Audit Report August 2021
Audit Report August 2021
Audit Report August 2021
Zamora, Sharmaine
July 23, 2021
Granted amount Php 51,880
Candilas, Fe
July 23, 2021
Granted amount Php 139,860
In addition, it was again noted there were members availing the Bob loan
priviledge that were granted other priviledge loan products beyond the max
amount allowable based on the criteria stipulated in the credit policy.
AUDIT REPLY
Note:
All recommendations regarding the approval and releases of BOB loans are duly noted.
3. Tagotongan, Rhachirona
Amount granted Php 10,000
July 30, 2021
Emergency
Previous granted emergency loan is Php 10,000. However, based on the current
Share Capital of member, which is the basis in the computation of the credit limit,
maximum amount that may be availed was reduced to Php 8,965.
AUDIT REPLY
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ORO SAVINGS AND SHARING MULTI-PURPOSE COOPERATIVE
Capistrano-Echem Sts., Cagayan de Oro City
1. LAD granted exceeding the maximum limit - P5,250 dated July 29 2021.
-LO miscompute the Savings and Share Capital
Hope our explanation will suffice your findings. Thank you for the reminder and God bless us.
Rengie R. Macayana
Loan Officer
Fixed Asset
Cogon Branch
The audit reviewed the controls and processes surrounding fixed assets, including the process of
verification checks. This audit has considered the extent to which assets are identified, recorded, verified
and accurately reflected in the accounts. The audit seek to ensure that depreciation is appropriate.
Summary of findings
Control Objectives Findings
Assets are correctly and Associated risk of not achieving the control objective:
accurately reflected in the
accounts. Assets may be Inaccurately reflected in the accounts.
Main findings
On a positive note, the existence and possession of asset can be ascertained from this review. Below is the
picture of asset 022.
Recommendation:
The controls are deficient in some aspects and requires actions to be taken.
Going forward, the board should make a policy review regarding retaining and disposal of the fixed assets
and accounting records.
ORO SAVINGS AND SHARING MULTI-PURPOSE COOPERATIVE
Capistrano-Echem Sts., Cagayan de Oro City
As I have undergone an asset verification it is highly likely that the value of the asset has substantially
reduced to Php1 since it has been fully depreciated. Fully depreciated asset can either be in use or not in
use.
If in use a net book value should be revalued at their value in use. If assets are not in use they should be
disposed of/ retired and not reflected in the asset.
In the case of asset 022, the asset is no longer functional. With this, there is a risk that it is being inaccurately
recorded on the asset register, although the net book value is one there is still a gross value which is reported
on the financial statements resulting in inaccurate financial reporting as these assets should be retired.
Recommendation:
The board should review controls to ensure that useful economic life of fully depreciated assets are
appropriately considered.
Retirement of fully depreciated asset 022 in the asset register is deemed necessary to accurately report
assets in the financial statements. In addition, to continuously provide quality services to all members, it is
high time for Cogon branch to acquire a new Desktop Computer to be used for their operations.
Lapsing Schedule
Asset Description Date Acquisition Monthly Accumulated Book Status
No. Acquired Cost Depreciation Depreciation Value
022 Desktop 01/03/2008 23,650 656.94 23,649 1 Not
Computer Functional
ORO SAVINGS AND SHARING MULTI-PURPOSE COOPERATIVE
Capistrano-Echem Sts., Cagayan de Oro City
Damilag Branch
Florina M. Gorres
Loan Accounts: Php 24,737.69
Reissuing the audit report of the predecessor Internal Auditor regarding Loan accounts to be
written off still for approval. As a successor auditor, I have reviewed and verified each accounts
undermentioned.
Note: the member has no savings and share capital account already.
*along with her loan account inquiry the branch has provided photocopy of the death
certificate of the member, loan folder and specimen card
*has collateral but wasn’t encumbered, also not in the name of the member borrower.
The vehicle according to the Loan Officer is also not in the residence of the member
anymore. The copy of the collateral is as follows
ORO SAVINGS AND SHARING MULTI-PURPOSE COOPERATIVE
Capistrano-Echem Sts., Cagayan de Oro City
As the internal auditor, the following controls to verify the validity of the said accounts have
been conducted:
Made sure the name of the loan account matches the death certificate submitted
Checked the loan folder of each member
Checked if the loan account coincides with the loan voucher
Pulled out their specimen cards
Checked if the signature in the specimen card matched the signature in the
application form
Checked if the CID no indicated in the specimen card matched what is indicated in
the system
Checked the attached photocopy of ID of the member of that of the specimen card
There is a reasonable assurance as to the validity of these accounts and recommend for a
loans receivable writing off to all the abovementioned deceased members.
ORO SAVINGS AND SHARING MULTI-PURPOSE COOPERATIVE
Capistrano-Echem Sts., Cagayan de Oro City
LITIGATION ACCOUNTS
Initao Branch
Update regarding approved for litigation accounts that has already been filed and has
already court decision. The following accounts have been forwarded and checked to head
office.
As of August 3, 2021
NAME LOAN LITIGATED AMOUNT SHARE SAVINGS
Anne Alvarez Salary Loan 166,976.85 0.15