Failure to reclassify completed projects from Construction in Progress
National Housing Authority · 2024
Severity: HighRecommendation: Unknown
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What Happened?
Category: Financial ManagementIssue: Non-complianceSome construction projects are finished but are still recorded as 'under construction' instead of being moved to the proper asset account and depreciated.
Why It Matters
Recommended Actions
- Reclassify the completed projects totaling P123.851 million from Construction in Progress account to its appropriate PE account and recognize the related depreciation
Original Audit Finding Excerpt
"Reclassify the completed projects totaling P123.851 million from Construction in Progress account to its appropriate PE account and recognize the related depreciation,"