(a) Complete financial (preferably audited), prepared in accordance with generally accepted accounting principles. Complete financials are to include: a statement of assets and liabilities (a balance sheet); comparative figures showing the budget, the number of families giving on a regular basis and their average annual contribution, if applicable and available, and income (revenue) and expense statements for the past three years; interim statements of church financials for the interim period between the last annual statements and 90 days just preceding the month of the offering.
(b) If any of the above information is not available, a statement to that effect must be made, along with an explanation of why it is not available.
(c) Any information necessary to explain extraordinary or nonrecurring fluctuations in the above-mentioned statements must be supplied.
(d) Obligations, if any, on existing indebtedness must be clearly stated and explained.
(e) An itemized statement showing the major uses of the proceeds of the offering by dollar amount is to be included. In stating the use of the proceeds, when construction costs are not based upon firm contracts, a statement should be made that the costs are estimates only and subject to change. If additional funds are needed to accomplish the stated purposes of the offering, this is to be disclosed, together with a statement showing how such funds will be obtained.
(f) A pay-out or maturity schedule must be included and sinking fund requirements must be indicated. If projected growth in income is used as the basis for increases in later sinking fund payments, great care must be exercised to insure that the estimates used are realistic and all assumptions fully disclosed.
(g) If refinancing is needed when the bonds mature, this needs to be clearly brought out. Unless special circumstances are shown, "balloon payments" normally would not be considered fair, just, and equitable.
(h) Anything that is known that will take place in the future, and which could have an adverse effect on the issuer's ability to pay back the bonds or the interest on the bonds, must be disclosed and explained.
(i) Schedules or charts showing the amount of return to be received when interest coupons are reinvested must be omitted unless there are specific provisions for reinvesting interest received.
(j) The person or persons preparing any appraisals must be identified and their qualifications for serving as such should be indicated along with the method of appraisal.
(k) Where part or all of the proceeds of an issue are to be used to retire outstanding indebtedness against certain property so that the property will serve as collateral for a first mortgage indebtedness, proceeds from the issue must be escrowed to insure that the indebtedness will be retired.
(l) If a legal opinion concerning the validity of the issue has not been rendered by an attorney, this fact shall be stated.
(m) In stating the use of the proceeds of the issue when construction costs are not based upon firm contracts, a statement should be made that the costs are estimates only which are subject to change.

Source Note: The provisions of this §125.6 adopted to be effective January 1, 1976