Finding Text
Criteria - Management is responsible for establishing and maintaining effective internal controls and for the fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America. Condition - The Data Collection Form for the year ended December 31, 2024 was not filed with the Federal Audit Clearinghouse within nine months after year end. Cause - The Company did not timely engage an external certified public accounting firm to perform the required audit. This was due in part to the Company’s attempt to obtain approval from the awarding agency to elect the program-specific audit option to satisfy reporting requirements. Effect - The Data Collection Form for the year ended December 31, 2024 was not filed with the Federal Audit Clearinghouse within nine months after year end. Statistical Sampling - The sampling was not intended to be, and was not, a statistically valid sample. Questioned Costs - None identified. Recommendation – Neurovascular Diagnostics, Inc. should establish accounting procedures to properly identify Federal expenditures and implement controls to complete the timely submission of the Data Collection Form. Management’s Response - Neurovascular Diagnostics (the Company) attempted to receive approval from the federal awarding agency to elect the program-specific audit option to satisfy reporting requirements. After several attempts without response, the Company opted to have a full financial statement audit conducted. The Company engaged a certified public accounting firm to conduct the audit for the year ended December 31, 2024 and completed its audit and reporting requirements as of October 2025. Further, the Company intends to engage the same firm in future years to ensure timely submission of the data collection form to the Federal Audit Clearinghouse.