Finding 1076177 (2023-001)

Finding #2023-001 – Material Audit Adjustments Condition: Material audit adjustments were required to adjust noncash contributions and related expenses and various accounts related to the construction of the new building at year-end. Effect: Financial statements generated by the accounting system may not provide an accurate reflection of the Organization’s financial position and activities. Cause: Significant noncash contributions not recorded throughout the year and new building project spanning over multiple years. Criteria: Month-end and year-end closing processes should be in place to ensure that records are correct, reliable, and properly reconciled. Recommendation: We recommend that the Organization improve their month-end and year-end closing processes to include reviewing annual audit entries and posting any applicable entries prior to the audit. Management should then review the financial information on a timely basis. Response: The Organization will review the month-end and year-end closing processes. The Organization will review the annual audit entries as part of the closing processes and post any applicable entries prior to future audits.