partners 4,767,494 18,207,260 27,908,911 ---------- ---------- ------------ 17,220,247 34,131,582 57,830,002 ---------- ---------- ------------ $76,214,812 $108,602,936 $207,135,382 ========== =========== =========== F-51 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized statements of operations of the operating limited partnerships for the year ended December 31, 1995 in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1995 are as follows: COMBINED SUMMARIZED STATEMENTS OF OPERATIONS Year ended December 31, 1995 Total Series 7 Series 9 Series 10 -------- -------- --------- --------- Revenue Rental $ 62,157,406 $ 3,268,111 $12,625,157 $ 8,025,279 Interest and other 2,816,226 123,779 661,026 400,160 ----------- --------- ---------- --------- 64,973,632 3,391,890 13,286,183 8,425,439 ----------- --------- ---------- --------- Expenses Interest 26,955,424 1,623,805 5,908,311 2,786,978 Depreciation and amortization 23,814,033 1,488,792 4,612,835 2,905,773 Taxes and insurance 7,610,524 392,701 1,580,274 1,106,818 Repairs and maintenance 7,483,900 499,446 1,534,736 950,358 Operating expenses 15,963,889 1,103,535 3,307,421 2,284,471 Other expenses 3,409,335 64,925 335,320 261,818 ----------- ---------- --------- ---------- 85,237,105 5,173,204 17,278,897 10,296,216 ----------- ---------- ---------- ---------- NET LOSS $(20,263,473) $(1,781,314) $(3,992,714) $(1,870,777) =========== ========== ========== ========== Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* $(13,903,301) $(1,086,940) $(3,067,436) $(1,592,528) =========== ========== ========== ========== Net loss allocated to other partners $ (6,360,172) $ (694,374) $ (925,278) $ (278,249) =========== ========== ========== ========== * Amounts include $219,621, $290,086, $166,196, $83,193, $34,870 and $117,266 for Series 7, Series 9, Series 10, Series 11, Series 12 and Series 14, respectively, of loss not recognized under the equity method of accounting as described in Note A. F-52 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized statements of operations of the operating limited partnerships for the year ended December 31, 1995 in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1995 are as follows: COMBINED SUMMARIZED STATEMENTS OF OPERATIONS - CONTINUED Year ended December 31, 1995 Series 11 Series 12 Series 14 --------- --------- --------- Revenue Rental $8,074,820 $10,092,062 $20,071,977 Interest and other 456,806 470,428 704,027 --------- ---------- ---------- 8,531,626 10,562,490 20,776,004 --------- ---------- ---------- Expenses Interest 3,499,466 4,226,651 8,910,213 Depreciation and amortization 3,009,594 4,254,968 7,542,071 Taxes and insurance 1,022,650 1,259,750 2,248,331 Repairs and maintenance 913,760 1,198,249 2,387,351 Operating expenses 1,094,604 2,279,003 5,894,855 Other expenses 1,038,220 1,103,664 605,388 ---------- ---------- ---------- 10,578,294 14,322,285 27,588,209 ---------- ---------- ---------- NET LOSS $(2,046,668)$(3,759,795) $(6,812,205) ========== ========== ========== Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* $(1,704,386)$(2,214,296) $(4,237,715) ========== ========== ========== Net loss allocated to other partners $ (342,282)$(1,545,499) $(2,574,490) ========== ========== ========== * Amounts include $219,621, $290,086, $166,196, $83,193, $34,870 and $117,266 for Series 7, Series 9, Series 10 Series 11, Series 12 and Series 14, respectively, of loss not recognized under the equity method of accounting as described in Note A. F-53 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized statements of operations of the operating limited partnerships for the year ended December 31, 1994 in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1994 are as follows: COMBINED SUMMARIZED STATEMENTS OF OPERATIONS - CONTINUED Year ended December 31, 1994 Total Series 7 Series 9 Series 10 ------- -------- -------- --------- Revenue Rental $ 66,155,915$ 3,208,349 $13,077,508 $ 9,646,732 Interest and other 1,947,167 123,400 362,501 309,066 ----------- ---------- ---------- ---------- 68,103,082 3,331,749 13,440,009 9,955,798 ----------- ---------- ---------- ---------- Expenses Interest 33,057,299 1,552,673 6,841,822 4,602,007 Depreciation and amortization 23,764,492 1,454,255 4,663,655 2,938,163 Taxes and insurance 7,688,068 458,086 1,591,984 1,055,160 Repairs and maintenance 6,394,470 421,876 1,326,375 874,951 Operating expenses 16,699,213 1,011,310 3,082,698 2,310,191 Other expenses 1,239,288 116,082 239,772 174,042 ----------- ---------- ---------- ---------- 88,842,830 5,014,282 17,746,306 11,954,514 ----------- ---------- ---------- ---------- NET LOSS $(20,739,748)$(1,682,533)$(4,306,297)$(1,998,716) =========== ========== ========== ========== Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* $(14,276,419)$(1,007,181)$(3,302,891)$(1,679,046) =========== ========== ========== ========== Net loss allocated to other partners $ (6,463,329)$ (675,352)$(1,003,406)$ (319,670) =========== ========== ========== ========== * Amounts include $168,040, $47,196 and $8,165 for Series 7, Series 10 and Series 14, respectively, of loss not recognized under the equity method of accounting as described in Note A. F-54 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE C - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS (Continued) The combined summarized statements of operations of the operating limited partnerships for the year ended December 31, 1994 in which series 7, 9 through 12, and 14 hold an interest as of December 31, 1994 are as follows: COMBINED SUMMARIZED STATEMENTS OF OPERATIONS - CONTINUED Year ended December 31, 1994 Series 11 Series 12 Series 14 --------- --------- --------- Revenue Rental $ 8,986,788 $10,152,370 $21,084,168 Interest and other 296,356 388,290 467,554 ---------- ---------- ---------- 9,283,144 10,540,660 21,551,722 ---------- ---------- ---------- Expenses Interest 4,608,036 4,672,103 10,780,658 Depreciation and amortization 3,040,822 4,265,400 7,402,197 Taxes and insurance 946,647 1,234,835 2,401,356 Repairs and maintenance 764,146 1,004,299 2,002,823 Operating expenses 1,998,273 2,925,130 5,371,611 Other expenses 109,311 216,619 383,462 ---------- ---------- ---------- 11,467,235 14,318,386 28,342,107 ---------- ---------- ---------- NET LOSS $(2,184,091) $(3,777,726)$(6,790,385) ========== ========== ========== Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* $(1,766,133) $(2,227,692)$(4,293,476) ========== ========== ========== Net loss allocated to other partners $ (417,958) $(1,550,034)$(2,496,909) ========== ========== ========== * Amounts include $168,040, $47,196 and $8,165 for Series 7, Series 10 and Series 14, respectively, of loss not recognized under the equity method of accounting as described in Note A. F-55 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1996 are reconciled as follows: Total Series 7 Series 9 Series 10 -------- -------- -------- --------- Net loss for financial reporting purposes $(15,778,936)$(1,000,832) $(3,380,626) $(1,829,903) Operating limited partnership rents received in advance 4,661 513 4,102 (3,976) Partnership management fees not recognized for tax purposes 2,312,283 107,256 540,717 316,814 Other 570,416 - (187,432) 3,814 Operating Limited Partnership loss not allowed for financial reporting under equity method of accounting (911,232) (219,621) (290,086) (166,196) Excess of tax depreciation over book depreciation on operating limited partnership assets (1,542,117) (1,944) (275,324) (149,140) Difference due to fiscal year for book purposes and calendar year for tax purposes (526,463) 267,998 (1,124,860) 66,095 ----------- -------- ---------- ---------- Loss for tax return purposes, December 31, 1995 $(15,871,388) $(846,630)$(4,713,509) $(1,762,492) =========== ======== ========== ========== F-56 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1996 are reconciled as follows: Series 11 Series 12 Series 14 --------- --------- --------- Net loss for financial reporting purposes $(1,960,877)$(2,611,578) $(4,995,120) Operating limited partnership rents received in advance (1,745) (2,053) 7,820 Partnership management fees not recognized for tax purposes 293,577 351,469 707,026 Other 146,439 (44,593) 652,188 Operating limited partnership loss not allowed for financial reporting under equity method of accounting (83,193) (34,870) (117,266) Excess of tax depreciation over book depreciation on operating limited partnership assets (174,075) (191,560) (750,074) Difference due to fiscal year for book purposes and calendar year for tax purposes 97,950 40,806 120,972 ---------- ---------- ---------- Loss for tax return purposes, December 31, 1995 $(1,681,924)$(2,492,379) $(4,374,454) ========== ========== ========== F-57 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1995 are reconciled as follows: Total Series 7 Series 9 Series 10 -------- -------- -------- --------- Net loss for financial reporting purposes $(16,850,343) $(980,215) $(3,935,261)$(2,035,020) Operating limited partnership rents received in advance 1,512 - - - Partnership management fees not recognized for tax purposes 2,299,927 106,456 523,364 335,456 Other 858,679 135,106 58,038 32,703 Operating limited partnership, net loss not allowed for financing reporting under equity method (255,341) (168,040) (25,743) (47,196) Excess of tax depreciation over book depreciation on operating limited partnership assets (1,622,856) (48,597) (185,385) (188,627) Difference due to fiscal year for book purposes and calendar year for tax purposes 117,507 7,810 15,582 10,451 ----------- -------- ---------- ---------- Loss for tax return purposes, December 31, 1994 $(15,450,915) $(947,480)$(3,549,405)$(1,892,233) =========== ======== ========== ========== F-58 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1995 are reconciled as follows: Series 11 Series 12 Series 14 --------- --------- --------- Net loss for financial reporting purposes $(2,136,086) $(2,680,924) $(5,082,837) Operating limited partnership rents