Finding Text
Criteria or specific requirement: Management is responsible for establishing and maintaining effective internal controls over financial reporting. Management is responsible for the fair presentation of the financial statements
in accordance with accounting principles generally accepted in the United States of America.
Condition: During the 2023 audit, we identified adjusting entries relating to grants received by certain divisions of BGMU, which were proposed, and management recorded.
Effect: Potentially material misstatements in the financial statements and disclosures.
Cause: Adjustments were made primarily as a result of audit procedures performed.
Recommendation: Management should continue to review these areas throughout the year.
Views of responsible officials and planned corrective actions: BGMU management will review and record all adjusting journal entries throughout the year, including fiscal year-end journal entries, prior to the beginning of the audit engagement.