Revised 30th June 2023.

KAKUNGA GIRLS SEC SCHOOL

PUBLIC SECONDARY SCHOOL

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED

30th June 2023

Prepared in accordance with the Cash Basis of Accounting Method under the International Public Sector
Accounting Standards (IPSAS)
 TABLE OF CONTENTS
I. KEY SCHOOL INFORMATION AND MANAGEMENT KAKUNGA GIRLS SEC SCHOOL.................2
(a) Background information..................................................................................................................2
(b) School Board of Management - Board Members............................................................................2
The function of the School Board of Management include:.................................................................3
(c) Committees of the Board.................................................................................................................3
(d) School operation Management........................................................................................................4
(f) School Bankers.................................................................................................................................4
(g) Independent Auditors.......................................................................................................................4
II. SUMMARY REPORT OF PERFORMANCE OF THE SCHOOL........................................................4
Financial performance...........................................................................................................................4
MOVEMENT OF DEBTORS OF THE SCHOOL FUND ACCOUNT OVER THE LAST THREE YEARS
................................................................................................................................................................7
MOVEMENT OF CREDITORS OF THE SCHOOL FUND ACCOUNTOVER THE THREE YEARS......8
MOVEMENT OF CASH AND BANK BALANCES OVER THE LAST THREE YEARS...........................8
III. STATEMENT OF SCHOOL MANAGEMENT RESPONSIBILITY..............................................12
IV. REPORT OF THE INDEPENDENT AUDITORS ON THE ANNUAL FINANCIAL STATEMENTS
OF KAKUNGA GIRLS SEC SCHOOL OF THE YEAR ENDING 30TH JUNE 2023..............................13
V. STATEMENT OF RECEIPTS AND PAYMENTS PERIOD TO 30TH JUNE 2023.......................14
VI. STATEMENT OF FINANCIAL ASSETS AND LIABILITIES AS AT 30 TH JUNE2023.......................15
VII. STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED 30TH JUNE 2022.......................17
X. SIGNIFICANT ACCOUNTING POLICIES..................................................................................18
1. Statement of compliance and basis of preparation.......................................................................18
2. Recognition of receipts and payments..........................................................................................18
3. In-kind contributions....................................................................................................................18
4. Cash and cash equivalents............................................................................................................19
5. Accounts Receivable....................................................................................................................19
6. Accounts Payable.........................................................................................................................19
7. Non-current assets........................................................................................................................19
8. Budget..........................................................................................................................................19
9. Comparative figures.....................................................................................................................20
10.Subsequent events...........................................................................................................................20
PROGRESS ON FOLLOW UP OF AUDITOR RECOMMENDATIONS........................................20
ANNEX 2 – SUMMARY OF FIXED ASSETS REGISTER....................................................................21

1
I. KEY SCHOOL INFORMATION AND MANAGEMENT KAKUNGA GIRLS SEC SCHOOL
(a) Background information
The school is domiciled in Kenya and its operations are governed under the Basic Education Act,
2013. It is located in Kakamega County, Malava Sub-County.
The school was registered in 07/12/2020 under registration number 37S300004862 and is currently
categorized as a County public school established, owned or operated by Government.
The school is a day/boarding girl’s secondary school and had 409 number of students as at 30th June
2023.
It had 2 streams and 15 teachers of which 7 teachers are employed by the School Board of
Management.

(b) School Board of Management - Board Members

The School Board of Management established under Section 55 of the Basic Education Act, 2013; is
composed of the following members:

Ref: Name of Board Member Designation Date of appointment

1 FRIDAH SHIHUNDU C.E.B REP 25/04/2022
2 GLADYS MODOI Secretary - Principal 25/04/2022
3 JOHN WAFULA CO-OPTED 25/04/2022

4 EBBY MULUNDA Member-Sponsor 25/04/2022

5 MARGARET INDEJE Member 25/04/2022
6 FRINKLIN SAKWA Member-Sponsor 25/04/2022
7 WILSON NYAKO Member 25/04/2022
8 JULIAS SHILAKO Member – 25/04/2022
9 KURUI JEPKOECH Member Rep Teachers 25/04/2022
10 MUSALIA WYCLIFFE CO-OPTED 25/04/2022
11 GODFREY SHILIBWA Members - Sponsor 25/04/2022
12 MARGARET INDEJE SPACIAL INT 25/04/2022
13 WILSON NYAKO Member -Community 25/04/2022
14 PATRICK KUNDU Member special Needs 25/04/2022
15 MARY ODANGA Rep students 02/01/2023

