Management Status of
Ref. Audit Observation Audit Recommendation
Comment/Action Implementation
System for LGUs, Volume I
(MNGAS), thereby resulting
in the misstatement of
depreciation expense and PPE
accounts by an undetermined
amount.
AAR The valuation and existence of We recommended that Management
2021 inventories totaling strengthen the internal control system in the
2020 ₱4,465,167.75 could not be handling of supplies by requiring the
established due to the weak Municipal Treasurer/Supply Officer to:
internal control system in the
management thereof, 25. maintain the necessary stock and The Supply Officer still Not Implemented
including the recording of property cards to monitor the purchases, had not maintained the
purchases as outright issuances and distributions of supplies stock cards.
expenses, non-maintenance of and materials;
supply records, and non-
conduct of semi-annual 26. conduct the regular physical count of The Inventory Committee Not Implemented
physical count, contrary to these items, prepare the required report still had not conducted the
existing regulations provided of physical count and submit the same to physical count of
in Chapter 7 of the Manual on the office of the auditor; and inventories.
the New Government
Accounting System for LGUs, 27. provide ample storage and physical The Municipal Not Implemented
Volume 1 (MNGAS), hence, safeguards for supplies in stock against Government still had no
overstating expenses and damage and risk of loss. warehouse for storing
understating assets and supplies in stock.
government equity by an
undetermined amount at year
end.
61
