Finding 1174617 (2024-001)

Material Weakness Repeat Finding

Requirement

Questioned Costs

Year

2024

Accepted

2026-02-19

Audit: 388128

Organization: Four Square Community Action, Inc. (NC)

Auditor: SMART SOLUTIONS CPA INC

AI Summary

Answer: Some audit adjustments were recorded incorrectly or not at all, affecting financial statements.
Trend: This issue indicates a pattern of inaccuracies in financial reporting that could lead to compliance risks.
List: Follow up by reviewing all adjustments for accuracy and ensuring proper recording practices are in place.

Finding Text

During the audit, it was observed that the Organization recorded the majority of the audit adjustments identified and proposed. However, a few adjustments were recorded inaccurately, and some were not recorded. These discrepancies are significant to the financial statements prepared in accordance with Auditing Standards Generally Accepted in the United States of America.

Corrective Action Plan

Management understands the importance of the recording transactions in the books. This observation has been noted for future compliance.

Other Findings in this Audit

1174618 2024-002

Material Weakness Repeat
1174619 2024-003

Material Weakness Repeat
1174620 2024-004

Material Weakness Repeat
1174621 2024-005

Material Weakness Repeat
1174622 2024-006

Material Weakness Repeat
1174623 2024-007

Material Weakness Repeat
1174624 2024-008

Material Weakness Repeat

Programs in Audit

ALN	Program Name	Expenditures
14.871	SECTION 8 HOUSING CHOICE VOUCHERS	$1.98M
93.600	HEAD START	$1.46M
93.568	LOW-INCOME HOME ENERGY ASSISTANCE	$436,250
10.558	CHILD AND ADULT CARE FOOD PROGRAM	$165,767
81.042	WEATHERIZATION ASSISTANCE FOR LOW-INCOME PERSONS	$151,620
93.569	COMMUNITY SERVICES BLOCK GRANT	$136,816
14.239	HOME INVESTMENT PARTNERSHIPS PROGRAM	$44,165