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 KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

The function of the School Board of Management include:

 Promote the best interests of the school and ensure its development.
 Promote quality education for all pupils in accordance with the standards set under the Basic
Education Act, 2013
 Ensure and assure the provision of proper and adequate facilities for the school
 Manage the School’s affairs in accordance with the rules and regulations governing
occupational safety and health.
 Advise the County Education Board on the staffing needs of the school.
 Determine cases of pupils’ discipline and make reports to the CEB
 Prepare comprehensive termly report on all areas of its mandate and submit the report to CEB
 Administer and manage the resources of the school.
 Receive, collect and account for any funds accruing to the institution in accordance with
Article 226 (1) (a) of the Constitution of Kenya, Section 81 of the Public Finance
Management Act, 2012 and the Fourth Schedule para 21 and 23 of the Basic Education Act,
2013.

(c) Committees of the Board

Ref: Name of Committee Names of Members Designation Number of
meetings attended
during the year

1 Executive committee Fridah shihundu Chair

Gladys modoi Member
Musalia Wycliffe Member
Margaret Indeje Member
Ndalu Sakwa Member 6out6
2 Audit Committee -

Finance, procurement
and general purposes Ebby Mulanda Chair
Committee Fridah Shihundu Member
Gladys Modoi Member
3 Musalia Wycliffe Member 4out4
Academic Committee Margaret Indeje Chair 4out4
4 Gladys Modoi Member
Kurui Jepkoech Member
Reuben Ambani Member
Development Ndalu sakwa chairr 3out3
5 Committee Fridah shihundu Member
Gladys Modoi Member
Musalia Wycliffe Member

Discipline and welfare

6 Committee

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

(d) School operation Management

For the financial year ended 30th June 2023 the school day-to-day management was under the
following persons:
Ref: Designation Name TSC Number
1 Principal GLADYS MODOI 305148
2 Deputy Principal FRIDAH SHAGWIRA 287461
3 School Bursar FRANCIS KEYA ID 20113432

Post Office Box: 46

Telephone: 0722683987
E-mail:
Website: kakungagirls@2017kghs

(f) School Bankers

The following
School operated (5) number of bank accounts in the following banks as indicated below-:

S/ ACCOUNT BANK NAME BRANCH ACCOUNT

NO NUMBER
1 Boarding/Lunch KCB Kakamega 1101769467
2 Tuition KCB Kakamega 1101771674
3 Operation KCB Kakamega 01139098254300
4 Infrastructure C0-OPERATIVE Kakamega 01139098254301
5 National Government (C.D.F) CO-OPERATIVE kakamega 01139166638101
6. MPESA Paybill Number 522123, Account Number 54546k Attached to a/c 1101769467 to
the school fund account and other monies.

(g) Independent Auditors

Office of the Auditor General
Anniversary Towers, University Way
P.O Box 30084
GPO 00100
Nairobi, Kenya.

II. SUMMARY REPORT OF PERFORMANCE OF THE SCHOOL

The following is a summary report of the performance of the school against the set performance
evaluation criteria:

Financial performance
(A)-SURPLUS/ DEFICIT FOR THE YEAR AND A COMPARISON OF THE SAME FOR
THE LAST THREE YEARS
YEARS 2023 2022 2021
AMOUNT -140,863 2,560,044 881,266

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

SURPLUS/ DEFICIT FOR THE YEAR AND A COMPARISON

OF THE SAME FOR THE LAST THREE YEARS
3,000,000

2,500,000

2,000,000

1,500,000

1,000,000

500,000

0
2023 2022 2021
-500,000

AMOUNT Column1 Column2

Reasons
There has been increase in funding due high enrolment since 2021 to 2023, resulting to surplus
(income exceeding expenditure).