received in advance - 71 1,441 Partnership management fees not recognized for tax purposes 309,625 374,819 650,207 Other 61,170 260,261 311,401 Operating limited partnership, net loss not allowed for financing reporting under equity method (6,197) - (8,165) Excess of tax depreciation over book depreciation on operating limited partnership assets (178,964) (300,258) (721,025) Difference due to fiscal year for book purposes and calendar year for tax purposes (24,960) 10,984 97,640 ---------- ---------- ---------- Loss for tax return purposes, December 31, 1994 $(1,975,412) $(2,335,047) $(4,751,338) ========== ========== ========== F-59 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) The difference between the investments in operating limited partnerships for tax purposes and financial statements purposes is primarily due to the differences in the losses not recognized under the equity method of accounting and the historic tax credits taken for income tax purposes. At March 31, 1995, the differences are as follows: Total Series 7 Series 9 Series 10 --------- -------- -------- --------- Investment in operating limited partnerships - tax return December 31, 1994 $89,973,412 $2,508,295 $18,408,539$12,273,763 Add back losses not recognized under the equity method 366,246 269,493 25,743 56,648 Historic tax credit 5,105,527 1,819,802 240,250 - Less share of loss - three months ended March 31, 1994 (5,109,374) (125,066) (1,134,799) (776,692) Other 3,072,960 (705,239) 500,092 367,164 ---------- --------- ---------- ---------- Investment in operating limited partnerships - as reported $93,408,771 $3,767,285 $18,039,825$11,920,883 ========== ========= ========== ========== F-60 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) The difference between the investments in operating limited partnerships for tax purposes and financial statements purposes is primarily due to the differences in the losses not recognized under the equity method of accounting and the historic tax credits taken for income tax purposes. At March 31, 1995, the differences are as follows: Series 11 Series 12 Series 14 --------- --------- --------- Investment in operating limited partnerships - tax return December 31, 1994 $11,364,312 $16,141,480 $29,277,023 Add back losses not recognized under the equity method 6,197 - 8,165 Historic tax credit 1,281,688 - 1,763,787 Less share of loss - three months ended March 31, 1994 (721,702) (613,706) (1,737,409) Other 433,890 560,022 1,917,031 ---------- ---------- ---------- Investment in operating limited partnerships - as reported $12,364,385 $16,087,796 $31,228,597 ========== ========== ========== F-61 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1994 are reconciled as follows: Total Series 7 Series 9 Series 10 --------- -------- -------- --------- Net loss for financial reporting purposes $(17,716,558) $(1,472,695) $(3,656,691) $(2,100,773) Operating limited partnership rents received in advance 2,989 799 2,190 - Partnership management fees not recognized for tax purposes 2,110,980 109,457 521,108 335,618 Other 1,502,458 523,954 77,677 (50,678) Operating limited partnership, net loss not allowed for financing reporting under equity method (110,905) (101,453) - (9,452) Excess of tax depreciation over book depreciation on operating limited partnership assets (1,646,520) (39,360) (276,614) (140,107) Difference due to fiscal year for book purposes and calendar year for tax purposes 325,256 (2,240) 84,040 18,044 ---------- --------- ---------- ---------- Loss for tax return purposes, December 31, 1993 $(15,532,300) $(981,538) $(3,248,290) $(1,947,348) =========== ========= ========== ========== F-62 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) For income tax purposes, the partnership reports using a December 31 year end. The partnership's net loss for financial reporting and tax return purposes for the year ended March 31, 1994 are reconciled as follows: Series 11 Series 12 Series 14 --------- --------- --------- Net loss for financial reporting purposes $(2,365,204) $(2,615,480) $(5,505,715) Operating limited partnership rents received in advance - - - Partnership management fees not recognized for tax purposes 248,682 379,259 516,856 Other 102,030 171,615 677,860 Operating limited partnership, net loss not allowed for financing reporting under equity method - - - Excess of tax depreciation over book depreciation on operating limited partnership assets (155,553) (362,173) (672,713) Difference due to fiscal year for book purposes and calendar year for tax purposes 27,814 (21,375) 218,973 ---------- ---------- ---------- Loss for tax return purposes, December 31, 1993 $(2,142,231) $(2,448,154) $(4,764,739) ========== ========== ========== F-63 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) The difference between the investments in operating limited partnerships for tax purposes and financial statements purposes is primarily due to the differences in the losses not recognized under the equity method of accounting and the historic tax credits taken for income tax purposes. At March 31, 1996, the differences are as follows: Total Series 7 Series 9 Series 10 --------- -------- -------- --------- Investment in operating limited partnerships - tax return December 31, 1995 $75,397,066 $1,679,526 $13,631,595 $10,418,219 Add back losses not recognized under the equity method 1,277,478 489,114 315,829 222,844 Historic tax credit 5,105,527 1,819,802 240,250 - Less share of loss - three months ended March 31, 1995 (5,109,374) (125,066) (1,134,799) (776,692) Other 3,394,486 (965,668) 2,151,759 534,599 ---------- --------- ---------- ---------- Investment in operating limited partnerships - as reported $80,065,183 $2,897,708 $15,204,634 $10,398,970 ========== ========= ========== ========== F-64 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE D - RECONCILIATION OF FINANCIAL STATEMENT NET LOSS TO TAX RETURN (Continued) The difference between the investments in operating limited partnerships for tax purposes and financial statements purposes is primarily due to the differences in the losses not recognized under the equity method of accounting and the historic tax credits taken for income tax purposes. At March 31, 1996, the differences are as follows: Series 11 Series 12 Series 14 --------- --------- --------- Investment in operating limited partnerships - tax return $ 9,795,177 $13,684,043 $26,188,506 Add back losses not recognized under the equity method 89,390 34,870 125,431 Historic tax credit 1,281,688 - 1,763,787 Less share of loss - three months ended March 31, 1995 (721,702) (613,706) (1,737,409) Other 148,782 794,386 730,628 ---------- ---------- ---------- Investment in operating limited partnerships - as reported $10,593,335 $13,899,593 $27,070,943 ========== ========== ========== F-65 Boston Capital Tax Credit Fund II Limited Partnership NOTES TO FINANCIAL STATEMENTS - CONTINUED March 31, 1996, 1995 and 1994 NOTE E - CASH EQUIVALENTS Cash equivalents of $1,700,000 and $2,000,000 as of March 31, 1996 and 1995, respectively, include tax-exempt sweep accounts and money market accounts with interest at rates ranging 2.25% to 5.3% per annum. NOTE F - NOTES RECEIVABLE Notes receivable at March 31, 1996 and 1995, in Series 14, consist of advance installments of capital contributions and/or advances made to operating limited partnerships of $1,168,584. The Series 14 notes provide for varying terms which include noninterest-bearing notes and interest- bearing notes with interest rates at prime plus 1% or a flat 8% rate. The prime rate was 8.25% and 9% at March 31, 1996 and 1995, respectively. The carrying value of the notes receivable approximates fair value. - F-66 - Boston Capital Tax Credit Fund II Limited Partnership - Series 7 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Bowditch School 1,645,676 65,961 4,818,466 52,714 65,961 4,871,180 4,937,141 931,657 12/89 12/89 34 Briarwood Apts LP 627,182 44,500 747,246 19,136 44,500 766,382 810,882 201,574 12/89 12/89 5-27.5 Buckner Prop LP 621,696 27,500 771,030 8,760 27,500 779,790 807,290 227,423 3/89 12/89 5-27.5 Creekside 1,095,805 89,016 1,290,616 (7,432)* 89,016 1,283,184 1,372,200 136,643 9/89 6/89 5-27.5 Deer Hill II LP 1,484,213 103,000 1,424,556 337,809 103,000 1,762,365 1,865,365 455,359 5/89 2/90 5-27.5 Hillandale 3,207,981 601,653 4,198,973 1,814,396 601,653 6,013,369 6,615,022 1,458,458 1/90 12/89 5-27.5 King City Elderly 1,658,088 175,000 2,549,870 54,594 175,000 2,604,464 2,779,464 553,116 11/89 6/90 27.5 Lebanon Prop II LP 575,564 3,000 730,187 9,536 3,000 739,723 742,723 201,298 7/89 12/89 5-27.5 Metropole Apts Assoc 2,250,137 82,800 2,621,625 51,040 82,800 2,672,665 2,755,465 578,378 12/89 12/89 27.5 F-67 Boston Capital Tax Credit Fund II Limited Partnership - Series 7 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- New Holland Apts 1,096,329 80,000 3,269,700 43,105 80,000 3,312,805 3,392,805 668,347 8/90 5/90 35 Oak Groove Estates LP 487,453 15,200 597,465 7,710 15,200 605,175 620,375 163,345 9/89 12/89 27.5 Oakview LTD 1,133,721 35,280 1,375,820 78,040 35,280 1,453,860 1,489,140 273,628 10/89 12/89 40 Rosenberg Hotel 8,492,153 452,000 7,434,335 4,873,499 452,000 12,307,834 12,759,834 1,374,986 1/92 2/90 27.5 Westwood 1,419,114 96,600 1,355,174 345,989 96,660 1,701,163 1,797,823 449,977 7/90 7/90 5-27.5 Winfield Prop II LP 612,114 37,000 735,086 5,265 37,000 740,351 777,351 211,092 5/89 12/89 5-27.5 ---------- --------- ---------- ---------- --------- ----------- ----------- ----------- 26,407,226 1,908,510 33,920,149 7,694,161 1,908,570 41,614,310 43,522,880 7,885,281 ========== ========= ========== ========== ========= =========== =========== =========== Since the Operating Partnerships maintain a calendar year end, the information reported on this schedule is as of December 31, 1995. *Decrease due to a reallocation of acquisition costs. **There were no carrying costs as of December 31, 1995. The column has been ommitted for presentation purposes.
