Finding Text
Condition: During the course of the audit, we noted that all of the Organization’s financial records were not maintained and accounted for in the general ledger system. Criteria: Good internal controls require the Organization’s financial transactions be properly recorded so that a proper audit trial is maintained.Effect: The lack of an adequate general ledger system increases the risk that transactions occur and not be properly recorded, it increases the risk of material misstatements to the financial statements, and it increases the time required to prepare financial statements.Recommendations: The Organization should purchase and maintain a general ledger system that will record all financial transactions