WHAT IS THE PROPER RELATIONSHIP OF BANK STATEMENT TO ACCOUNT LEDGER?
DISCUSSION:Neither bank statement nor account ledger should be used to the exclusion of the other. Bank statements must be regularly balanced with account ledgers to ensure the proper posting of all deposits and charges. Accounts in some CSE programs audited had thousands of dollars in errors due to bank miscalculation. This could have been easily detected by a simple reconciliation of bank statement to ledger. RECOMMENDATION: Verify that account ledgers are cross-checked regularly. WHY GO THROUGH THE INCONVENIENCE OF LOCKING AND UNLOCKING SAFES AND CASH DRAWERS SO OFTEN? DISCUSSION: Many of the State and local programs audited failed to keep safes and cash drawers locked when not attended. An unlocked safe or cash drawer is inviting theft and misappropriation. Locking may seem to be a tedious inconvenience at the time. However, it is a sure deterrent to theft from both inside and outside the organization. Keeping the safe or cash box locked makes a clear statement that office manageme