F-68 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 7 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$ 41,816,362 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 1,735,711 Other............................................. 0 ---------- $ 1,735,711 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/93............................$ 43,552,073 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 147,543 Other............................................. 0 ---------- $ 147,543 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$ 43,699,616 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 58,462 Other............................................. 0 ---------- $ 58,462 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. (261,992) ---------- $ (261,992) ----------- Balance at close of period - 03/31/95............................$ 43,496,086 F-69 Notes to Schedule III-Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 7 Reconciliation of Land, Building & Improvements current year changes-Continued Balance at close of period - 03/31/95.........................$ 43,496,086 Additions during period: Acquisitions through foreclosure..............$ 0 Other acquisitions............................ 0 Improvements, etc............................. 26,794 Other......................................... 0 ----------- $ 26,794 Deductions during period: Cost of real estate sold......................$ 0 Other......................................... 0 ----------- $ 0 ----------- Balance at close of period - 03/31/96.........................$ 43,522,880 =========== F-70 Notes to Schedule III - Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 7 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92.......................$ 2,312,199 Current year expense................................$1,360,178 --------- Balance at close of period - 3/31/93............................$ 3,672,377 Current year expense................................$1,436,830 --------- Balance at close of period - 3/31/94............................$ 5,109,207 Current year expense................................$1,391,094 --------- Balance at close of period - 3/31/95............................$ 6,500,301 Current year expense................................$1,384,980 --------- Balance at close of period - 3/31/96............................$ 7,885,281 ========== F-71 S> Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- 438 Warren St. 721,934 45,972 1,177,081 28,521 45,972 1,205,602 1,251,574 266,310 5/90 3/90 28 Beaver Brook 1,190,067 135,070 1,395,155 3,197 135,070 1,398,352 1,533,422 357,965 5/90 4/90 27.5 Big Lake Seniors 563,791 27,804 732,961 0 27,804 732,961 760,765 10,013 6/95 4/94 5-27.5 Blakely 950,891 50,000 1,159,403 9,623 50,000 1,169,026 1,219,026 272,179 5/90 5/90 5-27.5 Blanco Sr 522,329 40,147 679,816 0 40,147 679,816 719,963 22,939 9/94 12/93 7-40 Blooming- dale 1,487,564 100,338 1,771,660 5,410 100,338 1,777,070 1,877,408 418,891 3/90 5/90 5-27.5 Breeze- wood 1,434,367 114,000 1,784,173 4,415 114,000 1,788,588 1,902,588 403,898 5/90 5/90 7-27.5 Brooklyn 1,112,292 9,000 1,416,895 26,729 9,000 1,443,624 1,452,624 247,845 5/90 5/90 5-27.5 Calif. Inv.V 5,537,313 401,411 10,661,108 164,739 401,411 10,825,847 11,227,258 1,756,859 3/90 3/90 35 Cambridge 1,139,783 99,974 1,381,815 377 99,974 1,382,192 1,482,166 332,825 1/90 4/90 7-27.5 F-72 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Cedar Rapids 3,554,088 294,600 7,692,319 86,191 294,600 7,778,510 8,073,110 1,705,735 6/90 4/90 7-27.5 Corinth 1,498,021 53,351 1,865,231 21,611 53,351 1,886,842 1,940,193 448,022 2/90 4/90 5-27.5 Cotton Mill Assoc. 1,491,425 75,000 1,730,384 0 75,000 1,730,384 1,805,384 133,877 7/93 10/92 5-27.5 Fawn River 3,714,629 77,000 4,396,993 311,627 77,000 4,708,620 4,785,620 900,240 10/90 10/90 27.5 Fountain Green 711,968 68,134 880,440 1,607 68,134 882,047 950,181 187,701 5/90 6/90 27.5 Glenwood Hotel 758,337 25,000 1,128,486 8,725 25,000 1,137,211 1,162,211 256,385 6/90 6/90 7-27.5 Greenwich 1,491,521 85,197 1,862,476 18,788 85,197 1,881,264 1,966,461 428,307 2/90 4/90 5-27.5 Grifton 1,268,583 35,393 1,170,847 361,689 35,393 1,532,536 1,567,929 86,114 2/94 9/93 7-27.5 Hacienda Villa 3,980,713 233,165 7,304,446 121,467 233,165 7,425,913 7,659,078 1,121,261 1/90 4/90 40 Haines City 1,446,142 100,000 1,709,218 10,512 100,000 1,719,730 1,819,730 419,296 2/90 4/90 27.5 F-73 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Hernando 1,492,075 70,000 1,975,766 8,818 70,000 1,984,584 2,054,584 453,591 7/90 6/90 27.5 Hobe Sound 2,816,036 261,000 3,482,634 29,920 261,000 3,512,554 3,773,554 803,917 4/90 4/90 27.5 Immokalee 2,202,100 160,000 2,732,134 9,069 160,000 2,741,203 2,901,203 467,108 5/90 5/90 7-27.5 Kristin Park 1,397,423 117,179 1,694,459 29,368 117,179 1,723,827 1,841,006 272,835 6/90 3/90 27.5 Le Grande Enterprise 1,750,788 13,090 2,232,493 (53,368) 67,500 2,179,125 2,246,625 116,546 10/93 11/92 5-50 Long- meadow 1,487,505 95,000 1,765,749 3,640 95,000 1,769,389 1,864,389 258,262 8/90 8/90 10-40 Maywood 1,508,200 53,000 1,961,139 3,569 53,000 1,964,708 2,017,708 430,363 7/90 3/90 5-27.5 Meadow run 642,782 44,400 784,163 5,165 44,400 789,328 833,728 184,123 5/90 5/90 27.5 Meadow- crest 2,914,423 286,065 4,982,274 28,041 286,065 5,010,315 5,296,380 1,192,810 10/90 9/90 5-27.5 Newfane Senior 1,010,004 30,000 1,211,708 8,118 30,000 1,219,826 1,249,826 181,126 9/92 10/92 5-27.5 New Holland 1,096,329 80,000 3,269,700 43,105 80,000 3,312,805 3,392,805 668,347 8/90 5/90 5-27.5 F-74 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Old Stage 1,270,914 39,840 1,517,419 5,759 39,840 1,523,178 1,563,018 341,987 9/90 5/90 27.5 Pedcor Invest. 3,097,507 170,435 6,211,383 (14,090)* 170,435 6,197,293 6,367,728 957,292 4/90 3/90 27.5 Pleasanton Sr 627,543 40,000 813,308 0 40,000 813,308 853,308 58,584 7/93 12/93 40 Polkton Housing 662,348 25,038 752,017 0 25,038 752,017 777,055 109,294 12/93 1/94 5-27.5 Princess Manor 1,498,280 57,066 1,869,314 7,059 57,066 1,876,373 1,933,439 433,336 8/90 6/90 5-27.5 Princess Villas 1,497,280 63,104 1,786,927 8,009 63,104 1,794,936 1,858,040 405,524 8/90 6/90 5-27.5 Putney First 1,426,642 128,800 1,804,424 (11,983) 128,800 1,792,441 1,921,241 130,604 5/93 12/92 5-27.5 Quail Hollow RRH 1,477,740 100,000 1,861,652 3,827 100,000 1,865,479 1,965,479 453,113 1/90 5/90 27.5 Quail Hollow Warsaw 1,411,795 33,500 1,747,578 7,252 33,500 1,754,830 1,788,330 250,714 9/90 7/90 7-40 F-75 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Rainbow Gardens 1,224,708 70,000 1,450,989 802 70,000 1,451,791 1,521,791 156,235 6/93 12/92 7-27.5 Raitt St. Apts. 782,537 270,281 1,221,755 0 270,281 1,221,755 1,492,036 105,511 8/93 5/93 5-27.5 School St. II 832,590 37,622 1,585,434 3,943 37,622 1,589,377 1,626,999 169,008 6/93 6/93 7-27.5 South Paris Housing 1,498,290 65,000 1,853,831 (176,840) 242,301 1,676,991 1,919,292 209,724 10/92 11/92 5-27.5 South- western 1,432,572 30,000 1,766,094 9,026 30,000 1,775,120 1,805,120 417,003 5/90 5/90 7-27.5 Spring- field 3,895,815 775,955 4,177,205 5,474,378 775,955 9,651,583 10,427,538 1,576,075 6/91 6/90 5-27.5 Sunshine 1,476,908 127,000 1,729,289 17,266 127,000 1,746,555 1,873,555 363,098 11/90 9/90 5-27.5 Surry Village II 779,972 60,000 938,244 1,982 50,718 940,226 990,944 231,108 1/90 5/90 5-27.5 Tappa- hannock Green 1,514,482 122,500 1,703,038 0 122,500 1,703,038 1,825,538 130,829 5/94 3/94 5-27.5 F-76 Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Twin Oaks 1,144,522 53,636 1,397,601 5,222 53,636 1,402,823 1,456,459 325,583 5/90 5/90 5-27.5 Village Oaks 736,735 42,140 884,614 3,359 42,140 887,973 930,113 197,559 2/90 6/90 5-27.5 Warrens- burg 796,924 32,000 991,475 10,399 32,000 1,001,874 1,033,874 272,304 4/90 4/90 5-27.5 Westside 1,863,906 25,000 4,022,240 (45,749)* 25,000 3,976,491 4,001,491 752,988 12/90 6/90 5-27.5 Westwood 1,419,114 96,660 1,690,074 11,089 96,660 1,701,163 1,797,823 449,977 7/90 7/90 27.5 Wilming- ton 1,058,012 75,637 1,293,362 (6,401)* 75,637 1,286,961 1,362,598 279,747 8/90 8/90 27.5 ---------- -------- ----------- ---------- --------- ----------- ----------- ----------- 86,320,559 5,821,504 123,062,393 6,614,982 6,043,933 129,677,375 135,721,308 23,582,887 ========== ========= =========== ========== ========= =========== =========== =========== Since the Operating Partnerships maintain a calendar year end, the information reported on this schedule is as of December 31, 1995. *Decrease due to a reallocation of acquisition costs. **There were no carrying costs as of December 31, 1995. The column has been ommitted for presentation purposes.
