FAC Explorer

Finding 1024047 (2022-001)

Material Weakness Repeat Finding
Requirement
AN
Questioned Costs
-
Year
2022
Accepted
2023-07-19
Audit: 313186
Organization: Southeast Arkansas Community Action Corporation (AR)
Auditor: Searcy & Associates

AI Summary

  • Issue: Monthly cash reconciliations were not prepared, risking material misstatements in financial statements.
  • Trend: Lack of comparison between monthly reconciliations and the general ledger.
  • Follow-up: Implement a routine for monthly reconciliations to ensure accuracy and identify discrepancies.

Finding Text

ReconciliationsCondition and Criteria: The entity did not prepare monthly cash reconciliations.Effect: The entity?s financial statements could be materially misstated.Cause: Monthly reconciliations were not being compared to the general ledger.Recommendation: Monthly reconciliations of bank statements to the general ledger must be performed to keep the two in balance and identify the reasons for any differences. We recommend that these reconciliations become a monthly routine.

Categories

No categories assigned yet.

Other Findings in this Audit

  • 447603 2022-001
    Material Weakness Repeat
  • 447604 2022-002
    Material Weakness Repeat
  • 447605 2022-001
    Material Weakness Repeat
  • 447606 2022-002
    Material Weakness Repeat
  • 1024045 2022-001
    Material Weakness Repeat
  • 1024046 2022-002
    Material Weakness Repeat
  • 1024048 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance $1.34M
93.569 Community Services Block Grant $428,172
10.568 Emergency Food Assistance Program (administrative Costs) $33,699