(B-) MOVEMENT OF CAPITATION GRANTS FROM THE MINISTRY OF

EDUCATION FOR THE LAST THREE YEARS
2023 2022 2021 2020
TUITION 1,152,451.25 1,388,215.80 506,758 618,290
OPERATION 5,024,649.20 6,068,322 3,178,399 4,143,560
TOTAL 6,177,100.45 7,456,537.80 3,685,157 4,761,850

MOVEMENT OF CAPITATION GRANTS FROM THE MIN-

ISTRY OF EDUCATION FOR THE LAST THREE YEARS

3,685,157

6,177,100.45

3,685,157

7,456,537.80

2023 2022 2021 2021

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
- There is decrease in funding from 2020,2021,2022 ,and increase from 2023 due to nemis
enrolment .
- Pregnancy cases affected enrolment of students
- Lack of boarding facilities
(C-) RATIO OF CAPITATION GRANT PER STUDENT OVER THE LAST THREE
YEARS
- 2023– Ratio capitation /Nemis enrolment 6,177,100.45/409=15,103
- 2022- Ratio capitation/Nemis enrolment 7,456,537.80/425=17,545
- 2021- Ratio capitation/Nemis enrolment 3,685,156/425 = 8,671
- 2020-Ratio capitation/Nemis enrolment 4,956,790/390 =12,210
Account 2022 2021 2020 2019
Ratio capitation 7,456,537.80 3,685,156.75 4,761,850 6,299,626.85
Nemis enrolment 425 425 390 273

RATIO OF CAPITATION /NEMIS ENROLMENT

3,685,156.75

4,761,850
7,456,537,80

6,299,626.85

2021 2020 2019 2018

- There is decrease in capitation due to covid -19 that affected capitation funding from 2019 to
2021
- Increase funding from 2023 due to increase in nemis enrolment of students.
A THREE-YEAR OVERVIEW OF GROWTH IN EXPENDITURE OF THE SCHOOL
VOTEHEAD/ AC 2023 2022 2021 2020
TUITION 1,242,475 947,343 336,716 971,127
OPERATION 4,399,760 6,396,008 2,726,644.30 4,317,720
C.D. F 2,750,894.09
INFRASTRUCTURE 1,445,380 3,993,720 -
SCHOOL FUND 6,568,521 6,568,521 2,651,684 3,953,656
TOTAL 16,407,030.09 17,905,592 5,715,044.30 9,242,503
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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

A THREE-YEAR OVERVIEW OF GROWTH IN EXPENDITURE

OF THE SCHOOL

9,242,503

16,407,030.0
5,715,044.30 9

17,905,592

2023 2022 2021 2020

-There is increase in expenditure from 2019 and 2022 and decrease from
2020,2021.

MOVEMENT OF DEBTORS OF THE SCHOOL FUND ACCOUNT OVER THE LAST

THREE YEARS
YEAR 2023 2022 2021 2020
FEES ARREARS 1,474,355 1,204,500 1,541,129 1,605,410

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

MOVEMENT OF DEBTORS OF THE SCHOOL FUND ACCOUNT OVER

THE LAST THREE YEARS

1,474,355
1,605,410

1,204,500
1,541,129

2023 2022 2021 2020

Number of debtors are gradually increasing due to high number of defauters.

MOVEMENT OF CREDITORS OF THE SCHOOL FUND ACCOUNTOVER THE
THREE YEARS
YEAR 2022 2021 2020 2019
PREPAID FEES 193,202 191,197 354,233 641,622

MOVEMENT OF CREDITORS OF THE SCHOOL FUND

ACCOUNTOVER THE THREE YEARS

193,202

641,622 191,197

354,233
2022 2021 2020 2019

- Number of prepaid fees is increasing due to bursaries funding.

MOVEMENT OF CASH AND BANK BALANCES OVER THE LAST THREE YEARS
ACCOUNT 2022 2021 2020 2019
TUITION 615,581.45 174,708.65 4,666.40 231,203.40
OPERATION 538,399.90 866,085.90 416,391.70 1,021,874.70
C.D.F A/C 86,663.85

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 KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
INFRASTRUCTURE 12,590.30
SCHOOL FUND 2,747,490.00 325,993.00 6,525.00 1,082,896.00
ACCOUNT
TOTAL 4,000,725.50 1,366,787.55 427,583.10 2,335,974.10

MOVEMENT OF CASH AND BANK BALANCES OVER THE LAST THREE

YEARS

2,335,974.10
4,000,725.50

427,583.10
1,366,787.5
5

2022 2021 2020 2019

-There is increase in bank balance due to well use of school budget.

b) Teacher Student ratio:

The number of teacher student ratio in school 409student and 21teacher 1:19.
Ateacher who retired during the year is mr Eliphas irungu. Number of teachers employed by
teachers’ service commission are fifteen (19) and number teachers employed board of
management are seven (7).
The school has the following teachers as per the subject:
Subject Number of Shortfall Remark
combinations (CBE) teachers
Maths/ Physics 2 2 The school is requesting to employ
more teachers from TSC
Maths/Business 0 2
studies
Maths/Geography 0 2
Maths/Chem 1 1
Eng/Lit 2 2
Bio/Chem 1 2
Bio/Agri 1 2
Geo/History 0 2
Geo/Kisw 1 1
History/CRE 2 1

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 KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
Geo/ business studies 1 2
Maths/computer 1 2

c) Mean score in the 2022KCSE:

YEA NO. OF K.C.S. TARGE TRANSTIONE TRANSTIONE REMAR
R CANDIDATE E T D D K
S MEAN MEAN RATE
2019 50 4.18 5 2 students join 12/50X100=4% Aithough
university,30 entery to
join tertiary university
college reduced
with
negative
deviation
2020 74 4.89 5.5 8 students join 2/50X100=4% Aithough
university,53 entry to
join tertiary university
college reduced
but
positive
2021 70 4.7 5.5 6 students join 8/74X100=10.8 Negative
university,64 % deviation
join tertiary of 0.2303.
Negative
deviation
to other
subjects.

d) Number of Candidates in the 2022 KCSE:

The number of candidates sitting for KCSE over the last three years is 166 candidates.
YEAR NUMBER OF CANDIDATES
2021 74
2020 74
2019 50
TOTAL 198

e) Capacity of the school:

FACILITIES AVAILABLE NOT AVAILABLE ENROLMENT
Classes 9 3 409
Power Backup Generator 1 1 409
Borehole 1 0 409

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 KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
Library 1 1 409
Dormitories 1 1 200
Dining hall 1 0 409
Twin Laboratories 2 0 409
Students Toilets 12 4 409
Teachers Toilets 2 1 15
Ablution Block 1 2 200

f) Development projects carried out by the school:

YEAR PROJECT INITIAL ACTUAL SOURCE OF STATUS

COST COST FUND
2022 Storey dormitory 12,577,730 13,200,000 county& MOE ongoing

The project was initiated by county government of kakamega in the year 2015 and stalled.

Sign

School Principal

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

III. STATEMENT OF SCHOOL MANAGEMENT RESPONSIBILITY

Section 81 (1) of the Public Finance Management Act, 2012 requires that, at the end of each
financial year, each National Government School shall prepare financial statements in respect of
that school. Section 81 (3) requires the financial statements so prepared to be in a form that
complies with relevant accounting standards as prescribed by the Public Sector Accounting
Standards Board of Kenya from time to time.

Schedule 4 (Section 23) of the Education Act, 2013 requires the Board of Management of a public
institution of basic education to be keep all proper books and records of accounts of the income,
expenditure and assets of the institution.

The Board of Management of kakunga girls’ sec school accepts responsibility for the school’s
financial statements, which have been prepared on the Cash Basis Method of Financial Reporting,
using appropriate accounting policies in accordance with International Public Sector Accounting
Standards (IPSAS).

The Board of Management is of the opinion that the school’s financial statements give a true and
fair view of the state of the school’s transactions during the financial year ended 30th June, 2023,
and of the school’s financial position as at that date.

Name: FRIDAH SHIHUNDU

Designation: Chairman, School Board of Management
Sign: _________________
Date:

Name: GLADYS MODOI

Designation: School Principal& Secretary to Board of
Management
Sign: ________________
Date:

Name: FRANCIS KEYA

Designation: Bursar/ Finance Officer
Sign: _________________
Date:

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
IV. REPORT OF THE INDEPENDENT AUDITORS ON THE ANNUAL FINANCIAL
STATEMENTS OF KAKUNGA GIRLS SEC SCHOOL OF THE YEAR ENDING 30TH
JUNE 2023
To be attached

13
KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
V. STATEMENT OF RECEIPTS AND PAYMENTS PERIOD TO 30TH JUNE 2023

DESCRIPTION OF VOTE HEAD Note 2022-2023 2021-2022

Kshs Kshs
RECEIPTS
Capitation grants for tuition 1 1,388,216.00 506,758.00
Capitation grants for operations 2 5,668,322.00 3,178,399.00
School Fund Income- Parents’ Contributions 3 8,758,601.00 2,828,994.00
Income from miscellaneous 4 - 58,200.00
Income from infrastructure 4,006,310.00
TOTAL RECEIPTS 18,024,139.00 6,572,351.00