F-77 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$122,231,856 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 3,447,429 Improvements, etc................................. 143,343 Other............................................. 0 ---------- $ 3,590,772 Deductions during period: Cost of real estate sold..........................$(7,395,934) Other............................................. (24,083) ---------- $ (7,420,017) ----------- Balance at close of period - 03/31/93............................$118,402,611 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 3,591,731 Improvements, etc................................. 9,011,423 Other............................................. 0 ---------- $ 12,603,154 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$131,005,765 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 2,630,397 Improvements, etc................................. 1,266,494 Other............................................. 0 ---------- $ 3,896,891 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/95............................$134,902,656 F-78 Notes to Schedule III-Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Reconciliation of Land, Building & Improvements current year changes-Continued Balance at close of period - 03/31/95.........................$134,902,656 Additions during period: Acquisitions through foreclosure..............$ 0 Other acquisitions............................ 0 Improvements, etc............................. 818,652 Other......................................... 0 ----------- $ 818,652 Deductions during period: Cost of real estate sold......................$ 0 Other......................................... 0 ----------- $ 0 ----------- Balance at close of period - 03/31/96.........................$135,721,308 =========== F-79 Notes to Schedule III - Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 9 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92......................$ 6,203,920 Current year expense...............................$4,059,735 --------- Balance at close of period - 3/31/93...........................$10,263,655 Current year expense...............................$4,195,190 --------- Balance at close of period - 3/31/94...........................$14,458,845 Current year expense...............................$4,588,398 --------- Balance at close of period - 3/31/95...........................$19,047,243 Current year expense...............................$4,535,644 --------- Balance at close of period - 3/31/96...........................$23,582,887 ========== F-80 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Ackerman 618,317 42,000 619,380 244,777 42,000 864,157 906,157 42,494 6/94 9/93 5-27.5 Athens II 1,342,337 75,000 1,642,281 13,502 75,000 1,655,783 1,730,783 329,759 6/90 8/90 5-27.5 Autumn Lane 736,560 34,094 891,072 382 34,094 891,454 925,548 186,784 11/90 8/89 5-27.5 Baytree 961,494 44,759 1,099,246 74,543 44,759 1,173,789 1,218,548 296,734 7/90 11/88 5-27.5 Benchmark 955,427 60,600 1,137,112 14,980 60,600 1,152,092 1,212,692 290,820 7/90 11/88 5-27.5 Brentwood 959,213 64,999 1,163,002 8,598 64,999 1,171,600 1,236,599 162,960 10/90 11/90 5-27.5 Briarwood 1,489,634 154,900 1,898,553 (438,637) 154,900 1,459,916 1,614,816 331,810 8/90 8/90 5-27.5 Butler Properties 506,121 37,500 376,730 223,430 37,500 600,160 637,660 72,115 2/91 12/90 5-27.5 Candlewick Place 1,265,908 70,800 1,500,289 46,824 70,800 1,547,113 1,617,913 145,019 10/92 12/92 5-27.5 Cedarstone 779,017 66,000 955,695 1,673 66,000 957,368 1,023,368 80,424 5/93 5/93 5-40 Centre- ville Apts. 590,287 63,073 697,069 49,780 16,000 746,849 762,849 229,129 2/90 11/90 5-27.5 F-81 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Charlton Court 1,208,496 56,144 1,449,050 802 56,144 1,449,852 1,505,996 185,502 1/93 12/92 7-27.5 Chuck- atuck 1,454,329 128,725 1,731,557 5,363 128,725 1,736,920 1,865,645 281,263 2/90 11/90 12-40 Clover- leaf I 860,263 54,740 969,048 18,097 54,740 987,145 1,041,885 230,000 4/90 11/90 5-27.5 Clover- leaf II 879,595 66,488 981,480 21,561 66,488 1,003,041 1,069,529 233,233 4/90 11/90 5-27.5 Connells- ville 1,376,147 55,440 1,591,799 11,143 55,440 1,602,942 1,658,382 257,810 3/90 11/90 5-27.5 Dallas 1,779,831 230,059 3,408,933 (203,647)* 230,059 3,205,286 3,435,345 744,124 10/90 12/91 5-27.5 Ellaville 790,677 45,000 977,293 413 45,000 977,706 1,022,706 236,493 2/90 7/90 5-27.5 Forsyth 1,464,338 55,000 1,894,917 1,085 55,000 1,896,002 1,951,002 409,368 9/90 7/90 7-27.5 Freedom Apts. 1,055,152 144,065 1,219,436 18,300 144,065 1,237,736 1,381,801 185,218 9/90 11/90 5-27.5 Great Falls 878,516 38,292 1,053,154 3,495 38,292 1,056,649 1,094,941 228,547 10/90 11/90 5-27.5 F-82 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Hartway Properties 918,046 49,000 1,116,507 0 49,000 1,116,507 1,165,507 210,505 6/90 7/90 5-27.5 Hilltop 1,494,830 105,000 1,916,734 8,803 105,000 1,925,537 2,030,537 434,328 7/90 8/90 7-27.5 Ironton Estates 629,371 29,500 794,461 914 29,500 795,375 824,875 112,684 1/93 5/93 5-27.5 Lambert Square 1,008,422 41,200 1,243,568 0 41,200 1,243,568 1,284,768 98,663 12/92 11/92 5-40 Lawton Apts. 1,495,621 54,400 1,848,603 15,152 54,400 1,863,755 1,918,155 544,372 6/90 11/90 5-27.5 Longview 875,576 25,000 1,071,946 26,737 25,000 1,098,683 1,123,683 279,767 8/90 11/88 5-27.5 Maidu 2,222,801 56,500 4,890,261 269,330 56,500 5,159,591 5,216,091 896,043 12/91 3/91 7-27.5 Meadow- brook 1,484,563 75,141 1,789,549 765 75,141 1,790,314 1,865,455 425,096 3/90 9/90 5-27.5 Mercer Apts. 913,182 46,249 1,098,860 14,266 46,249 1,113,126 1,159,375 168,351 8/90 11/90 5-27.5 Morgan- town 773,412 36,000 930,187 7 36,000 930,194 966,194 123,779 12/90 8/90 5-27.5 F-83 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------ Newnan 2,121,949 92,706 4,128,942 (155,545)* 0 3,973,397 3,973,397 895,160 10/90 12/90 5-27.5 Northern Conn 1,024,762 42,500 1,536,482 10,144 42,500 1,546,626 1,589,126 171,212 12/92 1/93 5-27.5 Parkwood 2,688,473 316,667 4,358,381 6,117 316,667 4,364,498 4,681,165 863,626 5/91 3/91 5-27.5 Pedcor Invest- ments 3,120,633 200,000 4,714,711 272,995 200,000 4,987,706 5,187,706 657,713 10/90 7/90 5-27.5 Pinetree Manor 985,629 30,000 1,210,633 438 30,000 1,211,071 1,241,071 93,483 1/93 11/92 7-40 Pineview 966,192 125,000 1,178,400 4,541 125,000 1,182,941 1,307,941 256,053 12/90 9/90 7-27.5 Rosewood Village 651,752 36,000 806,255 1,956 36,000 808,211 844,211 187,485 7/90 7/90 5-27.5 South Farm 2,633,006 254,636 3,486,308 7,644 254,636 3,493,952 3,748,588 434,036 7/93 4/93 7-40 Stockton Estates 518,684 17,500 647,699 0 17,500 647,699 665,199 97,365 1/93 2/93 5-27.5 Stratford Square 755,381 63,000 443,433 452,618 63,000 896,051 959,051 74,777 2/93 10/92 5-40 F-84 Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Summer Glen 1,493,610 147,225 1,669,056 1,078 147,225 1,670,134 1,817,359 164,892 3/93 11/92 5-40 Washington Heights 473,150 76,537 974,803 8,932 76,537 983,735 1,060,272 148,679 7/90 11/90 5-27.5 West Des Moines 2,417,885 437,568 4,154,100 256,366 437,568 4,410,466 4,848,034 903,166 7/90 7/90 7-27.5 Wichita West 1,605,077 110,377 2,920,599 12,655 110,377 2,933,254 3,043,631 612,949 7/90 7/90 7-27.5 Woodside Housing 1,488,244 60,140 1,926,294 11,412 60,140 1,937,706 1,997,846 266,458 11/90 12/90 5-27.5 ---------- --------- ---------- ---------- --------- ----------- ----------- ------------ 56,711,910 4,115,524 78,113,868 1,343,789 3,975,745 79,457,657 83,433,402 14,280,248 ========== ========= ========== ========== ========= =========== =========== ============ Since the Operating Partnerships maintain a calendar year end, the information reported on this schedule is as of December 31, 1995. *Decrease due to a reallocation of acquisition costs. **There were no carrying costs as of December 31, 1995. The column has been ommitted for presentation purposes.
