Finding Text
Criteria: Rannie Webster Foundation is required to submit quarterly financial reports to the lender. Condition: For three of the four financial reports submitted the supporting schedules did not agree to the financial information submitted. Questioned Costs: None Cause: The variance was caused by the timing of when the various reports were run and a lack of internal control over review and verification of the reports and supporting schedules. Effects or Potential Effects: Financial information reported was inaccurate or not properly supported by subledger schedules. Auditor's Recommendation: Management should run all financial reports as of the close of the quarter and review the subledgers to ensure agreement to the financial reports. View of responsible officials: The software changed some of the accounts that were grouped in the aging that needed to be manually updated in the report run by management. Management didn't see that the subledgers varied from the financial reports. Management will adjust their process going forward to ensure all reports are in agreement and complete.