PAYMENTS
Payments for Tuition 5 947,343.00 336,716.00
Payments for operations 6 4,395,008.00 2,726,644.00
Infrastructure 3,993,720.00 -
Boarding and school fund payments 7 6,128,024.00 2,627,724.00
TOTAL PAYMENTS 15,464,095.00 5,691,084.00

SURPLUS/DEFICIT 2,560,044.00 881,266.00

The school financial statements were approved on ___________ 2023 and signed by:

Name: FRIDAH SHIUNDU Name: GLADYS MODOI Name : FRANCIS KEYA

Chair BOM School Bursar /

Principal/secretar Finance
y BOM
Sign---------- -- Sign------------- Sign---- ---

Date: Date: Date;

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
VI. STATEMENT OF FINANCIAL ASSETS AND LIABILITIES AS AT 30TH JUNE2023

Note 2022-2023 2021-2022

Kshs Kshs
FINANCIAL ASSETS

Cash and Cash Equivalents

Bank Balances 8 3,914,061.00 1,346,701.00
Cash Balances 9 6,833.00 20,087.00
Short term Investment 10 0.00 0.00
Total Cash and cash equivalent 3,920,894.00 1,366,790.00

Account’s receivables 11 - 2,060.00

TOTAL FINANCIAL ASSETS 3,920,894.00 1,368,850.00

FINANCIAL LIABILITIES

Accounts Payables 12 - -

NET FINANCIAL ASSETS 3,920,894.00 1,368,850.00

REPRESENTED BY

Accumulated Fund b/fwd 13 3,928,894.00 1,368,850.00

Surplus/Deficit for the year 2,560,044.00 881,266.00

NET FINANCIAL POSSITION 6,488,938.00 2,250,116.00

-

The school’s financial statements were approved on ___________ 2023 and signed by:

Name: FRIDAH SHIHUNDU Name: GLAGYS MODOI Name: FRANCIS KEYA

Chairman School Principal/Secretary Bursar/Finance
BoM
Sign: _______________ Sign _________
Sign______________
Date: Date:
Date:

15
KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

16
KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
VII. STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED 30TH JUNE 2022

2022-2023 2021-2022
Ksh Ksh
Receipts for operating income
Capitation grants for tuition 1 1,388,216.00 506,758.00
Capitation grants for operations 2 6,068,322.00 3,178,399.00
School fund income- Parents contributions/ fees 3 9,364,851.00 2,828,994.00
Income from miscellaneous 4 58,200.00
Total receipts 20,827,699.00 6,572,351.00
Payments
Payments for Tuition 947,343.00 336,716.00
Payments for operations 6,396,011.00 2,726,644.00
Infrastructure 3,993,720.00 -
Boarding and school fund payments 6,936,521.00 2,627,724.00
Total payments 18,273,595.00 5,691,084.00
Net cash flow from operating activities 2,554,104.00 2.678,577.00

CASHFLOW FROM INVESTING ACTIVITIES 2,554,104.00

Proceeds from Sale of Assets
Acquisition of Assets
Proceeds from investments
Purchase of investments
Net cash flows from Investing Activities 2,554,104.00
CASHFLOW FROM BORROWING ACTIVITIES
Proceeds from borrowings/ loans
Repayment of principal borrowings
Net cash flow from financing activities
NET INCREASE IN CASH AND CASH 2,554,104.00
EQUIVALENTS
Cash and cash equivalent at BEGINNING of the year 1,366,790.00 1,366,790.00
Cash and cash equivalent at END of the year 3,920,894.00 1,366,790.00

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
The above presentation of cash flow statement uses the direct method of cash flow presentation
which is encouraged under IPSAS. Schools should therefore adopt the direct method of cashflow as
recommended by PSASB.

X. SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies adopted in the preparation of these financial statements are set out
below:

1. Statement of compliance and basis of preparation

The financial statements have been prepared in accordance with and comply with International
Public Sector Accounting Standards (IPSAS) with particular emphasis on Cash Basis Financial
Reporting under the Cash Basis of Accounting and applicable government legislations and
regulations. The financial statements comply with and conform to the form of presentation
prescribed by the Public Sector Accounting Standards Board of Kenya.

This cash basis of accounting has been supplemented with accounting for; a) receivables that
include imprest, salary advances and other receivables and b) payables that include deposits
and retentions and payables from operations.