F-85 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$ 73,561,151 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 2,204,866 Improvements, etc................................. 314,333 Other............................................. 0 ---------- $ 2,519,199 Deductions during period: Cost of real estate sold..........................$(7,395,934) Other............................................. 0 ---------- $(7,395,934) ----------- Balance at close of period - 03/31/93............................$ 68,684,416 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 8,492,161 Improvements, etc................................. 6,297,007 Other............................................. 0 ---------- $ 14,789,168 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$ 83,473,584 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 313,600 Other............................................. 0 ---------- $ 313,600 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/95............................$ 83,787,184 F-86 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Reconciliation of Land, Building & Improvements current year changes - continued Balance at close of period - 03/31/95.........................$ 83,787,184 Additions during period: Acquisitions through foreclosure..............$ 0 Other acquisitions............................ 0 Improvements, etc............................. 0 Other......................................... 86,855 ----------- $ 86,855 Deductions during period: Cost of real estate sold......................$ 0 Other......................................... (440,637) ----------- $ (440,637) ----------- Balance at close of period - 03/31/96.........................$ 83,433,402 =========== F-87 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 10 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92.......................$ 3,259,154 Current year expense................................$2,487,975 --------- Balance at close of period - 3/31/93............................$ 5,747,129 Current year expense................................$2,881,214 --------- Balance at close of period - 3/31/94............................$ 8,628,343 Current year expense................................$2,883,271 --------- Balance at close of period - 3/31/95............................$11,511,614 Current year expense................................$2,768,634 --------- Balance at close of period - 3/31/96............................$14,280,248 ========== F-88 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Academy Hill 1,383,890 119,500 1,607,604 10,489 119,500 1,618,093 1,737,593 328,856 2/91 2/91 5-27.5 Aspen Square 1,842,702 150,413 2,118,648 82,342 150,703 2,200,990 2,351,693 296,139 11/90 11/90 5-27.5 Bridge- view 1,372,163 50,686 1,586,090 1,520 50,686 1,587,610 1,638,296 413,875 12/89 12/90 5-27.5 Buckeye 1,348,496 93,421 1,584,893 58,417 93,421 1,643,310 1,736,731 250,651 8/90 12/90 5-27.5 Church Hill 960,268 63,232 663,136 531,531 63,232 1,194,667 1,257,899 154,465 1/91 12/90 7-40 Copper Creek 1,180,530 77,750 1,410,989 42,494 77,750 1,453,483 1,531,233 198,771 9/90 11/90 5-27.5 Coronado 566,835 9,998 1,499,265 0 9,998 1,499,265 1,509,263 299,575 4/91 2/91 5-27.5 Crestwood 4,444,214 360,000 10,649,129 34,324 360,000 10,683,453 11,043,453 2,078,649 7/91 1/91 7-27.5 Dallas Apts. 1,779,831 230,059 3,408,933 (203,647)* 230,059 3,205,286 3,435,345 744,124 10/90 12/90 7-27.5 Denmark I 774,121 54,000 915,172 4,332 54,000 919,504 973,504 213,070 6/90 11/90 27.5 F-89 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ----------------------------------------------------------------------------------------------------------------------------- Denmark II 822,193 36,000 1,003,547 727 36,000 1,004,274 1,040,274 228,927 6/90 11/90 5-27.5 El Dorado Springs 584,383 22,500 735,245 6,046 22,500 741,291 763,791 186,808 9/90 11/90 5-27.5 Eldon Estates II 584,585 30,000 690,453 26,720 30,000 717,173 747,173 174,881 11/90 12/90 5-27.5 Eldon Manor 562,574 7,500 787,399 10,111 7,500 797,510 805,010 192,954 11/90 12/90 5-27.5 Elderly Housing of Macon 1,639,832 50,000 1,992,329 9,153 50,000 2,001,482 2,051,482 138,654 4/93 5/93 5-27.5 Eutaw Elderly 1,633,152 24,000 1,972,439 6,720 24,000 1,979,159 2,003,159 96,687 12/93 5/93 5-50 Farmer- ville 971,696 57,015 1,195,142 732 57,015 1,195,874 1,252,889 141,454 4/91 1/91 N/A Forest Glade 1,489,364 100,000 1,841,104 23,316 100,000 1,864,420 1,964,420 381,340 12/90 12/90 7-27.5 Franklin School 2,992,552 112,032 2,528,326 1,921,166 112,032 4,449,492 4,561,524 674,469 12/91 10/90 27.5 F-90 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ----------------------------------------------------------------------------------------------------------------------------- Harbor View 1,487,480 143,957 1,802,615 5,350 143,957 1,807,965 1,951,922 399,615 7/90 12/90 7-27.5 Hilltop Apts. 1,430,600 178,736 1,545,237 0 178,736 1,545,237 1,723,973 189,926 11/92 1/93 27.5 Holland Senior 903,105 27,500 1,096,333 13,773 27,500 1,110,106 1,137,606 251,584 6/90 11/90 27.5 Holly Senior 921,863 36,882 1,139,044 11,611 36,882 1,150,655 1,187,537 255,965 10/90 11/90 27.5 Ivan Woods 2,334,885 275,000 4,347,328 13,831 275,000 4,361,159 4,636,159 931,714 4/91 2/91 5-27.5 Kaplan Manor 930,277 66,000 1,106,192 38,553 66,000 1,144,745 1,210,745 154,241 12/90 12/90 7-40 Lakewood 957,952 53,100 1,162,254 4,022 53,100 1,166,276 1,219,376 143,325 5/91 1/91 N/A Licking Associates 407,704 14,000 316,889 175,452 14,000 492,341 506,341 72,869 3/92 11/91 N/A London Arms 2,648,334 37,500 3,479,332 (22,804)* 37,500 3,456,528 3,494,028 633,195 12/90 12/90 5-27.5 F-91 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Maidu 2,222,801 56,500 4,890,261 269,330 56,500 5,159,591 5,216,091 896,043 12,91 3/91 7-27.5 Manning Properties 844,449 44,125 1,015,703 7,152 44,125 1,022,855 1,066,980 222,811 11/90 11/90 5-27.5 Metter 1,481,681 44,500 1,770,511 4,205 45,141 1,774,716 1,819,857 200,114 5/93 12/92 5-27.5 Nevada Manor 651,450 50,000 782,543 8,430 51,203 790,973 842,176 196,434 10/90 11/90 5-27.5 Newnan Apts. 2,121,949 92,706 4,128,942 (248,251)* 92,706 3,880,691 3,973,397 895,160 10/90 12/90 5-27.5 Oatka Villige 923,483 35,000 1,151,205 5,695 35,000 1,156,900 1,191,900 265,526 6/90 11/90 5-27.5 PRI#10L.P. 1,238,084 100 1,776,840 106,924 100 1,883,764 1,883,864 362,215 12/90 12/90 5-27.5 Sierra Springs 1,181,148 52,290 1,448,815 48,719 52,387 1,497,534 1,549,921 198,275 11/90 11/90 5-27.5 South Fork 1,435,798 100,000 1,782,527 3,551 100,000 1,786,078 1,886,078 244,125 2/91 2/91 5-27.5 F-92 Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - -------------------------------------------------------------------------------------------------------------------------- Twin Oaks of Allendale 785,745 71,305 951,711 (170,609)* 71,305 781,102 852,407 171,419 9/90 12/90 5-27.5 Washington 962,249 55,050 1,150,878 300 55,050 1,151,178 1,206,228 144,644 3/91 1/91 7-40 Wildridge 1,502,627 156,576 1,617,243 2,861 156,576 1,620,104 1,776,680 295,053 4/91 1/91 7-27.5 ---------- --------- ---------- ---------- --------- ----------- ----------- ---------- 54,307,045 3,238,933 76,652,246 2,844,588 3,241,164 79,496,834 82,737,998 14,318,602 ========== ========= ========== ========== ========= =========== =========== ========== Since the Operating Partnerships maintain a calendar year end, the information reported on this schedule is as of December 31, 1995. *Decrease due to a reallocation of acquisition costs. **There were no carrying costs as of December 31, 1995. The column has been ommitted for presentation purposes.
