Quarterly Status Report on Implementation of Specific Audit Instructions

Audit Group : NGS Cluster 4, Defense and Security

Cluster/Region: Region XI
As of June 20, 2018

Audit Team No.RO-11-10

Audited Agencies:
1. 10th Infantry Division, Philippine Army (10ID)
2. Eastern Mindanao Command, Armed Forces of the Philippines (EMC)
3. Naval Forces Eastern Mindanao, Philippine Navy (NFEM)
4. Office of Civil Defense Region XI (OCD)
5. AFP Commissary and Exchange Service (AFPCES)

Audit
Issues
Agencies SAI FOCUS Procedures Results Audit Action Taken Amount For Action REMARKS
of by
AREA Undertaken Audit AOM NS ND NC AC/RD/CO
10ID, 1. Audit of Mandatory
EMC, Accounts::
NFEM, a. Cash ( Analysis of Collection and Audit still To issue the
OCD, Collection, Deposits, on-going. appropriate
AFPCES Cash in Bank Verification/Review of Bank audit action
and cash Reconciliation Statements, upon the
advances) Conduct of Cash completion of
Examination and prepare the audit.
audit working papers.
Audit still -do-
10ID, b. Inventories Conduct physical count of on-going.
EMC, inventories to determine To issue the
NFEM, the existence and condition appropriate
OCD, of inventories, examine audit action
AFPCES inventory records to upon the
determine ownership, completion of
correctness of the valuation the audit.
of the items and accuracy
of records, evaluate
internal control and
determine whether
inventories have been
 economically and efficiently
used. Prepare Audit
Working Papers.

10ID, c. Property, Plant Verify the existence of the Audit still -do-
EMC, and Equipment assets by physical on-going.
NFEM (PPE) examination, determine
ownership by examining
invoices and contracts or
work orders and supporting
agency records, determine
propriety of fixed assets
transactions, established
propriety and valuation of
the property and review
depreciation rates. Prepare
Audit Working Papers.

10ID, d. Food Supplies Examine the records of the Audit still -do-
EMC, Expense, Office expense accounts in order on-going.
NFEM, and Other to ascertain that all
OCD Supplies expenses incurred have
Expense, Drugs been duly authorized,
and Medicine adequately funded and
Expense, Water documented, properly
Supplies recorded and actually
Expense, incurred and the
Petroleum, Oil classification of expenses
and Lubricant are appropriate and have
Expense and been consistently followed.
Travelling Prepare Audit Working
Expense Papers.

Verify/validate schedules Audit still To issue the

10ID e. Dormant and existence of the on-going. appropriate
Accounts accounts as well as funding audit action
particularly of the payable account. On upon the
“Other the process of conducting completion of
Receivables” interviews and the audit.
amounting to documentation. Prepare
₱37,978.12. Audit Working Papers.
10ID, 2. Audit of Agency Obtain complete lists of Audit still -do-
EMC, Appropriations, SAROs, GAROs, SAAs, on-going.
NFEM Allotment, NCAs NCAs, NTAs and funding
and Utilization. checks released to the
audited agency concerned,
check the recording to the
books of accounts and
verify the
propriety/regularity of their
utilization. Prepare Audit
Working Papers.

10ID, 3. Review of On a monthly basis Audit still -do-

EMC, Financial financial statements shall on-going.
NFEM Statements be reviewed. See to it that
the following statements To issue the
are submitted: appropriate
a) Statement of audit action
Financial Position upon the
b) Status of Financial completion of
Performance the audit.
c) Statement of Cash
Flows
d) Statement of
Changes in Net
Assets/Equity
e) Statement of
Comparison of
Budget and Actual
Amounts
f) Notes to Financial
Statements
Comprising a
Summary of
Significant Policies
and Other
Explanatory Notes
Prepare Audit
Working Papers.
10ID, 4. Procurement of Obtain the Agency’s copy Audit still To issue the
EMC, Supplies and of Annual Procurement on-going. appropriate
NFEM, Materials Plan (APP), basis of their audit action
OCD procurement .See to it that upon the
Agency’s procurement are completion of
in accordance with the the audit.
Government Reform Act or
Republic Act 9184.

AFPCES 5. Audit of Identify the programs with Audit on- -do-

Revenue the revenue and the going.
Generating authority to collect them.
Programs. Also, evaluate the systems
and controls in place (both
manual and computerized)
and the collection and its .
remittance processes.
Conduct Cash Examination
activity to determine
correctness of balance of
cash in the custody of
accountable officer, validity
of cash transactions,
reliability of cash records
and conformance with
prescribed procedures.
Prepare Audit Working
Papers.
Submitted by: Reviewed by: Approved by:

_____JOCELYN Y. ABAD_____ ___HELEN M. CAILING___ ATTY. ROY L. URSAL

OIC- Regional Supervising Auditor Assistant Regional Director Regional Director
Date: June 30, 2018 Date: Date: