Finding Text
2022-003 Material Audit Adjustments ? Material audit adjustments were necessary in order to prepare financial statements in accordance with accounting standards generally accepted in the United States of America, including the recording of federal awards. Criteria ?A proper system of internal control is designed to identify and correct misstatements prior to being identified through audit procedures. Cause ? There was turnover in management and in the accounting department. Effect ? Material adjustments were identified and necessary. Recommendation ? Make sure to reconcile all accounts monthly and when variances are identified, make the necessary corrections. Response ? We will implement your recommendation. Conclusion ? Response accepted