F-93 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$ 75,467,308 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 44,500 Improvements, etc................................. 862,272 Other............................................. 0 ---------- $ 906,772 Deductions during period: Cost of real estate sold..........................$(1,343,477) Other............................................. (188,348) ---------- $ (1,531,825) ----------- Balance at close of period - 03/31/93............................$ 74,842,255 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 5,762,741 Improvements, etc................................. 1,962,905 Other............................................. 0 ---------- $ 7,725,646 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$ 82,567,901 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 1,297,882 Other............................................. 0 ---------- $ 1,297,822 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/95............................$ 83,865,783 F-94 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Reconciliation of Land, Building & Improvements current year changes - continued Balance at close of period - 03/31/95..........................$ 83,865,783 Additions during period: Acquisitions through foreclosure...............$ 0 Other acquisitions............................. 0 Improvements, etc.............................. 81,256 Other.......................................... 0 ----------- $ 81,256 Deductions during period: Cost of real estate sold.......................$ 0 Other.......................................... (1,209,041) ----------- $ (1,209,041) ----------- Balance at close of period - 03/31/96..........................$ 82,737,998 =========== F-95 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 11 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92.......................$ 2,602,158 Current year expense................................$2,916,577 --------- Balance at close of period - 3/31/93............................$ 5,518,735 Current year expense................................$2,946,686 --------- Balance at close of period - 3/31/94............................$ 8,465,421 Current year expense................................$4,159,331 --------- Balance at close of period - 3/31/95............................$12,624,752 Current year expense................................$1,693,850 --------- Balance at close of period - 3/31/96............................$14,318,602 ========== F-96 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Autumnwood Village 1,019,067 40,777 371,734 898,028 40,777 1,269,762 1,310,539 191,108 5/93 9/92 5-27.5 BB&L Enterprises 524,192 24,000 648,985 1,600 24,000 650,585 674,585 120,922 1/93 8/92 5-27.5 Bowman Village 668,505 17,000 848,107 1,718 17,000 849,825 866,825 147,876 3/93 10/92 5-27.5 Brandy- wood 1,758,634 86,029 3,313,958 (62,248) 86,029 3,251,710 3,337,739 669,962 7/92 7/92 7-27.5 Briarwick 1,264,423 95,079 1,587,073 0 95,079 1,587,073 1,682,152 214,095 1/92 3/92 7-27.5 Bucksport 1,378,146 71,500 1,683,768 (162,716) 271,318 1,521,052 1,792,370 280,765 9/92 4/92 7-27.5 Burkes- ville 737,897 40,000 897,118 0 40,000 897,118 937,118 97,951 9/92 9/92 7-27.5 California Investors 8,874,224 820,000 9,361,922 16,786,917 803,050 26,148,839 26,951,889 2,317,477 12/93 10/92 N/A VII F-97 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Cananche Creek 1,241,287 66,200 1,515,813 23,061 66,200 1,538,874 1,605,074 168,869 9/92 9/92 7-27.5 Carson Village 655,934 30,000 193,264 609,146 30,000 802,410 832,410 118,131 10/92 3/92 7-27.5 Clarkson Prop 754,085 36,000 932,918 0 36,000 932,918 968,918 103,044 7/93 9/92 5-27.5 Clymer House 1,087,541 20,000 1,387,091 (67,961) 87,419 1,319,130 1,406,549 235,200 6/92 4/92 7-27.5 Corcoran Investment 1,531,749 75,000 1,976,455 0 75,000 1,976,455 2,051,455 259,676 1/93 9/92 10-40 Cornish Park 1,462,198 67,390 1,761,946 (89,370) 231,959 1,672,576 1,904,535 336,741 8/92 6/92 7-27.5 Crescent City 1,874,110 211,000 2,297,055 (14,590) 211,000 2,282,465 2,493,465 331,381 11/92 6/92 10-40 Dallas II 1,779,831 230,059 3,194,199 11,087 230,059 3,205,286 3,435,345 744,124 2/93 5/92 5-27.5 F-98 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Earlimart 1,352,437 90,000 1,711,424 827 90,000 1,712,251 1,802,251 218,410 5/93 8/92 5-27.5 Evanwood 763,531 36,000 929,102 0 36,000 929,102 965,102 116,034 11/91 3/92 7-27.5 Fort Smith 1,172,277 87,500 2,089,062 0 87,500 2,089,062 2,176,562 143,020 11/92 4/92 7-27.5 Frank- lin II 1,494,324 50,000 1,864,100 2,199 50,000 1,866,299 1,916,299 398,700 10/92 10/92 7-27.5 Franklin House 313,289 1,000 812,706 2,742 1,000 815,448 816,448 173,291 3/91 3/92 7-27.5 Hamilton Village 572,712 18,943 368,532 344,202 18,943 712,734 731,677 113,468 8/92 8/92 7-27.5 Hunters Park 1,417,263 92,750 1,650,083 15,431 92,750 1,665,514 1,758,264 175,385 1/92 5/92 7-27.5 Ivan Woods 2,334,885 275,000 4,347,328 13,831 275,000 4,361,159 4,636,159 931,714 7/92 4/92 7-27.5 Jesup 643,518 19,375 427,265 380,977 19,375 808,242 827,617 129,586 2/92 3/92 7-27.5 Lakeridge 921,234 34,832 1,103,517 0 34,832 1,103,517 1,138,349 200,215 2/93 8/92 5-27.5 Laurel Village 665,485 15,145 256,421 568,879 15,145 825,300 840,445 126,979 2/92 3/92 7-27.5 F-99 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Los Caballos 784,637 53,886 1,006,731 1,700 26,943 1,008,431 1,035,374 120,748 7/92 6/92 7-27.5 Marlboro 840,368 26,176 1,032,404 14,417 26,176 1,046,821 1,072,997 226,087 11/93 12/92 5-27.5 Melvilles 897,991 18,500 1,103,074 25,498 18,500 1,128,572 1,147,072 121,369 3/93 8/92 5-27.5 Nanty Glo 1,482,642 35,000 1,869,757 (82,178) 114,000 1,787,579 1,901,579 322,889 12/92 8/92 5-27.5 Newnan II 2,121,949 92,706 3,868,800 11,891 92,706 3,880,691 3,973,397 895,160 3/92 5/92 7-27.5 Nye County 1,371,576 60,000 1,694,731 5,023 60,000 1,699,754 1,759,754 352,804 5/93 9/92 5-27.5 Oakleigh 918,998 57,500 553,121 555,618 57,500 1,108,739 1,166,239 110,595 11/91 4/92 7-27.5 Oakwood 922,001 52,000 782,736 339,338 52,000 1,122,074 1,174,074 114,133 5/92 5/92 7-27.5 Parkwood 2,538,481 316,667 4,358,381 6,117 316,667 4,364,498 4,681,165 863,626 6/92 4/92 7-27.5 Portales Estates 1,447,007 66,500 1,777,470 2,028 66,500 1,779,498 1,845,998 376,908 5/92 5/92 7-27.5 Prairie West 480,479 65,000 983,964 3,798 65,000 987,762 1,052,762 197,429 9/93 10/92 5-27.5 F-100 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Ridgeway Court 897,442 48,500 1,039,377 6,645 50,450 1,046,022 1,096,472 194,673 1/93 4/92 5-27.5 River Reach 1,372,674 118,750 1,656,515 6,732 118,750 1,663,247 1,781,997 314,936 1/92 3/92 7-27.5 Rockmoor 439,959 30,000 521,541 17,017 30,000 538,558 568,558 58,131 4/92 4/92 7-27.5 RPI #22 580,840 0 1,177,719 3,855 0 1,181,574 1,181,574 196,888 11/92 6/92 7-27.5 Scott City 601,273 13,000 764,225 (285) 13,000 763,940 776,940 88,406 5/92 4/92 5-27.5 Shawnee Ridge 670,612 53,650 801,129 6,717 53,650 807,846 861,496 93,188 2/93 8/92 5-27.5 Spring- field 3,895,815 775,955 9,620,653 30,930 775,955 9,651,583 10,427,538 1,576,075 2/92 7/92 5-27.5 Stonegate Manor 1,014,397 76,000 1,265,168 6,097 76,000 1,271,265 1,347,265 258,437 9/92 5/92 7-27.5 Turner Lane 724,296 31,530 882,974 0 31,530 882,974 914,504 166,043 8/92 9/92 7-27.5 Union Baptist 552,199 0 1,151,557 16,582 0 1,168,139 1,168,139 162,161 5/92 4/92 7-27.5 F-101 Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Encum- and im- Improve- and im- Depre- struct uired ciation Description brances Land provements ments Land provemnts Total ciation Date Date Life - ---------------------------------------------------------------------------------------------------------------------------- Villas Lakeridge 534,683 47,952 605,356 0 47,952 605,356 653,308 110,053 7/92 5/92 7-27.5 Waynesboro 1,377,553 50,000 1,455,507 1,074 50,000 1,456,581 1,506,581 278,352 12/92 6/92 5-28 Windsor II 733,429 51,178 887,455 10,016 51,178 897,471 948,649 198,716 4/93 6/92 7-27.5 Woodcrest 714,743 42,000 883,702 1,891 42,000 885,593 927,593 96,721 7/93 8/92 5-27.5 Woodside 1,161,361 19,383 1,378,829 0 19,383 1,378,829 1,398,212 317,365 8/92 8/92 7-27.5 ---------- --------- ---------- ---------- ---------- ----------- ------------ ---------- 67,340,183 4,852,412 90,653,822 20,254,281 5,321,275 110,908,103 116,229,378 16,876,017 ========== ========= ========== ========== ========= =========== ============ =========== Since the Operating Partnerships maintain a calendar year end, the information reported on this schedule is as of December 31, 1995. *Decrease due to a reallocation of acquisition costs. **There were no carrying costs as of December 31, 1995. The column has been ommitted for presentation purposes.
