Balance per For
Date
No. SAs Purpose Subsidiary Return Variance
Received
Ledger to SA
Concreting of Bais-Cabanlutan
1 DILG 12/31/11 ₱113,427.90 ₱190,870.27 ₱77,442.37
Road, Bais City
Improvement of Tagpo-
2 DILG 12/31/11 Maigsing-Amalao Farm-to- 5,488.47 67,849.65 62,361.18
Market Road, Bais City
Improvement of Productivity
Skills and Capability Building
3 DILG 12/31/11 22,791.38 77,391.79 54,600.41
Center at Barangay Capiñahan,
Bais City, Phase II
Construction of Productivity
4 DILG 12/31/11 Enhancement Center at 49,761.90 68,768.31 19,006.41
Barangay Canlargo, Bais City
Electrification of Sitio Kang-
5 DILG 12/31/11 Oyagit, Barangay Katacgahan, 6,653.78 42,864.03 36,210.25
Bais City
Electrification of Strategic
6 DILG 12/31/11 Sites, Barangay Panam-angan, 36,392.95 122,978.60 86,585.65
Bais City
TOTAL ₱234,516.38 ₱570,722.65 ₱336,206.27
4.10. The CAO personnel in-charge acknowledged the variance noted by the Audit Team
and assured that they would review the recorded transactions and make the necessary
adjusting entries to reconcile the balances before returning the same to the SA.
4.11. As a result of the foregoing deficiencies, the Due to NGAs account is overstated while
the Government Equity account is understated by ₱53,057,138.75 as of December
31, 2024.
4.12. We recommended that for each of the 57 completed and liquidated projects, the
CAO make the following journal entry to close the Due to NGAs account:
Account Name Account Code Debit Credit
Due to NGAs 2-02-01-050 ₱53,057,138.75
Prior Period Adjustment 3-01-01-020 ₱53,057,138.75
4.13. We likewise recommended that the City Treasurer return the unutilized
balances totaling ₱1,824,096.95 to the SA and for the CAO to prepare the
following journal entry:
Account
Account Name Debit Credit
Code
Due to NGAs 2-02-01-050 ₱1,824,096.95
Cash in Bank - Local 1-01-02-010 ₱1,824,096.95
Currency, Current Account
4.14. Henceforth, we recommended that for every completed project of the City
financed through trust receipt from NGAs, the CAO immediately prepare the
LR, inform the City Treasurer to facilitate the transfer of any unutilized
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