Finding Text
During the performance of the audit, we noted internal controls and processes utilized for closing and reporting of financial activity for the fiscal year were not effective. Items noted include the following:
Lack of documentation for personnell and payroll processes for the first three quarters of the fiscal year.
Lack of documentation for review and approval of cash receipts, journal entries and bank reconciliations.
Accruals for grant receivables, accounts payables, and accrued payroll were not properly recorded prior to the start of the audit.