F-102 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$ 79,690,665 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 9,428,122 Improvements, etc................................. 7,164,766 Other............................................. 0 ---------- $ 16,592,888 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/93............................$ 96,283,553 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 901,206 Improvements, etc................................. 16,586,367 Other............................................. 0 ---------- $ 17,487,573 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$113,771,126 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 0 Improvements, etc................................. 2,226,528 Other............................................. 0 ---------- $ 2,226,528 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/95............................$115,997,654 F-103 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Reconciliation of Land, Building & Improvements current year changes - continued Balance at close of period - 03/31/95..........................$115,997,654 Additions during period: Acquisitions through foreclosure...............$ 0 Other acquisitions............................. 0 Improvements, etc.............................. 231,724 Other.......................................... 0 ----------- $ 231,724 Deductions during period: Cost of real estate sold.......................$ 0 Other.......................................... 0 ----------- $ 0 ----------- Balance at close of period - 03/31/96..........................$116,229,378 =========== F-104 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 12 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92.......................$ 2,036,741 Current year expense................................$3,141,623 --------- Balance at close of period - 3/31/93............................$ 5,178,364 Current year expense................................$3,409,630 --------- Balance at close of period - 3/31/94............................$ 8,587,994 Current year expense................................$4,171,394 --------- Balance at close of period - 3/31/95............................$12,759,388 Current year expense................................$4,116,629 --------- Balance at close of period - 3/31/96............................$16,876,017 ========== F-105 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ----------------------------------------------------------------------------------------------------------------------------- Ada Vil 1,059,349 125,997 1,201,080 0 125,997 1,201,080 1,327,077 109,725 11/93 1/93 5-30 Amherst 1,611,365 60,000 1,920,734 0 60,000 1,920,734 1,980,734 312,104 1/92 1/92 7-27.5 Beckwood Manor 1,277,070 35,000 1,569,743 16,528 35,000 1,586,271 1,621,271 238,958 10/92 5/92 5-27.5 Belmont Vlg 932,897 64,312 1,073,695 6,676 64,312 1,080,371 1,144,683 124,924 12/91 1/92 7-27.5 Bethel Park 1,497,807 265,800 1,310,374 300,790 279,674 1,611,164 1,890,838 192,780 3/92 12/91 5-40 Blan- chard 219,826 42,000 727,225 (473,334) 23,726 253,891 277,617 27,883 9/91 10/91 7-40 Blanchard Vlg 601,126 42,000 730,704 0 42,000 730,704 772,704 79,503 7/93 1/93 5-30 Brant- wood 1,148,425 55,500 1,382,381 977 55,500 1,383,358 1,438,858 256,640 9/91 7/91 7-27.5 F-106 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Brecken- ridge 873,052 21,500 1,181,178 1,909 21,500 1,183,087 1,204,587 136,127 3/92 1/92 7-27.5 Briar- wood II 1,500,513 90,000 1,785,580 (297,553) 90,000 1,488,027 1,578,027 239,830 4/92 2/92 7-27.5 Bridge Coali- tion 0 0 695,990 0 0 695,990 695,990 100,179 12/91 1/92 27.5 Buchanan 728,917 63,275 833,561 33,758 63,275 867,319 930,594 193,468 10/90 7/91 7-27.5 California Inv. V 5,537,313 401,411 10,824,261 1,586 401,411 10,825,847 11,227,258 1,756,859 03/90 8/92 7-27.5 California Inv. VII 8,874,224 820,000 9,361,922 16,786,917 803,050 26,148,839 26,951,889 2,317,477 12/93 10/92 7-27.5 Capital Hsg 1,576,334 178,000 3,131,389 22,505 178,000 3,153,894 3,331,894 539,409 1/91 8/91 7-27.5 Capitol One 697,977 35,000 883,508 0 35,000 883,508 918,508 22,259 8/95 3/95 7-27.5 Carleton Court 2,596,079 94,360 3,954,231 219,892 94,360 4,174,123 4,268,483 533,749 12/91 12/91 7-34 Carriage Run 1,339,024 83,980 1,046,960 550,232 83,980 1,597,192 1,681,172 242,006 4/92 10/91 7-27.5 Cedar- wood 1,425,062 61,698 1,477,659 231,450 61,698 1,709,109 1,770,807 158,928 1/92 10/91 7-27.5 F-108 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------------ Central Valley 1,835,571 141,353 2,170,282 0 141,353 2,170,282 2,311,635 227,440 12/91 1/92 5-50 Chapar- ral 698,971 38,972 863,939 3,510 38,972 867,449 906,421 90,375 7/91 8/91 7-50 College Green 3,820,685 225,000 6,774,847 0 225,000 6,774,847 6,999,847 143,806 8/95 3/95 7-27.5 Colorado City 544,735 30,000 608,138 16,258 30,000 624,396 654,396 66,592 10/91 10/91 7-40 Cotton wood 657,443 40,000 775,242 3,710 40,000 778,952 818,952 85,162 7/91 10/91 7-40 Crystal Sprgs 1,310,057 60,000 1,574,032 426 60,000 1,574,458 1,634,458 221,000 1/92 1/92 7-27.5 Davis Vlg 1,186,146 55,000 1,456,778 0 55,000 1,456,778 1,511,778 138,870 9/93 1/93 5-30 Derby Hsg 1,895,766 165,000 3,451,914 (55,307) 165,000 3,396,607 3,561,607 587,774 9/91 6/91 7-27.5 Deven- wood 878,101 76,000 1,215,772 2,075 76,000 1,217,847 1,293,847 146,929 1/93 7/92 N/A Duncan Vlg 1,162,462 83,875 1,391,226 0 83,875 1,391,226 1,475,101 124,848 11/93 1/93 5-30 F-108 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------------ Edison Village 1,206,259 46,536 1,425,180 49,028 46,536 1,474,208 1,520,744 238,651 2/92 7/91 7-27.5 Excel- sior 626,632 70,000 704,252 3,997 70,000 708,249 778,249 161,737 4/91 2/92 7-27.5 Four Oaks Hsg 898,173 48,000 1,063,004 3,228 73,083 1,066,232 1,139,315 156,042 6/92 3/92 7-27.5 Franklin Vista 934,030 49,520 1,130,261 0 49,520 1,130,261 1,179,781 114,689 4/92 1/92 7-27.5 Friend- ship 1,445,321 195,314 1,639,123 123,782 213,230 1,762,905 1,976,135 445,960 6/91 1/92 7-27.5 Glenhaven Park 718,930 195,000 834,120 0 195,000 834,120 1,029,120 144,228 6/89 1/94 7-27.5 Harrison City 1,487,996 35,521 1,792,881 5,424 35,521 1,798,305 1,833,826 268,430 9/92 7/92 7-27.5 Haven Park Part- ners II 510,973 225,000 1,045,411 0 225,000 1,045,411 1,270,411 246,758 6/89 1/94 7-27.5 Haven Park Partners III 504,865 225,000 1,177,089 0 225,000 1,177,089 1,402,089 169,335 12/89 1/94 7-27.5 F-109 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------------ Haven Park Part- ners IV 412,907 180,000 874,413 0 180,000 874,413 1,054,413 117,423 6/90 1/94 7-27.5 Hessmer 915,365 35,000 380,289 776,293 35,000 1,156,582 1,191,582 111,660 4/92 12/91 7-40 Hillmont Village 889,713 38,000 911,697 159,573 38,000 1,071,270 1,109,270 177,091 1/92 9/91 7-27.5 Hughes Springs 791,430 35,000 947,230 0 35,000 947,230 982,230 102,285 8/91 10/91 7-40 Hunters Run 1,452,865 120,000 1,169,479 536,591 120,000 1,706,070 1,826,070 279,841 2/92 12/91 7-27.5 Indepen- dence 1,091,459 103,901 1,237,331 9,492 103,901 1,246,823 1,350,724 232,956 6/91 8/91 7-27.5 Jarratt 837,771 55,926 1,028,925 (67,608) 55,926 961,317 1,017,243 156,728 12/91 10/91 7-27.5 Kilmar- nock 766,881 44,000 969,309 0 44,000 969,309 1,013,309 190,438 4/91 7/91 7-27.5 King Fisher 173,368 21,000 198,768 0 21,000 198,768 219,768 19,166 12/93 1/93 5-30 La Gama Del Bario 669,734 110,000 1,020,084 46,465 110,000 1,066,549 1,176,549 126,973 8/92 6/92 7-27.5 F-110 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------------ Lake Isa- bella 2,002,699 360,000 2,036,815 229,471 360,000 2,266,286 2,626,286 232,657 1/92 9/91 5-50 Lakeview Meadows 1,576,000 99,580 2,665,491 7,868 99,580 2,673,359 2,772,939 460,068 6/92 1/92 12-40 Lakewood Terr 3,989,887 124,707 2,257,609 4,420,840 124,707 6,678,449 6,803,156 947,561 8/89 11/93 5-27.5 Lexington Park 4,872,223 500,000 7,754,757 0 500,000 7,754,757 8,254,757 676,843 12/93 11/91 7-27.5 Lexington Vlg 213,176 23,814 246,703 0 23,814 246,703 270,517 25,840 11/93 1/93 5-30 Lonacon- ing 1,492,701 113,305 181,203 1,554,289 113,305 1,735,492 1,848,797 171,134 9/92 12/91 5-27.5 Louis Assocs. 