Overstatement of Other Assets
Department of Public Works and Highways · 2023
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What Happened?
Category: Financial ManagementIssue: MisstatementThe entity misstated prepaid expenses and advances to contractors. Some prepayments were expensed entirely when they should have been spread over time, and the recovery of contractor advances was recorded incorrectly.
Why It Matters
Recommended Actions
No recommendations are available for this finding yet.
Original Audit Finding Excerpt
"e) Net Overstatement of Other Assets accounts due to: • Erroneous recording of recoupment of Advances to Contractors; and • Improper charging of prepayments directly to outright expenses. 3,173,347.79"