STATEMENT OF CONTROL ATTRIBUTES

NAME OF THE SYSTEM : Property & Supplies Mgt. System - Receiving, issuing, storing and recording of supplies. NAME OF THE AGENCY : LGU - Cabanatuan City
ICQ. REF. NO. 1.3 CONTROL ATTRIBUTES Goods received are accurately counted and examined to see that they meet quality standards. Receiving reports (IAR and invoice) identify the corresponding PO/Contract. Receiving reports (IAR and invoice) are duly signed by the supply officer or actual recipient. Procedures are adequate which ensures that the goods for which the payment has been made have actually been received. TYPE OF TEST TO BE USED RP

1.6 1.7

EE EE

1.9

EE

1.1 Items received are promptly inspected to

Legend:

EE - Examination of evidence O - Observation RP- Reperformance

SUMMARY OF CONTROL WEAKNESSES

CLIENT CYCLE DESCRIPTION : LGU - Cabanatuan City : Property and Supply Mgt. System
Receiving, issuing, storing and recording of PPE.
COULD MATERIAL ERROR ARISE NOTIFICATION OF WEAKNESSES TO RESPONSIBLE MANAGEMENT REPORT TO SENIOR INFORMAL MANAGEMENT DISCUSSION W/ SITE MGMT. YES (DATE) NO RESPONSE/ COMMENTS (IF APPLICABLE)

NATURE OF WEAKNESS AND ICQ POSSIBLE EFFECT ON INTERNAL ACCOUNTING REF. YES CONTROL AND/OR NO. EFFICIENCY OF OPERATION /NO

JUSTIFICATION

2.1

Property/equipt. Card is not maintained by the supply & property off. Property no. is not assigned to PPE w/c makes identification of PPE difficult. ARE is used instead of PAR.

No

2.3

No

2.5

No

2.5.2 ARE is not numbered or

controlled.

No

2.5.4 ARE is not renewed

every 3 years.

No

2.15 Unserviceable PPE is not Yes Other Assets is

transferred to Other Assets Account. understated while PPE account and depreciation expense account are overstated.

2.16

Unserviceable property is not promptly disposed according to the Storekeeper, there was no disposition for the past 10 years.

No

NATURE OF WEAKNESS AND ICQ POSSIBLE EFFECT ON INTERNAL ACCOUNTING REF. YES CONTROL AND/OR NO. EFFICIENCY OF OPERATION /NO

COULD MATERIAL ERROR ARISE

NOTIFICATION OF WEAKNESSES TO RESPONSIBLE MANAGEMENT REPORT TO SENIOR INFORMAL MANAGEMENT DISCUSSION W/ SITE MGMT. YES (DATE) NO RESPONSE/ COMMENTS (IF APPLICABLE)

JUSTIFICATION

2.23 PPE is not tagged when

procured and prior to issuance to requesting office/user.

No

2.24 Property record is not

reconciled to PPE accounts to determine existence of the property.

No

4.1

Physical inventory was not taken at least annually.

No

TEST OF CONTROL WORKING PAPER

NAME OF THE SYSTEM : _____________________________________________________ NAME OF THE AGENCY : _____________________________________________________
DOCUMENTS USED CONTROL ATTRIBUTES

DATE

REMARKS