840,050 13,720 1,038,651 426 13,720 1,039,077 1,052,797 162,329 1/92 3/92 7-27.5 Maidu 2,222,801 56,500 5,108,838 50,753 56,500 5,159,591 5,216,091 896,043 12/91 1/92 7-27.5 Marion Mnr 1,012,062 50,000 1,237,671 8,394 50,000 1,246,065 1,296,065 108,995 6/92 2/92 7-27.5 Maysville Vlg 221,394 25,920 255,681 0 25,920 255,681 281,601 27,236 10/93 1/93 5-30 F-111 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ----------------------------------------------------------------------------------------------------------------------------- McComb Fam 1,009,059 30,000 1,226,748 2,476 30,000 1,229,224 1,259,224 198,523 10/91 10/91 7-27.5 Mon- tague 1,146,416 0 1,493,360 118,408 0 1,611,768 1,611,768 227,226 12/91 12/91 5-30 Navapai 887,313 53,480 1,073,287 25,572 53,480 1,098,859 1,152,339 133,780 4/91 6/91 7-50 Nevada City 3,563,661 492,000 3,954,179 130,975 492,000 4,085,154 4,577,154 406,102 10/91 1/91 5-27.5 New River 1,492,851 46,400 1,279,522 508,999 46,400 1,788,521 1,834,921 179,573 2/92 8/91 7-27.5 Newel- lton 953,956 57,600 1,161,263 1,357 57,600 1,162,620 1,220,220 112,587 4/92 2/92 7-40 Oakland Vlg 857,322 38,400 1,021,589 1,761 58,014 1,023,350 1,081,364 141,954 8/92 5/92 7-27.5 Okemah Vlg 702,330 27,752 872,256 0 27,752 872,256 900,008 88,124 5/93 1/93 7-27.5 One North- ridge 1,740,729 190,000 3,051,424 58,314 190,000 3,109,738 3,299,738 359,954 2/92 1/92 7-27.5 Park- wood 2,538,481 316,667 4,358,381 6,117 316,667 4,364,498 4,681,165 863,626 5/91 10/91 7-27.5 F-112 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ------------------------------------------------------------------------------------------------------------------------------ Pine- ridge 998,758 31,500 494,515 715,923 31,500 1,210,438 1,241,938 102,218 3/92 10/91 7-27.5 Pittsfield Park 1,051,965 204,900 781,557 366,071 204,900 1,147,628 1,352,528 158,302 6/92 12/91 5-30 Planta- tion IV 1,427,919 77,000 1,697,631 16,686 77,000 1,714,317 1,791,317 298,154 11/91 12/91 7-27.5 Portville Square 934,142 66,206 1,068,007 29,836 66,206 1,097,843 1,164,049 118,836 3/92 3/92 7-27.5 Prague Vlg 128,836 10,500 157,060 0 10,500 157,060 167,560 18,528 3/93 1/93 7-27.5 Rainer Manor 3,733,381 521,000 5,852,852 0 521,000 5,852,852 6,373,852 498,305 1/93 3/92 7-27.5 Rosen- berg 8,492,153 452,000 10,701,246 1,606,588 452,000 12,307,834 12,759,834 1,374,986 1/92 12/91 7-27.5 Rosewood Manor 1,445,595 175,000 1,605,480 7,408 175,000 1,612,888 1,787,888 276,404 11/91 12/91 7-27.5 San Jacinto 2,383,362 288,000 2,694,130 105,463 288,000 2,799,593 3,087,593 331,650 10/91 1/92 5-50 Schroon Lake 1,102,849 78,000 1,318,831 (13,366) 78,000 1,305,465 1,383,465 197,673 1/92 11/91 5-50 F-113 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - ----------------------------------------------------------------------------------------------------------------------------- Scott Part- ners 627,654 60,000 1,171,445 1,297 60,000 1,172,742 1,232,742 203,646 11/91 10/91 7-27.5 Sioux Falls 1,132,223 82,406 2,233,596 (16,522) 82,406 2,217,074 2,299,480 387,662 10/91 11/91 7-27.5 Smith- ville 1,251,376 79,790 1,465,210 17,594 79,790 1,482,804 1,562,594 335,579 5/91 2/92 7-27.5 South Fulton 667,221 34,000 794,896 0 34,000 794,896 828,896 135,052 8/91 10/91 7-27.5 Standard- ville 589,081 29,500 691,006 0 29,500 691,006 720,506 92,838 11/91 4/92 5-40 St. Barnabas 1,222,611 43,335 1,520,445 2,648 43,335 1,523,093 1,566,428 140,035 12/91 10/91 7-27.5 Summerlane 865,598 48,700 1,010,651 3,038 48,700 1,013,689 1,062,389 173,330 11/91 7/91 7-27.5 Tionesta Manor 1,437,376 229,850 1,666,675 12,965 229,850 1,679,640 1,909,490 298,213 1/92 2/92 7-27.5 Titus- ville 1,247,680 85,280 1,235,975 226,530 85,280 1,462,505 1,547,785 242,263 1/92 12/91 7-27.5 Toano III 713,576 56,266 874,381 1,499 56,266 875,880 932,146 173,386 7/91 7/91 7-27.5 F-114 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- Topsham 1,134,180 135,552 1,458,644 950 135,552 1,459,594 1,595,146 141,349 8/92 11/91 10-40 Townview 1,386,281 87,238 1,713,135 16,525 87,238 1,729,660 1,816,898 214,805 10/91 9/91 5-27.5 Tyrone Hsg 1,492,485 138,700 1,850,252 (71,103) 138,700 1,779,149 1,917,849 200,154 1/92 12/91 5-40 Vic- toria 1,415,346 12,500 1,733,581 0 12,500 1,733,581 1,746,081 253,961 6/92 1/92 5-27.5 Village Trc 733,863 63,000 1,529,691 0 63,000 1,592,691 1,529,691 264,630 9/91 5/92 5-40 Washing- ton 1,200,303 72,396 1,494,696 2,410 72,396 1,497,106 1,569,502 257,563 8/91 7/91 7-27 Wesley Vlg 1,322,071 44,750 347,831 1,253,193 44,750 1,601,024 1,645,774 172,327 6/92 10/91 5-27.5 Wild- wood 1,270,202 94,949 1,498,290 7,245 94,949 1,505,535 1,600,484 203,164 10/91 10/91 5-40 Woodfield Commons 1,251,725 66,533 2,478,583 129,178 66,533 2,607,761 2,674,294 313,964 6/91 9/91 12-40 Wood- side 1,218,695 44,000 1,472,335 6,808 44,000 1,479,143 1,523,143 261,518 10/91 11/91 7-27.5 Wynnewood Vlg 427,247 41,987 521,591 0 41,987 521,591 563,578 53,598 11/93 1/93 5-27.5 F-115 Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Schedule III - Real Estate and Accumulated Depreciation March 31, 1996 Subsequent Initial capitalized Gross amount at which cost to company costs** carried at close of period --------------- ----------- ----------------------------- Buildings Buildings Accum. Con- Acq- Depre- Descrip- Encum- and im- Improve- and im- Depre- struct uired ciation tion brances Land provements ments Land provements Total ciation Date Date Life - --------------------------------------------------------------------------------------------------------------------------- York- shire 928,551 29,265 1,079,451 29,982 29,265 1,109,433 1,138,698 201,708 9/91 8/91 5-27.5 Zin- master 1,892,974 100,000 3,307,709 0 100,000 3,307,709 3,407,709 997,950 1/88 1/95 7-27.5 ----------- ---------- ----------- ---------- ---------- ----------- ----------- ---------- 144,283,359 11,491,699 186,719,997 30,604,136 11,532,962 217,324,133 228,857,095 28,389,901 =========== ========== =========== ========== ========== =========== =========== ========== Since the Operating Partnerships maintain a calendar year end, the information on this schedule is as of December 31, 1995. * - Reduction due to reduced development fee, which reduced the property basis.
F-116 Notes to Schedule III Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Reconciliation of Land, Building & Improvements current year changes Balance at beginning of period-04/01/92..........................$ 81,648,074 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 80,920,213 Improvements, etc................................. 5,161,569 Other............................................. 0 ---------- $ 86,081,782 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/93............................$167,729,856 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 2,382,316 Improvements, etc................................. 38,261,558 Other............................................. 0 ---------- $ 40,643,874 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/94............................$208,373,730 Additions during period: Acquisitions through foreclosure..................$ 0 Other acquisitions................................ 4,756,033 Improvements, etc................................. 4,399,236 Other............................................. 0 ---------- $ 9,155,269 Deductions during period: Cost of real estate sold..........................$ 0 Other............................................. 0 ---------- $ 0 ----------- Balance at close of period - 03/31/95............................$217,528,999 F-117 Notes to Schedule III-Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Reconciliation of Land, Building & Improvements current year changes-Continued Balance at close of period - 03/31/95..........................$217,528,999 Additions during period: Acquisitions through foreclosure...............$ 0 Other acquisitions............................. 0 Improvements, etc.............................. 11,627,996 Other.......................................... 0 ----------- $ 11,627,996 Deductions during period: Cost of real estate sold.......................$ 0 Other.......................................... (299,900) ----------- $ (299,900) ----------- Balance at close of period - 03/31/96..........................$228,857,095 =========== F-118 Notes to Schedule III - Continued Boston Capital Tax Credit Fund II Limited Partnership - Series 14 Reconciliation of Accumulated Depreciation current year changes Balance at beginning of period - 04/01/92.........................$ 659,075 Current year expense..................................$5,383,385 --------- Balance at close of period - 3/31/93..............................$ 6,042,460 Current year expense..................................$6,562,213 --------- Balance at close of period - 3/31/94..............................$12,604,673 Current year expense..................................$7,623,477 --------- Balance at close of period - 3/31/95..............................$20,228,150 Current year expense..................................$8,161,751 --------- Balance at close of period - 3/31/96..............................$28,389,901 ========== F-119 EX-27 2
CT 0000853566 BOSTON CAPITAL TAX CREDIT FUND II LIMITED PARTNERSHIP 12-MOS MAR-31-1996 MAR-31-1996 85,486,212 0 0 0 0 85,486,212 65,468 0 (15,844,404) 0 0 0 (15,778,936) 0 0
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