The financial statements are presented in Kenya Shillings, which is the functional and reporting
currency of the school and all values are rounded to the nearest Kenya Shilling (Kshs). The
accounting policies adopted have been consistently applied to all the years presented.

2. Recognition of receipts and payments

The school recognises all receipts from the various sources when the event occurs and the
related cash has actually been received by the school. In addition, the school recognises all
expenses when the event occurs and the related cash has actually been paid out by the school.

3. In-kind contributions
In-kind contributions are donations that are made to the school in the form of actual goods
and/or services rather than in money or cash terms. These donations may include vehicles,
equipment or personnel services. Where the financial value received for in-kind contributions
can be reliably determined, the school includes such value in the statement of receipts and
payments both as a receipt and as a payment in equal and opposite amounts; otherwise, the
contribution is not recorded.

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023
4. Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and cash at bank, short-term deposits on call
and highly liquid investments with an original maturity of three months or less, which are
readily convertible to known amounts of cash and are subject to insignificant risk of changes in
value. Bank account balances include amounts held at various financial institutions at the end
of the financial year.

5. Accounts Receivable
For the purposes of these financial statements, imprests and advances to authorised public
officers and/or institutions which were not surrendered or accounted for at the end of the
financial year are treated as receivables. This is in recognition of the government practice
where the imprest payments are recognized as expenditure when fully accounted for by the
imprest or AIE holders. This is an enhancement to the cash accounting policy. Other accounts
receivables are disclosed in the financial statements.

6. Accounts Payable
For the purposes of these financial statements, deposits and retentions held on behalf of third
parties have been recognized as accounts payables. This is in recognition of the government
practice of retaining a portion of contracted services and works pending fulfilment of
obligations by the contractor and to hold deposits on behalf of third parties. This is an
enhancement to the cash accounting policy adopted by National Government Ministries and
agencies. Other liabilities including pending bills are disclosed in the financial statements.
Pending bills consist of unpaid liabilities at the end of the financial year arising from contracted
goods or services during the year or in past years.

7. Non-current assets
Non-current assets are expensed at the time of acquisition while disposal proceeds are
recognized as receipts at the time of disposal. However, the acquisitions and disposals are
reflected in the school fixed asset register a summary of which is provided as a memorandum
to these financial statements.

8. Budget
The budget is developed on the same accounting basis (cash basis), the same accounts
classification basis, and for the same period as the financial statements. The school’s budget
was approved by the School Board of Management. A comparison of the actual performance
against the comparable budget for the financial year under review has been included in the
financial statements.

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KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

9. Comparative figures
Where necessary comparative figures for the previous financial year have been amended or
reconfigured to conform to the required changes in presentation.

10.Subsequent events
There have been no events subsequent to the financial year end with a significant impact on the
financial statements for the year ended 30th June 2021.

PROGRESS ON FOLLOW UP OF AUDITOR RECOMMENDATIONS

The following is the summary of issues raised by the external auditor, and management comments
that were provided to the auditor.

Timeframe: (Put a
Issue / Status:
Ref date when you
Observations from Management comments (Resolved /
No. expect the issue to
Auditor Not Resolved)
be resolved)

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 KAKUNGA GIRLS SEC SCHOOL
PUBLIC SECONDARY SCHOOL
Annual Report and Financial Statements
For the year ended 30th June 2023

ANNEX 2 – SUMMARY OF FIXED ASSETS REGISTER

Asset class Date Location Historical Addi Dispo Historical

purchase Cost b/f tions sals Cost c/f
d (Ksh) duri durin (Ksh)
30thjun ng g the 30th
e 2021 the year June
year (Ksh) 2021
(Ksh
)
Land 1 3/1/2013 MAHIRA 2,500,000 0.00 0.00 2,500,000
Land 2
Buildings and structures SCHOOL 57,000,000 0.00 0.00 57,000,000
Motor vehicles
Office equipment, furniture and Principal/ 700,000 0.00 700,000
fittings sec
ICT Equipment, and Other ICT Computer 400,000 0.00 400,000
Assets studies
Tools and apparatus Laboratory 2,100,000 0.00 2,100,000
Textbooks Library 2,600,000 0.00 2,600,000
Other Machinery and Equipment Kitchen 700,000 0.00 700,000
store
Heritage and cultural assets
Intangible assets- soft ware
Total 66,000,000 0.00 66,000,000

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