Years presented in the
Account Amount
Notes to FS
Office Supplies for ₱ 0.02 2024, 2023, 2022
Inventory
Accountable Forms, 324,208.02 2024, 2023, 2022
Plates, and Stickers
Drugs and Medicines 0.15 2024, 2023, 2022
Inventory
Construction Materials 1,405,135.00 2024, 2023, 2022, 2021,
Inventory 2020, 2019, 2018, 2017
Total ₱ 1,729,343.19
3.2.3.3. The above non-movement of supplies resulted from the Accounting
Office's failure to keep the required SLC for each commodity/stock
and the Municipal Treasurer's non-maintenance of stock cards for
the receipt and disposition of supplies, especially those acquired in
the previous years.
3.3. As a result, the existence and accuracy of the recorded inventory items could not be
ascertained, thus affecting the fairness of the presentation of these accounts in the
financial statements.
3.4. We recommended that the:
3.4.1. Local Chief Executive reconstitute the Inventory Committee to include
members who can be relieved of their regular duties to devote full time
to conducting the physical inventory taking until the same is completed;
and
3.4.2. Inventory Committee prepare and submit a copy of the inventory reports
to the Auditor to verify compliance with Section 124 of the NGAS Manual
for LGUs;
3.5. We further recommended and the Municipal Accountant and Municipal
Treasurer agreed to maintain the supplies ledger cards and stock cards,
respectively.
3.6. We furthermore recommended and the Municipal Accountant agreed to strictly
follow the Perpetual Inventory Method for recording purchases of supplies and
materials as required in the NGAS Manual.
3.7. During the exit conference, Management acknowledged that this had been a
longstanding deficiency of the Municipality. To facilitate the issuance of an Office
Order reconstituting the Inventory Committee, the department heads present agreed
to draft the proposed composition of the committee for the Municipal Mayor’s
approval.
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